FRA:8KI's Gross Margin % is ranked worse than 98.72% of 1644
companies
in the Real Estate industry
Industry Median: 36.96
vs FRA:8KI: -58.48
Redco Properties Group had a gross margin of -95.03% for the quarter that ended in Dec. 2025 => No sustainable competitive advantage
The 5-Year average Growth Rate of Gross Margin for Redco Properties Group was 0.00% per year.
Redco Properties Group (FRA:8KI) Gross Margin % Explanation
Warren Buffett believes that firms with excellent long term economics tend to have consistently higher margins.
Durable competitive advantage creates a high Gross Margin % because of the freedom to price in excess of cost. Companies can be categorized by their Gross Margin %
1. Greater than 40% = Durable competitive advantage
2. Less than 40% = Competition eroding margins
3. Less than 20% = no sustainable competitive advantage
Consistency of Gross Margin is key
Redco Properties Group had a gross margin of -95.03% for the quarter that ended in Dec. 2025 => No sustainable competitive advantage
Be Aware
If a company loses its competitive advantages, usually its gross margin declines well before its sales declines. Watching Gross Margin % and Operating Margin % closely helps avoid value trap situations.
Redco Properties Group Gross Margin % Related Terms
Redco Properties Group Gross Margin % Historical Data
* Premium members only.
The historical data trend for Redco Properties Group's Gross Margin % can be seen below:
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
Redco Properties Group Gross Margin % Competitor Comparison
For the Real Estate - Development subindustry, Redco Properties Group's Gross Margin %, along with its competitors' market caps and Gross Margin % data, can be viewed below:
* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.
Redco Properties Group Gross Margin % vs Real Estate Industry
For the Real Estate industry and Real Estate sector, Redco Properties Group's Gross Margin % distribution charts can be found below:
* The bar in red indicates where Redco Properties Group's Gross Margin % falls into.
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
A positive Gross Profit is only the first step for a company to make a net profit. The gross profit needs to be big enough to also cover related labor, equipment, rental, marketing/advertising, research and development and a lot of other costs in selling the products.
Redco Properties Group (FRA:8KI) has a Gross Margin % of -95.03% as of Dec. 2025. Gross margin is the ratio of total gross profit to net sales. View historical data on Redco Properties Group and its competitors. According to the industry distribution chart, Redco Properties Group ranks #1623 out of 1644 companies in the Real Estate industry, placing it in the top 98.7%.
Is Redco Properties Group's Gross Margin % too high?
Redco Properties Group's current Gross Margin % is -95.03%. Based on the distribution chart, Redco Properties Group ranks #1623 out of 1644 companies in the Real Estate industry, which is in the bottom quartile relative to peers. Overall, Redco Properties Group has a GF Score™ of 31/100, reflecting its overall financial health beyond just this single metric.
How does Redco Properties Group's Gross Margin % compare to competitors?
According to the Real Estate industry distribution chart, Redco Properties Group ranks #1623 out of 1644 companies for Gross Margin %. This places Redco Properties Group in the lower half of its industry. The industry median Gross Margin % is 36.96. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Gross Margin % for a Real Estate company?
The median Gross Margin % among Real Estate companies is 36.96, based on 1,644 companies in the industry. Companies in the top quartile (top 25%) have a Gross Margin % significantly above this median, while those in the bottom quartile fall well below. However, Gross Margin % should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high Gross Margin % mean?
A high Gross Margin % can signal that a stock is expensive relative to its fundamentals. Gross margin is the ratio of total gross profit to net sales. View historical data on Redco Properties Group and its competitors. For the Real Estate industry, the median Gross Margin % is 36.96 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Redco Properties Group's current Gross Margin % is -95.03%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Redco Properties Group stock overvalued right now?
Redco Properties Group (FRA:8KI) has a current Gross Margin % of -95.03%. The stock's GF Value™ is €0.02, compared to a current price of €0.02 — trading 10% above its estimated fair value. The current Gross Margin % is -95.03%. Redco Properties Group's overall GF Score™ is 31/100 with 4 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Gross Margin % calculated?
Gross Margin % is calculated from a company's financial statements. For Redco Properties Group (FRA:8KI), the current Gross Margin % is -95.03% as of Dec. 2025. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.
Is Redco Properties Group (FRA:8KI) Overvalued in 2026?
Based on GuruFocus' analysis, Redco Properties Group stock appears to be overvalued.
The current stock price of €0.02 is trading 10% above its estimated GF Value™ of €0.02.
Key valuation signals for FRA:8KI:
Gross Margin %: -95.03%
GF Value™: €0.02 vs. price of €0.02 (10% above fair value)
No single metric tells the full story. See the FRA:8KI stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Redco Properties Group Ltd is a residential and commercial property developer mainly focused on residential property development in China. The company segment such as the Greater Western Taiwan Straits Economic Zone, the Bohai Economic Rim, and the Central and Western Regions, Greater Bay Area and Property management services. The company is engaged in the property development and provision of property management services, property investment services, project management services, and healthcare services business in the People's Republic of China.
31GF Score
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Gross Margin % is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.
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