Derwent LondonFRA:DVK 66 Gross Margin % is 37.68% as of Dec. 2025, which is 52% below its 10-year median of 78.26. GuruFocus rates FRA:DVK with a GF Score™ of 66/100 and a GF Value™ of €27.25 (Modestly Undervalued). The stock has 10 warning signs investors should review. Among 680 REITs companies, Derwent London ranks worse than 82.94% on this metric.
Derwent London PLC gross margin has been in long-term decline. The average rate of decline per year is -5.7%.
The historical rank and industry rank for Derwent London's Gross Margin % or its related term are showing as below:
FRA:DVK'
s Gross Margin % Range Over the Past 10 Years
Min: 51.84 Med: 78.26 Max: 82.22
Current: 51.84
During the past 13 years, the highestGross Margin % of Derwent London was 82.22%. The lowest was 51.84%. And the median was 78.26%.
FRA:DVK's Gross Margin % is ranked worse than 82.94% of 680
companies
in the REITs industry
Industry Median: 69.61
vs FRA:DVK: 51.84
Derwent London had a gross margin of 37.68% for the quarter that ended in Dec. 2025 => Competition eroding margins
The 5-Year average Growth Rate of Gross Margin for Derwent London was -5.70% per year.
Derwent London (FRA:DVK) 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
Derwent London had a gross margin of 37.68% for the quarter that ended in Dec. 2025 => Competition eroding margins
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.
Derwent London Gross Margin % Related Terms
Derwent London Gross Margin % Historical Data
* Premium members only.
The historical data trend for Derwent London'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.
FRA:DVK vs BXP, ARE, VNO: Gross Margin % Comparison
For the REIT - Office subindustry, Derwent London'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.
Derwent London Gross Margin % vs REITs Industry
For the REITs industry and Real Estate sector, Derwent London's Gross Margin % distribution charts can be found below:
* The bar in red indicates where Derwent London'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.
Derwent London (FRA:DVK) has a Gross Margin % of 37.68% as of Dec. 2025. Gross margin is the ratio of total gross profit to net sales. View historical data on Derwent London and its competitors. This is 52% below median its historical median of 78.26. Over the past decade, Derwent London's Gross Margin % has ranged from 51.84 to 82.22. According to the industry distribution chart, Derwent London ranks #564 out of 680 companies in the REITs industry, placing it in the top 82.9%.
Is Derwent London's Gross Margin % too high?
Derwent London's current Gross Margin % of 37.68% is 52% below median its 10-year median of 78.26. Over the past 10 years, this metric has ranged from a low of 51.84 to a high of 82.22. The REITs industry median Gross Margin % is 69.61. Derwent London's value of 37.68% is 45.9% below this industry median. Based on the distribution chart, Derwent London ranks #564 out of 680 companies in the REITs industry, which is in the bottom quartile relative to peers. Overall, Derwent London has a GF Score™ of 66/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Derwent London's Gross Margin % compare to BXP and ARE?
According to the REITs industry distribution chart, Derwent London ranks #564 out of 680 companies for Gross Margin %. This places Derwent London in the lower half of its industry. The industry median Gross Margin % is 69.61. Derwent London's value of 37.68% is 45.9% below this benchmark. Historically, Derwent London's own Gross Margin % has ranged from 51.84 to 82.22 over the past decade. While the company's 10-year median is 78.26 vs. the industry median of 69.61, Derwent London has consistently been below the industry average. 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 REITs company?
The median Gross Margin % among REITs companies is 69.61, based on 680 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. Derwent London's current Gross Margin % of 37.68% is 45.9% below the industry median. 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 Derwent London and its competitors. For the REITs industry, the median Gross Margin % is 69.61 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Derwent London's current Gross Margin % is 37.68%, which is 52% below median its own 10-year median of 78.26. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Derwent London stock overvalued right now?
Based on GuruFocus' analysis, Derwent London (FRA:DVK) is currently considered Modestly Undervalued. The stock's GF Value™ is €27.25, compared to a current price of €22.80 — trading 16.3% below its estimated fair value. The current Gross Margin % is 37.68%, which is 52% below median its 10-year median of 78.26 and 45.9% below the REITs industry median of 69.61. Derwent London's overall GF Score™ is 66/100 with 10 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 Derwent London (FRA:DVK), the current Gross Margin % is 37.68% 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 Derwent London (FRA:DVK) Overvalued in 2026?
Based on GuruFocus' analysis, Derwent London stock appears to be undervalued.
The current stock price of €22.80 is trading 16.3% below its estimated GF Value™ of €27.25.
GuruFocus considers Derwent London to be Modestly Undervalued.
Key valuation signals for FRA:DVK:
Gross Margin %: 37.68% (52% below median its 10-year median of 78.26)
GF Value™: €27.25 vs. price of €22.80 (16.3% below fair value)
Industry Position: 45.9% below the REITs median (#564 of 680)
No single metric tells the full story. See the FRA:DVK stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Derwent London PLC is London's inventive office specialist property regenerators and investors and is well known for its design-led philosophy and creative management approach to development. Its appealing designs attract a range of tenants, including those from creative industries. The group has been a Real Estate Investment Trust (REIT) principally property investors with tax-exempt property rental businesses, but remain subject to corporation tax on nonexempt income and gains The Group owns and manages an investment portfolio of approximately 5.4 million sq ft, of which 98% is located in central London, with a specific focus on the West End and the areas bordering the City of London.
66GF Score
Get the complete analysis for FRA:DVK
Gross Margin % is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.
Quick Browse
Personalize
Premium Gurus 
Create New Portfolio
FRA:DVK has been successfully added to your 
