Digital NetworkFRA:RC6 +5.39%60 Gross Margin % is 43.29% as of Mar. 2026, which is 9% above its 10-year median of 39.58. GuruFocus rates FRA:RC6 with a GF Score™ of 60/100 and a GF Value™ of €29.14 (Significantly Overvalued). The stock has 5 warning signs investors should review. Among 953 Media - Diversified companies, Digital Network ranks better than 70.2% on this metric.
The historical rank and industry rank for Digital Network's Gross Margin % or its related term are showing as below:
FRA:RC6'
s Gross Margin % Range Over the Past 10 Years
Min: 23.53 Med: 39.58 Max: 58.52
Current: 54.74
During the past 13 years, the highestGross Margin % of Digital Network was 58.52%. The lowest was 23.53%. And the median was 39.58%.
FRA:RC6's Gross Margin % is ranked better than 70.2% of 953
companies
in the Media - Diversified industry
Industry Median: 38.9
vs FRA:RC6: 54.74
Digital Network had a gross margin of 43.29% for the quarter that ended in Mar. 2026 => Durable competitive advantage
The 5-Year average Growth Rate of Gross Margin for Digital Network was 12.10% per year.
Digital Network (FRA:RC6) 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
Digital Network had a gross margin of 43.29% for the quarter that ended in Mar. 2026 => Durable 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.
Digital Network Gross Margin % Related Terms
Digital Network Gross Margin % Historical Data
* Premium members only.
The historical data trend for Digital Network'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.
For the Broadcasting subindustry, Digital Network'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.
Digital Network Gross Margin % vs Media - Diversified Industry
For the Media - Diversified industry and Communication Services sector, Digital Network's Gross Margin % distribution charts can be found below:
* The bar in red indicates where Digital Network'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.
Digital Network (FRA:RC6) has a Gross Margin % of 43.29% as of Mar. 2026. Gross margin is the ratio of total gross profit to net sales. View historical data on Digital Network and its competitors. This is near median its historical median of 39.58. Over the past decade, Digital Network's Gross Margin % has ranged from 23.53 to 58.52. According to the industry distribution chart, Digital Network ranks #284 out of 953 companies in the Media - Diversified industry, placing it in the top 29.8%.
Is Digital Network's Gross Margin % too high?
Digital Network's current Gross Margin % of 43.29% is near median its 10-year median of 39.58. Over the past 10 years, this metric has ranged from a low of 23.53 to a high of 58.52. The Media - Diversified industry median Gross Margin % is 38.90. Digital Network's value of 43.29% is 11.3% above this industry median. Based on the distribution chart, Digital Network ranks #284 out of 953 companies in the Media - Diversified industry, which is above the industry midpoint. Overall, Digital Network has a GF Score™ of 60/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Digital Network's Gross Margin % compare to NXST?
According to the Media - Diversified industry distribution chart, Digital Network ranks #284 out of 953 companies for Gross Margin %. This puts Digital Network in the upper half of its industry. The industry median Gross Margin % is 38.90. Digital Network's value of 43.29% is 11.3% above this benchmark. Historically, Digital Network's own Gross Margin % has ranged from 23.53 to 58.52 over the past decade. While the company's 10-year median is 39.58 vs. the industry median of 38.90, Digital Network has consistently been above 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 Media - Diversified company?
The median Gross Margin % among Media - Diversified companies is 38.90, based on 953 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. Digital Network's current Gross Margin % of 43.29% is 11.3% above 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 Digital Network and its competitors. For the Media - Diversified industry, the median Gross Margin % is 38.90 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Digital Network's current Gross Margin % is 43.29%, which is near median its own 10-year median of 39.58. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Digital Network stock overvalued right now?
Based on GuruFocus' analysis, Digital Network (FRA:RC6) is currently considered Significantly Overvalued. The stock's GF Value™ is €29.14, compared to a current price of €60.65 — trading 108.1% above its estimated fair value. The current Gross Margin % is 43.29%, which is near median its 10-year median of 39.58 and 11.3% above the Media - Diversified industry median of 38.90. Digital Network's overall GF Score™ is 60/100 with 5 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 Digital Network (FRA:RC6), the current Gross Margin % is 43.29% as of Mar. 2026. 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 Digital Network (FRA:RC6) Overvalued in 2026?
Based on GuruFocus' analysis, Digital Network stock appears to be overvalued.
The current stock price of €60.65 is trading 108.1% above its estimated GF Value™ of €29.14.
GuruFocus considers Digital Network to be Significantly Overvalued.
Key valuation signals for FRA:RC6:
Gross Margin %: 43.29% (near median its 10-year median of 39.58)
GF Value™: €29.14 vs. price of €60.65 (108.1% above fair value)
Industry Position: 11.3% above the Media - Diversified median (#284 of 953)
No single metric tells the full story. See the FRA:RC6 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
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