Realtech AG (LTS:0NIB) Gross Margin %: 28.26% (As of Dec. 2025) — 45% Below Median


LTS:0NIB Realtech AG LTS:0NIB
72 GF Score
Price €1.05
GF Value €1.12
Valuation Fairly Valued
! 2 Warning Signs
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What is Realtech AG Gross Margin %?

Realtech AG LTS:0NIB 72 Gross Margin % is 28.26% as of Dec. 2025, which is 45% below its 10-year median of 51.07. GuruFocus rates LTS:0NIB with a GF Score™ of 72/100 and a GF Value™ of €1.12 (Fairly Valued). The stock has 2 warning signs investors should review. Among 2,681 Software companies, Realtech AG ranks worse than 65.39% on this metric.

Gross Margin % is calculated as gross profit divided by its revenue. Realtech AG's Gross Profit for the six months ended in Dec. 2025 was €1.63 Mil. Realtech AG's Revenue for the six months ended in Dec. 2025 was €5.75 Mil. Therefore, Realtech AG's Gross Margin % for the quarter that ended in Dec. 2025 was 28.26%.

Warning Sign:

Realtech AG gross margin has been in long-term decline. The average rate of decline per year is -15.5%.


The historical rank and industry rank for Realtech AG's Gross Margin % or its related term are showing as below:

LTS:0NIB' s Gross Margin % Range Over the Past 10 Years
Min: 27.14   Med: 51.07   Max: 55.73
Current: 28.54


During the past 13 years, the highest Gross Margin % of Realtech AG was 55.73%. The lowest was 27.14%. And the median was 51.07%.

LTS:0NIB's Gross Margin % is ranked worse than
65.39% of 2681 companies
in the Software industry
Industry Median: 40.41 vs LTS:0NIB: 28.54

Realtech AG had a gross margin of 28.26% for the quarter that ended in Dec. 2025 => Competition eroding margins

The 5-Year average Growth Rate of Gross Margin for Realtech AG was -15.50% per year.


Realtech AG  (LTS:0NIB) 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

Realtech AG had a gross margin of 28.26% 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.


Realtech AG Gross Margin % Related Terms


Realtech AG Gross Margin % Historical Data

* Premium members only.

The historical data trend for Realtech AG'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.

Realtech AG Gross Margin % Chart

Realtech AG Annual Data
Trend Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23 Dec24 Dec25
Gross Margin %
Get a 7-Day Free Trial Premium Member Only Premium Member Only 54.38 50.82 30.98 27.14 28.54

Realtech AG Semi-Annual Data
Jun16 Dec16 Jun17 Dec17 Jun18 Dec18 Jun19 Dec19 Jun20 Dec20 Jun21 Dec21 Jun22 Dec22 Jun23 Dec23 Jun24 Dec24 Jun25 Dec25
Gross Margin % Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 33.30 26.94 27.34 28.83 28.26

LTS:0NIB vs IBM, ACN, FISV: Gross Margin % Comparison

For the Information Technology Services subindustry, Realtech AG'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.


Realtech AG Gross Margin % vs Software Industry

For the Software industry and Technology sector, Realtech AG's Gross Margin % distribution charts can be found below:

* The bar in red indicates where Realtech AG's Gross Margin % falls into.


LTS:0NIB
72GF Score
Realtech AG LTS:0NIB
Gross Margin % is just one metric. See GF Score™, valuation, warning signs, and more.
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Realtech AG Gross Margin % Calculation

Gross Margin is the percentage of Gross Profit out of sales or Revenue.

Realtech AG's Gross Margin for the fiscal year that ended in Dec. 2025 is calculated as

Gross Margin % (A: Dec. 2025 )=Gross Profit (A: Dec. 2025 ) / Revenue (A: Dec. 2025 )
=3.2 / 11.2
=(Revenue - Cost of Goods Sold) / Revenue
=(11.2 - 8.003) / 11.2
=28.54 %

Realtech AG's Gross Margin for the quarter that ended in Dec. 2025 is calculated as


Gross Margin % (Q: Dec. 2025 )=Gross Profit (Q: Dec. 2025 ) / Revenue (Q: Dec. 2025 )
=1.6 / 5.75
=(Revenue - Cost of Goods Sold) / Revenue
=(5.75 - 4.125) / 5.75
=28.26 %

* 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.

Frequently Asked Questions Learn more about Gross Margin % →
What does a Gross Margin % of 28.26% mean?
Realtech AG (LTS:0NIB) has a Gross Margin % of 28.26% as of Dec. 2025. Gross margin is the ratio of total gross profit to net sales. View historical data on Realtech AG and its competitors. This is 45% below median its historical median of 51.07. Over the past decade, Realtech AG's Gross Margin % has ranged from 27.14 to 55.73. According to the industry distribution chart, Realtech AG ranks #1753 out of 2681 companies in the Software industry, placing it in the top 65.4%.
Is Realtech AG's Gross Margin % too high?
Realtech AG's current Gross Margin % of 28.26% is 45% below median its 10-year median of 51.07. Over the past 10 years, this metric has ranged from a low of 27.14 to a high of 55.73. The Software industry median Gross Margin % is 40.41. Realtech AG's value of 28.26% is 30.1% below this industry median. Based on the distribution chart, Realtech AG ranks #1753 out of 2681 companies in the Software industry, which is below the industry midpoint. Overall, Realtech AG has a GF Score™ of 72/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does Realtech AG's Gross Margin % compare to IBM and ACN?
According to the Software industry distribution chart, Realtech AG ranks #1753 out of 2681 companies for Gross Margin %. This places Realtech AG in the lower half of its industry. The industry median Gross Margin % is 40.41. Realtech AG's value of 28.26% is 30.1% below this benchmark. Historically, Realtech AG's own Gross Margin % has ranged from 27.14 to 55.73 over the past decade. While the company's 10-year median is 51.07 vs. the industry median of 40.41, Realtech AG 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 Software company?
The median Gross Margin % among Software companies is 40.41, based on 2,681 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. Realtech AG's current Gross Margin % of 28.26% is 30.1% 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 Realtech AG and its competitors. For the Software industry, the median Gross Margin % is 40.41 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Realtech AG's current Gross Margin % is 28.26%, which is 45% below median its own 10-year median of 51.07. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Realtech AG stock overvalued right now?
Based on GuruFocus' analysis, Realtech AG (LTS:0NIB) is currently considered Fairly Valued. The stock's GF Value™ is €1.12, compared to a current price of €1.05 — trading 6.3% below its estimated fair value. The current Gross Margin % is 28.26%, which is 45% below median its 10-year median of 51.07 and 30.1% below the Software industry median of 40.41. Realtech AG's overall GF Score™ is 72/100 with 2 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 Realtech AG (LTS:0NIB), the current Gross Margin % is 28.26% 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 Realtech AG (LTS:0NIB) Overvalued in 2026?

Based on GuruFocus' analysis, Realtech AG stock appears to be undervalued. The current stock price of €1.05 is trading 6.3% below its estimated GF Value™ of €1.12. GuruFocus considers Realtech AG to be Fairly Valued.

Key valuation signals for LTS:0NIB:

  • Gross Margin %: 28.26% (45% below median its 10-year median of 51.07)
  • GF Value™: €1.12 vs. price of €1.05 (6.3% below fair value)
  • GF Score™: 72/100 with 2 warning signs
  • Industry Position: 30.1% below the Software median (#1753 of 2681)

No single metric tells the full story. See the LTS:0NIB stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Realtech AG Business Description

Other Exchanges RTC:Germany
Address Paul-Ehrlich-Strasse 1, Leimen, BW, DEU, 69181
Realtech AG helps mid-sized and large enterprises future-proof their SAP landscapes. Services across the entire SAP value chain complement its scalable, software-driven business model. Supported by a world-wide partner network, it serves more than 300 corporate customers world-wide, from Clean Core transformation and custom extensions to Application Lifecycle Management (ALM) and leveraging the SAP Business Technology Platform (BTP).
72GF Score

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Gross Margin % is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

€1.05
Price
€1.12
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