R M Drip & Sprinklers SystemsNSE:RMDRIP +0.62%79 Gross Margin % is 44.97% as of Mar. 2026, which is 5% above its 10-year median of 42.70. GuruFocus rates NSE:RMDRIP with a GF Score™ of 79/100 and a GF Value™ of ₹31.70 (Possible Value Trap). The stock has 5 warning signs investors should review. Among 210 Farm & Heavy Construction Machinery companies, R M Drip & Sprinklers Systems ranks better than 89.05% on this metric.
NSE:RMDRIP's Gross Margin % is ranked better than 89.05% of 210
companies
in the Farm & Heavy Construction Machinery industry
Industry Median: 25.66
vs NSE:RMDRIP: 44.67
R M Drip & Sprinklers Systems had a gross margin of 44.97% for the quarter that ended in Mar. 2026 => Durable competitive advantage
R M Drip & Sprinklers Systems (NSE:RMDRIP) 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
R M Drip & Sprinklers Systems had a gross margin of 44.97% 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.
R M Drip & Sprinklers Systems Gross Margin % Related Terms
R M Drip & Sprinklers Systems Gross Margin % Historical Data
* 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.
R M Drip & Sprinklers Systems Gross Margin % Chart
NSE:RMDRIP vs CAT, DE, PCAR: Gross Margin % Comparison
For the Farm & Heavy Construction Machinery subindustry, R M Drip & Sprinklers Systems'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.
R M Drip & Sprinklers Systems Gross Margin % vs Farm & Heavy Construction Machinery Industry
For the Farm & Heavy Construction Machinery industry and Industrials sector, R M Drip & Sprinklers Systems's Gross Margin % distribution charts can be found below:
* The bar in red indicates where R M Drip & Sprinklers Systems'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.
R M Drip & Sprinklers Systems (NSE:RMDRIP) has a Gross Margin % of 44.97% as of Mar. 2026. Gross margin is the ratio of total gross profit to net sales. View historical data on R M Drip & Sprinklers Systems and its competitors. This is near median its historical median of 42.70. Over the past decade, R M Drip & Sprinklers Systems' Gross Margin % has ranged from 15.89 to 48.82. According to the industry distribution chart, R M Drip & Sprinklers Systems ranks #23 out of 210 companies in the Farm & Heavy Construction Machinery industry, placing it in the top 11%.
Is R M Drip & Sprinklers Systems' Gross Margin % too high?
R M Drip & Sprinklers Systems' current Gross Margin % of 44.97% is near median its 10-year median of 42.70. Over the past 10 years, this metric has ranged from a low of 15.89 to a high of 48.82. The Farm & Heavy Construction Machinery industry median Gross Margin % is 25.66. R M Drip & Sprinklers Systems' value of 44.97% is 75.3% above this industry median. Based on the distribution chart, R M Drip & Sprinklers Systems ranks #23 out of 210 companies in the Farm & Heavy Construction Machinery industry, which is in the top quartile — a strong position relative to peers. Overall, R M Drip & Sprinklers Systems has a GF Score™ of 79/100 and is considered Possible Value Trap, reflecting its overall financial health beyond just this single metric.
How does R M Drip & Sprinklers Systems' Gross Margin % compare to CAT and DE?
According to the Farm & Heavy Construction Machinery industry distribution chart, R M Drip & Sprinklers Systems ranks #23 out of 210 companies for Gross Margin %. This places R M Drip & Sprinklers Systems in the top 11% of its industry — outperforming the majority of peers. The industry median Gross Margin % is 25.66. R M Drip & Sprinklers Systems' value of 44.97% is 75.3% above this benchmark. Historically, R M Drip & Sprinklers Systems' own Gross Margin % has ranged from 15.89 to 48.82 over the past decade. While the company's 10-year median is 42.70 vs. the industry median of 25.66, R M Drip & Sprinklers Systems 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 Farm & Heavy Construction Machinery company?
The median Gross Margin % among Farm & Heavy Construction Machinery companies is 25.66, based on 210 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. R M Drip & Sprinklers Systems's current Gross Margin % of 44.97% is 75.3% 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 R M Drip & Sprinklers Systems and its competitors. For the Farm & Heavy Construction Machinery industry, the median Gross Margin % is 25.66 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. R M Drip & Sprinklers Systems's current Gross Margin % is 44.97%, which is near median its own 10-year median of 42.70. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is R M Drip & Sprinklers Systems stock overvalued right now?
Based on GuruFocus' analysis, R M Drip & Sprinklers Systems (NSE:RMDRIP) is currently considered Possible Value Trap. The stock's GF Value™ is ₹31.70, compared to a current price of ₹19.50 — trading 38.5% below its estimated fair value. The current Gross Margin % is 44.97%, which is near median its 10-year median of 42.70 and 75.3% above the Farm & Heavy Construction Machinery industry median of 25.66. R M Drip & Sprinklers Systems' overall GF Score™ is 79/100 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 R M Drip & Sprinklers Systems (NSE:RMDRIP), the current Gross Margin % is 44.97% 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 R M Drip & Sprinklers Systems (NSE:RMDRIP) Overvalued in 2026?
Based on GuruFocus' analysis, R M Drip & Sprinklers Systems stock appears to be undervalued.
The current stock price of ₹19.50 is trading 38.5% below its estimated GF Value™ of ₹31.70.
GuruFocus considers R M Drip & Sprinklers Systems to be Possible Value Trap.
Key valuation signals for NSE:RMDRIP:
Gross Margin %: 44.97% (near median its 10-year median of 42.70)
GF Value™: ₹31.70 vs. price of ₹19.50 (38.5% below fair value)
Industry Position: 75.3% above the Farm & Heavy Construction Machinery median (#23 of 210)
No single metric tells the full story. See the NSE:RMDRIP stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
R M Drip & Sprinklers Systems Business Description
R M Drip & Sprinklers Systems Ltd designs, manufactures, and sells micro-irrigation equipment. The company's products are Drip Irrigation, Sprinkler Irrigation, and Filters, among others. The Company also assists the farmers in designing and installing its Sprinkler and Drip Irrigation systems according to their needs. The Company is operating only in one segment, i.e., Micro Irrigation Systems. The dealer network expands from Maharashtra, Madhya Pradesh, Gujarat, Karnataka, and has extended its market to Uttar Pradesh, Bihar, and Jharkhand.
79GF Score
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