Radius Residential CareNZSE:RAD -1.32%40 Gross Margin % is 92.80% as of Mar. 2026, which is 4% below its 10-year median of 96.33. GuruFocus rates NZSE:RAD with a GF Score™ of 40/100 and a GF Value™ of NZ$0.29 (Modestly Overvalued). The stock has 2 warning signs investors should review. Among 629 Healthcare Providers & Services companies, Radius Residential Care ranks better than 97.3% on this metric.
NZSE:RAD's Gross Margin % is ranked better than 97.3% of 629
companies
in the Healthcare Providers & Services industry
Industry Median: 40.09
vs NZSE:RAD: 96.33
Radius Residential Care had a gross margin of 92.80% for the quarter that ended in Mar. 2026 => Durable competitive advantage
The 5-Year average Growth Rate of Gross Margin for Radius Residential Care was 0.00% per year.
Radius Residential Care (NZSE:RAD) 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
Radius Residential Care had a gross margin of 92.80% 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.
Radius Residential Care Gross Margin % Related Terms
Radius Residential Care 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.
NZSE:RAD vs HCA, THC, DVA: Gross Margin % Comparison
For the Medical Care Facilities subindustry, Radius Residential Care'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.
Radius Residential Care Gross Margin % vs Healthcare Providers & Services Industry
For the Healthcare Providers & Services industry and Healthcare sector, Radius Residential Care's Gross Margin % distribution charts can be found below:
* The bar in red indicates where Radius Residential Care'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.
Radius Residential Care (NZSE:RAD) has a Gross Margin % of 92.80% as of Mar. 2026. Gross margin is the ratio of total gross profit to net sales. View historical data on Radius Residential Care and its competitors. This is near median its historical median of 96.33. Over the past decade, Radius Residential Care's Gross Margin % has ranged from 96.33 to 96.33. According to the industry distribution chart, Radius Residential Care ranks #17 out of 629 companies in the Healthcare Providers & Services industry, placing it in the top 2.7%.
Is Radius Residential Care's Gross Margin % too high?
Radius Residential Care's current Gross Margin % of 92.80% is near median its 10-year median of 96.33. Over the past 10 years, this metric has ranged from a low of 96.33 to a high of 96.33. The Healthcare Providers & Services industry median Gross Margin % is 40.09. Radius Residential Care's value of 92.80% is 131.5% above this industry median. Based on the distribution chart, Radius Residential Care ranks #17 out of 629 companies in the Healthcare Providers & Services industry, which is in the top quartile — a strong position relative to peers. Overall, Radius Residential Care has a GF Score™ of 40/100 and is considered Modestly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Radius Residential Care's Gross Margin % compare to HCA and THC?
According to the Healthcare Providers & Services industry distribution chart, Radius Residential Care ranks #17 out of 629 companies for Gross Margin %. This places Radius Residential Care in the top 3% of its industry — outperforming the majority of peers. The industry median Gross Margin % is 40.09. Radius Residential Care's value of 92.80% is 131.5% above this benchmark. Historically, Radius Residential Care's own Gross Margin % has ranged from 96.33 to 96.33 over the past decade. While the company's 10-year median is 96.33 vs. the industry median of 40.09, Radius Residential Care 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 Healthcare Providers & Services company?
The median Gross Margin % among Healthcare Providers & Services companies is 40.09, based on 629 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. Radius Residential Care's current Gross Margin % of 92.80% is 131.5% 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 Radius Residential Care and its competitors. For the Healthcare Providers & Services industry, the median Gross Margin % is 40.09 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Radius Residential Care's current Gross Margin % is 92.80%, which is near median its own 10-year median of 96.33. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Radius Residential Care stock overvalued right now?
Based on GuruFocus' analysis, Radius Residential Care (NZSE:RAD) is currently considered Modestly Overvalued. The stock's GF Value™ is NZ$0.29, compared to a current price of NZ$0.38 — trading 29.3% above its estimated fair value. The current Gross Margin % is 92.80%, which is near median its 10-year median of 96.33 and 131.5% above the Healthcare Providers & Services industry median of 40.09. Radius Residential Care's overall GF Score™ is 40/100 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 Radius Residential Care (NZSE:RAD), the current Gross Margin % is 92.80% 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 Radius Residential Care (NZSE:RAD) Overvalued in 2026?
Based on GuruFocus' analysis, Radius Residential Care stock appears to be overvalued.
The current stock price of NZ$0.38 is trading 29.3% above its estimated GF Value™ of NZ$0.29.
GuruFocus considers Radius Residential Care to be Modestly Overvalued.
Key valuation signals for NZSE:RAD:
Gross Margin %: 92.80% (near median its 10-year median of 96.33)
GF Value™: NZ$0.29 vs. price of NZ$0.38 (29.3% above fair value)
Industry Position: 131.5% above the Healthcare Providers & Services median (#17 of 629)
No single metric tells the full story. See the NZSE:RAD stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Radius Residential Care Ltd is a health and aged care provider for elderly and disabled people. The company provides residential care, hospital care, dementia care, respite care, and palliative care. Additionally, the company offers Young Disabled Care services for those under 65 who require assistance with self-care, mobility, and/or communication. It has one operating segment, being the provision of aged care in New Zealand.
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