Rapidtek TechnologiesROCO:6980 21 Gross Margin % is 40.23% as of Dec. 2025, which is 10% above its 10-year median of 36.67. GuruFocus rates ROCO:6980 with a GF Score™ of 21/100. The stock has 5 warning signs investors should review. Among 2,457 Hardware companies, Rapidtek Technologies ranks better than 73.67% on this metric.
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
Rapidtek Technologies had a gross margin of 40.23% for the quarter that ended in Dec. 2025 => 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.
Rapidtek Technologies Gross Margin % Related Terms
Rapidtek Technologies Gross Margin % Historical Data
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The historical data trend for Rapidtek Technologies'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.
ROCO:6980 vs CSCO, CIEN, MSI: Gross Margin % Comparison
For the Communication Equipment subindustry, Rapidtek Technologies'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.
Rapidtek Technologies Gross Margin % vs Hardware Industry
For the Hardware industry and Technology sector, Rapidtek Technologies's Gross Margin % distribution charts can be found below:
* The bar in red indicates where Rapidtek Technologies'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.
Rapidtek Technologies (ROCO:6980) has a Gross Margin % of 40.23% as of Dec. 2025. Gross margin is the ratio of total gross profit to net sales. View historical data on Rapidtek Technologies and its competitors. This is 10% above median its historical median of 36.67. Over the past decade, Rapidtek Technologies' Gross Margin % has ranged from 22.10 to 41.57. According to the industry distribution chart, Rapidtek Technologies ranks #647 out of 2457 companies in the Hardware industry, placing it in the top 26.3%.
Is Rapidtek Technologies' Gross Margin % too high?
Rapidtek Technologies' current Gross Margin % of 40.23% is 10% above median its 10-year median of 36.67. Over the past 10 years, this metric has ranged from a low of 22.10 to a high of 41.57. The Hardware industry median Gross Margin % is 24.54. Rapidtek Technologies' value of 40.23% is 63.9% above this industry median. Based on the distribution chart, Rapidtek Technologies ranks #647 out of 2457 companies in the Hardware industry, which is above the industry midpoint. Overall, Rapidtek Technologies has a GF Score™ of 21/100, reflecting its overall financial health beyond just this single metric.
How does Rapidtek Technologies' Gross Margin % compare to CSCO and CIEN?
According to the Hardware industry distribution chart, Rapidtek Technologies ranks #647 out of 2457 companies for Gross Margin %. This puts Rapidtek Technologies in the upper half of its industry. The industry median Gross Margin % is 24.54. Rapidtek Technologies' value of 40.23% is 63.9% above this benchmark. Historically, Rapidtek Technologies' own Gross Margin % has ranged from 22.10 to 41.57 over the past decade. While the company's 10-year median is 36.67 vs. the industry median of 24.54, Rapidtek Technologies 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 Hardware company?
The median Gross Margin % among Hardware companies is 24.54, based on 2,457 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. Rapidtek Technologies's current Gross Margin % of 40.23% is 63.9% 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 Rapidtek Technologies and its competitors. For the Hardware industry, the median Gross Margin % is 24.54 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Rapidtek Technologies's current Gross Margin % is 40.23%, which is 10% above median its own 10-year median of 36.67. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Rapidtek Technologies stock overvalued right now?
Rapidtek Technologies (ROCO:6980) has a current Gross Margin % of 40.23%. The current Gross Margin % is 40.23%, which is 10% above median its 10-year median of 36.67 and 63.9% above the Hardware industry median of 24.54. Rapidtek Technologies' overall GF Score™ is 21/100 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 Rapidtek Technologies (ROCO:6980), the current Gross Margin % is 40.23% 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.
Rapidtek Technologies Inc is an antenna designer and RF testing manufacturer. The company covers market areas that cover semiconductor IC design, electronic manufacturing, the electric vehicle industry, the Internet of Things, downstream of the medical industry, and others. The products and services offered by the company includes mWave Test Solution, SmartAuto, and Advance RF RD Center.
21GF Score
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