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
Rapid Micro Biosystems had a gross margin of 4.64% for the quarter that ended in Mar. 2026 => No sustainable 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.
Rapid Micro Biosystems Gross Margin % Related Terms
Rapid Micro Biosystems Gross Margin % Historical Data
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The historical data trend for Rapid Micro Biosystems'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.
RPID vs ZOMDF, STIM, OM: Gross Margin % Comparison
For the Medical Devices subindustry, Rapid Micro Biosystems'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.
Rapid Micro Biosystems Gross Margin % vs Medical Devices & Instruments Industry
For the Medical Devices & Instruments industry and Healthcare sector, Rapid Micro Biosystems's Gross Margin % distribution charts can be found below:
* The bar in red indicates where Rapid Micro Biosystems'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.
Rapid Micro Biosystems (RPID) has a Gross Margin % of 4.64% as of Mar. 2026. Gross margin is the ratio of total gross profit to net sales. View historical data on Rapid Micro Biosystems and its competitors. According to the industry distribution chart, Rapid Micro Biosystems ranks #771 out of 805 companies in the Medical Devices & Instruments industry, placing it in the top 95.8%.
Is Rapid Micro Biosystems' Gross Margin % too high?
Rapid Micro Biosystems' current Gross Margin % is 4.64%. The Medical Devices & Instruments industry median Gross Margin % is 52.07. Rapid Micro Biosystems' value of 4.64% is 91.1% below this industry median. Based on the distribution chart, Rapid Micro Biosystems ranks #771 out of 805 companies in the Medical Devices & Instruments industry, which is in the bottom quartile relative to peers. Overall, Rapid Micro Biosystems has a GF Score™ of 60/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Rapid Micro Biosystems' Gross Margin % compare to ZOMDF and STIM?
According to the Medical Devices & Instruments industry distribution chart, Rapid Micro Biosystems ranks #771 out of 805 companies for Gross Margin %. This places Rapid Micro Biosystems in the lower half of its industry. The industry median Gross Margin % is 52.07. Rapid Micro Biosystems' value of 4.64% is 91.1% below this benchmark. 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 Medical Devices & Instruments company?
The median Gross Margin % among Medical Devices & Instruments companies is 52.07, based on 805 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. Rapid Micro Biosystems's current Gross Margin % of 4.64% is 91.1% 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 Rapid Micro Biosystems and its competitors. For the Medical Devices & Instruments industry, the median Gross Margin % is 52.07 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Rapid Micro Biosystems's current Gross Margin % is 4.64%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Rapid Micro Biosystems stock overvalued right now?
Based on GuruFocus' analysis, Rapid Micro Biosystems (RPID) is currently considered Modestly Undervalued. The stock's GF Value™ is $1.88, compared to a current price of $1.70 — trading 9.6% below its estimated fair value. The current Gross Margin % is 4.64% and 91.1% below the Medical Devices & Instruments industry median of 52.07. Rapid Micro Biosystems' overall GF Score™ is 60/100 with 4 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 Rapid Micro Biosystems (RPID), the current Gross Margin % is 4.64% 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 Rapid Micro Biosystems (RPID) Overvalued in 2026?
Based on GuruFocus' analysis, Rapid Micro Biosystems stock appears to be undervalued.
The current stock price of $1.70 is trading 9.6% below its estimated GF Value™ of $1.88.
GuruFocus considers Rapid Micro Biosystems to be Modestly Undervalued.
Key valuation signals for RPID:
Gross Margin %: 4.64%
GF Value™: $1.88 vs. price of $1.70 (9.6% below fair value)
Industry Position: 91.1% below the Medical Devices & Instruments median (#771 of 805)
No single metric tells the full story. See the RPID stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Rapid Micro Biosystems Inc is a life sciences technology company. Its technology uses a sensitive camera and the natural autofluorescence of living cells to identify and quantify microbial growth faster and more accurately than the traditional method, which relies on the human eye. The company develops, manufactures, markets, and sells Growth Direct systems (Systems), proprietary consumables, laboratory information management system (LIMS) connection, and other software and services to address rapid microbial analysis used for quality control in the manufacture of pharmaceuticals, medical devices, and personal care products. Geographically, it generates maximum revenue from the United States, and the rest from Switzerland, Germany, Japan, and all other countries.
60GF Score
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