SPDE (Speedus) Gross Margin %: 63.79% (As of Sep. 2010)


What is Speedus Gross Margin %?

Speedus SPDE -99.00% Gross Margin % is 63.79% as of Sep. 2010.

Gross Margin % is calculated as gross profit divided by its revenue. Speedus's Gross Profit for the three months ended in Sep. 2010 was $0.11 Mil. Speedus's Revenue for the three months ended in Sep. 2010 was $0.17 Mil. Therefore, Speedus's Gross Margin % for the quarter that ended in Sep. 2010 was 63.79%.


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


SPDE's Gross Margin % is not ranked *
in the Medical Devices & Instruments industry.
Industry Median: 52.07
* Ranked among companies with meaningful Gross Margin % only.

Speedus had a gross margin of 63.79% for the quarter that ended in Sep. 2010 => Durable competitive advantage

The 5-Year average Growth Rate of Gross Margin for Speedus was 0.00% per year.


Speedus  (OTCPK:SPDE) 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

Speedus had a gross margin of 63.79% for the quarter that ended in Sep. 2010 => 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.


Speedus Gross Margin % Related Terms


Speedus Gross Margin % Historical Data

* Premium members only.

The historical data trend for Speedus'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.

Speedus Gross Margin % Chart

Speedus Annual Data
Trend Dec00 Dec01 Dec02 Dec03 Dec04 Dec05 Dec06 Dec07 Dec08 Dec09
Gross Margin %
Get a 7-Day Free Trial Premium Member Only Premium Member Only 66.76 63.71 59.48 80.77 63.99

Speedus Quarterly Data
Dec05 Mar06 Jun06 Sep06 Dec06 Mar07 Jun07 Sep07 Dec07 Mar08 Jun08 Sep08 Dec08 Mar09 Jun09 Sep09 Dec09 Mar10 Jun10 Sep10
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 43.32 84.17 90.58 64.00 63.79

SPDE vs LENSF, WHSI, ASNB: Gross Margin % Comparison

For the Medical Instruments & Supplies subindustry, Speedus'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.


Speedus Gross Margin % vs Medical Devices & Instruments Industry

For the Medical Devices & Instruments industry and Healthcare sector, Speedus's Gross Margin % distribution charts can be found below:

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



Speedus Gross Margin % Calculation

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

Speedus's Gross Margin for the fiscal year that ended in Dec. 2009 is calculated as

Gross Margin % (A: Dec. 2009 )=Gross Profit (A: Dec. 2009 ) / Revenue (A: Dec. 2009 )
=0.3 / 0.461
=(Revenue - Cost of Goods Sold) / Revenue
=(0.461 - 0.166) / 0.461
=63.99 %

Speedus's Gross Margin for the quarter that ended in Sep. 2010 is calculated as


Gross Margin % (Q: Sep. 2010 )=Gross Profit (Q: Sep. 2010 ) / Revenue (Q: Sep. 2010 )
=0.1 / 0.174
=(Revenue - Cost of Goods Sold) / Revenue
=(0.174 - 0.063) / 0.174
=63.79 %

* 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 63.79% mean?
Speedus (SPDE) has a Gross Margin % of 63.79% as of Sep. 2010. Gross margin is the ratio of total gross profit to net sales. View historical data on Speedus and its competitors.
Is Speedus' Gross Margin % too high?
Speedus' current Gross Margin % is 63.79%. The Medical Devices & Instruments industry median Gross Margin % is 52.07. Speedus' value of 63.79% is 22.5% above this industry median.
How does Speedus' Gross Margin % compare to LENSF and WHSI?
Speedus' Gross Margin % of 63.79% can be compared against companies in the Medical Devices & Instruments industry. The industry median Gross Margin % is 52.07. Speedus' value of 63.79% is 22.5% above 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. Speedus's current Gross Margin % of 63.79% is 22.5% 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 Speedus 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. Speedus's current Gross Margin % is 63.79%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Speedus stock overvalued right now?
Speedus (SPDE) has a current Gross Margin % of 63.79%. The current Gross Margin % is 63.79% and 22.5% above the Medical Devices & Instruments industry median of 52.07. 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 Speedus (SPDE), the current Gross Margin % is 63.79% as of Sep. 2010. 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.

Speedus Business Description

Address 1 Dag Hammarskjold Boulevard, Freehold, NJ, USA, 07728
Speedus Corp through its subsidiaries focuses on improving health outcomes and cost effectiveness through the development of computer-aided medical devices and telemedicine based delivery systems.