TLMDW (SOC Telemed) Gross Margin %: 32.14% (As of Dec. 2021) — Near Median

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TLMDW SOC Telemed Inc TLMDW
19 GF Score
Price $0.84
! 6 Warning Signs
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What is SOC Telemed Gross Margin %?

SOC Telemed TLMDW 19 Gross Margin % is 32.14% as of Dec. 2021, which is 4% below its 10-year median of 33.54. GuruFocus rates TLMDW with a GF Score™ of 19/100. The stock has 6 warning signs investors should review.

Gross Margin % is calculated as gross profit divided by its revenue. SOC Telemed's Gross Profit for the six months ended in Dec. 2021 was $30.35 Mil. SOC Telemed's Revenue for the six months ended in Dec. 2021 was $94.44 Mil. Therefore, SOC Telemed's Gross Margin % for the quarter that ended in Dec. 2021 was 32.14%.


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

TLMDW' s Gross Margin % Range Over the Past 10 Years
Min: 32.14   Med: 33.54   Max: 39.26
Current: 32.14


During the past 3 years, the highest Gross Margin % of SOC Telemed was 39.26%. The lowest was 32.14%. And the median was 33.54%.

TLMDW's Gross Margin % is not ranked
in the Healthcare Providers & Services industry.
Industry Median: 40.23 vs TLMDW: 32.14

SOC Telemed had a gross margin of 32.14% for the quarter that ended in Dec. 2021 => Competition eroding margins

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


SOC Telemed  (NAS:TLMDW) 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

SOC Telemed had a gross margin of 32.14% for the quarter that ended in Dec. 2021 => Competition eroding margins


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.


SOC Telemed Gross Margin % Related Terms


SOC Telemed Gross Margin % Historical Data

* Premium members only.

The historical data trend for SOC Telemed'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.

SOC Telemed Gross Margin % Chart

SOC Telemed Annual Data
Trend Dec19 Dec20 Dec21
Gross Margin %
39.26 33.54 32.14

SOC Telemed Semi-Annual Data
Dec19 Dec20 Dec21
Gross Margin % 39.26 33.54 32.14

TLMDW vs PHCI, JYNT, TALK: Gross Margin % Comparison

For the Medical Care Facilities subindustry, SOC Telemed'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.


SOC Telemed Gross Margin % vs Healthcare Providers & Services Industry

For the Healthcare Providers & Services industry and Healthcare sector, SOC Telemed's Gross Margin % distribution charts can be found below:

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


TLMDW
19GF Score
SOC Telemed Inc TLMDW
Gross Margin % is just one metric. See GF Score™, valuation, warning signs, and more.
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SOC Telemed Gross Margin % Calculation

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

SOC Telemed's Gross Margin for the fiscal year that ended in Dec. 2021 is calculated as

Gross Margin % (A: Dec. 2021 )=Gross Profit (A: Dec. 2021 ) / Revenue (A: Dec. 2021 )
=30.4 / 94.442
=(Revenue - Cost of Goods Sold) / Revenue
=(94.442 - 64.091) / 94.442
=32.14 %

SOC Telemed's Gross Margin for the quarter that ended in Dec. 2021 is calculated as


Gross Margin % (Q: Dec. 2021 )=Gross Profit (Q: Dec. 2021 ) / Revenue (Q: Dec. 2021 )
=30.4 / 94.442
=(Revenue - Cost of Goods Sold) / Revenue
=(94.442 - 64.091) / 94.442
=32.14 %

* 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 32.14% mean?
SOC Telemed (TLMDW) has a Gross Margin % of 32.14% as of Dec. 2021. Gross margin is the ratio of total gross profit to net sales. View historical data on SOC Telemed and its competitors. This is near median its historical median of 33.54. Over the past decade, SOC Telemed's Gross Margin % has ranged from 32.14 to 39.26.
Is SOC Telemed's Gross Margin % too high?
SOC Telemed's current Gross Margin % of 32.14% is near median its 10-year median of 33.54. Over the past 10 years, this metric has ranged from a low of 32.14 to a high of 39.26. The Healthcare Providers & Services industry median Gross Margin % is 40.23. SOC Telemed's value of 32.14% is 20.1% below this industry median. Overall, SOC Telemed has a GF Score™ of 19/100, reflecting its overall financial health beyond just this single metric.
How does SOC Telemed's Gross Margin % compare to PHCI and JYNT?
SOC Telemed's Gross Margin % of 32.14% can be compared against companies in the Healthcare Providers & Services industry. The industry median Gross Margin % is 40.23. SOC Telemed's value of 32.14% is 20.1% below this benchmark. Historically, SOC Telemed's own Gross Margin % has ranged from 32.14 to 39.26 over the past decade. While the company's 10-year median is 33.54 vs. the industry median of 40.23, SOC Telemed has consistently been below 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 40.23, based on 635 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. SOC Telemed's current Gross Margin % of 32.14% is 20.1% 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 SOC Telemed and its competitors. For the Healthcare Providers & Services industry, the median Gross Margin % is 40.23 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. SOC Telemed's current Gross Margin % is 32.14%, which is near median its own 10-year median of 33.54. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is SOC Telemed stock overvalued right now?
SOC Telemed (TLMDW) has a current Gross Margin % of 32.14%. The current Gross Margin % is 32.14%, which is near median its 10-year median of 33.54 and 20.1% below the Healthcare Providers & Services industry median of 40.23. SOC Telemed's overall GF Score™ is 19/100 with 6 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 SOC Telemed (TLMDW), the current Gross Margin % is 32.14% as of Dec. 2021. 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.

SOC Telemed Business Description

Address 1768 Business Center Drive, Suite 100, Reston, VA, USA, 20190
SOC Telemed Inc is a provider of acute care telemedicine services and technology to U.S. hospitals and healthcare systems based on number of clients. It provides technology enabled clinical solutions which include acute teleNeurology, telePsychiatry, and teleICU, and telePulmonology service. It supports specialty care, providing time-sensitive specialty care when patients are vulnerable and may not otherwise have access. Its solution was developed to support complex workflows in the acute care setting by integrating cloud-based software platform, Telemed IQ, with a panel of patient advocates and a network of clinical specialists to create a seamless, acute telemedicine solution.
19GF Score

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Gross Margin % is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

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