Ramada Investimentos e Industria (XLIS:RAM) 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
Ramada Investimentos e Industria had a gross margin of 100.12% 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.
Ramada Investimentos e Industria Gross Margin % Related Terms
Ramada Investimentos e Industria 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.
Ramada Investimentos e Industria Gross Margin % Chart
XLIS:RAM vs NUE, STLD, RS: Gross Margin % Comparison
For the Steel subindustry, Ramada Investimentos e Industria'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.
Ramada Investimentos e Industria Gross Margin % vs Steel Industry
For the Steel industry and Basic Materials sector, Ramada Investimentos e Industria's Gross Margin % distribution charts can be found below:
* The bar in red indicates where Ramada Investimentos e Industria'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.
Ramada Investimentos e Industria (XLIS:RAM) has a Gross Margin % of 100.12% as of Dec. 2025. Gross margin is the ratio of total gross profit to net sales. View historical data on Ramada Investimentos e Industria and its competitors. This is 174% above median its historical median of 36.53. Over the past decade, Ramada Investimentos e Industria's Gross Margin % has ranged from 33.79 to 92.56. According to the industry distribution chart, Ramada Investimentos e Industria ranks #4 out of 598 companies in the Steel industry, placing it in the top 0.7%.
Is Ramada Investimentos e Industria's Gross Margin % too high?
Ramada Investimentos e Industria's current Gross Margin % of 100.12% is 174% above median its 10-year median of 36.53. Over the past 10 years, this metric has ranged from a low of 33.79 to a high of 92.56. The Steel industry median Gross Margin % is 12.61. Ramada Investimentos e Industria's value of 100.12% is 694% above this industry median. Based on the distribution chart, Ramada Investimentos e Industria ranks #4 out of 598 companies in the Steel industry, which is in the top quartile — a strong position relative to peers. Overall, Ramada Investimentos e Industria has a GF Score™ of 52/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does Ramada Investimentos e Industria's Gross Margin % compare to NUE and STLD?
According to the Steel industry distribution chart, Ramada Investimentos e Industria ranks #4 out of 598 companies for Gross Margin %. This places Ramada Investimentos e Industria in the top 1% of its industry — outperforming the majority of peers. The industry median Gross Margin % is 12.61. Ramada Investimentos e Industria's value of 100.12% is 694% above this benchmark. Historically, Ramada Investimentos e Industria's own Gross Margin % has ranged from 33.79 to 92.56 over the past decade. While the company's 10-year median is 36.53 vs. the industry median of 12.61, Ramada Investimentos e Industria 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 Steel company?
The median Gross Margin % among Steel companies is 12.61, based on 598 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. Ramada Investimentos e Industria's current Gross Margin % of 100.12% is 694% 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 Ramada Investimentos e Industria and its competitors. For the Steel industry, the median Gross Margin % is 12.61 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Ramada Investimentos e Industria's current Gross Margin % is 100.12%, which is 174% above median its own 10-year median of 36.53. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Ramada Investimentos e Industria stock overvalued right now?
Based on GuruFocus' analysis, Ramada Investimentos e Industria (XLIS:RAM) is currently considered Fairly Valued. The stock's GF Value™ is €6.86, compared to a current price of €6.94 — trading 1.2% above its estimated fair value. The current Gross Margin % is 100.12%, which is 174% above median its 10-year median of 36.53 and 694% above the Steel industry median of 12.61. Ramada Investimentos e Industria's overall GF Score™ is 52/100 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 Ramada Investimentos e Industria (XLIS:RAM), the current Gross Margin % is 100.12% 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.
Is Ramada Investimentos e Industria (XLIS:RAM) Overvalued in 2026?
Based on GuruFocus' analysis, Ramada Investimentos e Industria stock appears to be overvalued.
The current stock price of €6.94 is trading 1.2% above its estimated GF Value™ of €6.86.
GuruFocus considers Ramada Investimentos e Industria to be Fairly Valued.
Key valuation signals for XLIS:RAM:
Gross Margin %: 100.12% (174% above median its 10-year median of 36.53)
GF Value™: €6.86 vs. price of €6.94 (1.2% above fair value)
Industry Position: 694% above the Steel median (#4 of 598)
No single metric tells the full story. See the XLIS:RAM stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Ramada Investimentos e Industria Business Description
Ramada Investimentos e Industria SA manufactures steel products. It operates in two different business segments, namely, the Industry Segment, which includes the special steel and drawing mill activities, as well as the activity related to the management of the Group's financial holdings in which the Group is a minority shareholder; and the Real Estate Segment, devoted to managing real estate assets, among which is an area of forested land. The company generates the majority of its revenue from the Industry segment.
52GF Score
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