Tubos ReunidosXMAD:TRG 17 Gross Margin % is 49.18% as of Dec. 2025, which is 13% below its 10-year median of 56.68. GuruFocus rates XMAD:TRG with a GF Score™ of 17/100 and a GF Value™ of €0.49 (Possible Value Trap). The stock has 4 warning signs investors should review. Among 594 Steel companies, Tubos Reunidos ranks better than 96.13% 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
Tubos Reunidos had a gross margin of 49.18% 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.
Tubos Reunidos Gross Margin % Related Terms
Tubos Reunidos Gross Margin % Historical Data
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The historical data trend for Tubos Reunidos'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.
XMAD:TRG vs NUE, STLD, RS: Gross Margin % Comparison
For the Steel subindustry, Tubos Reunidos'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.
Tubos Reunidos Gross Margin % vs Steel Industry
For the Steel industry and Basic Materials sector, Tubos Reunidos's Gross Margin % distribution charts can be found below:
* The bar in red indicates where Tubos Reunidos'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.
Tubos Reunidos (XMAD:TRG) has a Gross Margin % of 49.18% as of Dec. 2025. Gross margin is the ratio of total gross profit to net sales. View historical data on Tubos Reunidos and its competitors. This is 13% below median its historical median of 56.68. Over the past decade, Tubos Reunidos' Gross Margin % has ranged from 50.46 to 67.28. According to the industry distribution chart, Tubos Reunidos ranks #23 out of 594 companies in the Steel industry, placing it in the top 3.9%.
Is Tubos Reunidos' Gross Margin % too high?
Tubos Reunidos' current Gross Margin % of 49.18% is 13% below median its 10-year median of 56.68. Over the past 10 years, this metric has ranged from a low of 50.46 to a high of 67.28. The Steel industry median Gross Margin % is 12.61. Tubos Reunidos' value of 49.18% is 290% above this industry median. Based on the distribution chart, Tubos Reunidos ranks #23 out of 594 companies in the Steel industry, which is in the top quartile — a strong position relative to peers. Overall, Tubos Reunidos has a GF Score™ of 17/100 and is considered Possible Value Trap, reflecting its overall financial health beyond just this single metric.
How does Tubos Reunidos' Gross Margin % compare to NUE and STLD?
According to the Steel industry distribution chart, Tubos Reunidos ranks #23 out of 594 companies for Gross Margin %. This places Tubos Reunidos in the top 4% of its industry — outperforming the majority of peers. The industry median Gross Margin % is 12.61. Tubos Reunidos' value of 49.18% is 290% above this benchmark. Historically, Tubos Reunidos' own Gross Margin % has ranged from 50.46 to 67.28 over the past decade. While the company's 10-year median is 56.68 vs. the industry median of 12.61, Tubos Reunidos 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 594 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. Tubos Reunidos's current Gross Margin % of 49.18% is 290% 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 Tubos Reunidos 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. Tubos Reunidos's current Gross Margin % is 49.18%, which is 13% below median its own 10-year median of 56.68. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Tubos Reunidos stock overvalued right now?
Based on GuruFocus' analysis, Tubos Reunidos (XMAD:TRG) is currently considered Possible Value Trap. The stock's GF Value™ is €0.49, compared to a current price of €0.14 — trading 70.7% below its estimated fair value. The current Gross Margin % is 49.18%, which is 13% below median its 10-year median of 56.68 and 290% above the Steel industry median of 12.61. Tubos Reunidos' overall GF Score™ is 17/100 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 Tubos Reunidos (XMAD:TRG), the current Gross Margin % is 49.18% 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 Tubos Reunidos (XMAD:TRG) Overvalued in 2026?
Based on GuruFocus' analysis, Tubos Reunidos stock appears to be undervalued.
The current stock price of €0.14 is trading 70.7% below its estimated GF Value™ of €0.49.
GuruFocus considers Tubos Reunidos to be Possible Value Trap.
Key valuation signals for XMAD:TRG:
Gross Margin %: 49.18% (13% below median its 10-year median of 56.68)
GF Value™: €0.49 vs. price of €0.14 (70.7% below fair value)
Industry Position: 290% above the Steel median (#23 of 594)
No single metric tells the full story. See the XMAD:TRG stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Tubos Reunidos SA is a holding company. The company operates in the areas of the seamless tube, distribution, automotive and other sectors. Its products are essentially required by the energy sector; Oil and Gas, electrical power generation and petrochemical industry, as well as by machinery and special industrial applications. The product portfolio includes tubes manufactured in carbon, alloyed, high allowed and stainless, steels.
17GF Score
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