Real Estate Credit Investments (LSE:RECI) Net Margin %: 88.39% (As of Sep. 2025) — Near Median


LSE:RECI Real Estate Credit Investments Ltd LSE:RECI
55 GF Score
Price £1.15
GF Value £2.03
Valuation Significantly Undervalued
! 2 Warning Signs
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What is Real Estate Credit Investments Net Margin %?

Real Estate Credit Investments LSE:RECI 55 Net Margin % is 88.39% as of Sep. 2025, which is 7% above its 10-year median of 82.60. GuruFocus rates LSE:RECI with a GF Score™ of 55/100 and a GF Value™ of £2.03 (Significantly Undervalued). The stock has 2 warning signs investors should review. Among 1,580 Asset Management companies, Real Estate Credit Investments ranks worse than 55.51% on this metric.

Net margin is calculated as Net Income divided by its Revenue. Real Estate Credit Investments's Net Income for the six months ended in Sep. 2025 was £9.21 Mil. Real Estate Credit Investments's Revenue for the six months ended in Sep. 2025 was £10.42 Mil. Therefore, Real Estate Credit Investments's net margin for the quarter that ended in Sep. 2025 was 88.39%.

The historical rank and industry rank for Real Estate Credit Investments's Net Margin % or its related term are showing as below:

LSE:RECI' s Net Margin % Range Over the Past 10 Years
Min: 66.11   Med: 82.6   Max: 137.43
Current: 73.34


LSE:RECI's Net Margin % is ranked worse than
55.51% of 1580 companies
in the Asset Management industry
Industry Median: 84.895 vs LSE:RECI: 73.34

Real Estate Credit Investments  (LSE:RECI) Net Margin % Explanation

Although Net Income and Earnings-per-Share (EPS) are the most widely used parameter in measuring a company's profitability and valuation, it is the least reliable. The reason is that reported earnings can be manipulated easily by adjusting any numbers such as Depreciation, Depletion and Amotorization and non-recurring items.

But the long term trend of the net margin is a good indicator of the competitiveness and health of the business.


Real Estate Credit Investments Net Margin % Related Terms


Real Estate Credit Investments Net Margin % Historical Data

* Premium members only.

The historical data trend for Real Estate Credit Investments's Net 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.

Real Estate Credit Investments Net Margin % Chart

Real Estate Credit Investments Annual Data
Trend Mar16 Mar17 Mar18 Mar19 Mar20 Mar21 Mar22 Mar23 Mar24 Mar25
Net Margin %
Get a 7-Day Free Trial Premium Member Only Premium Member Only 90.74 87.75 77.93 80.49 75.80

Real Estate Credit Investments Semi-Annual Data
Mar16 Sep16 Mar17 Sep17 Mar18 Sep18 Mar19 Sep19 Mar20 Sep20 Mar21 Sep21 Mar22 Sep22 Mar23 Sep23 Mar24 Sep24 Mar25 Sep25
Net 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 95.50 57.84 89.31 63.33 88.39

LSE:RECI vs BLK, BX, KKR: Net Margin % Comparison

For the Asset Management subindustry, Real Estate Credit Investments's Net Margin %, along with its competitors' market caps and Net 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.


Real Estate Credit Investments Net Margin % vs Asset Management Industry

For the Asset Management industry and Financial Services sector, Real Estate Credit Investments's Net Margin % distribution charts can be found below:

* The bar in red indicates where Real Estate Credit Investments's Net Margin % falls into.


LSE:RECI
55GF Score
Real Estate Credit Investments Ltd LSE:RECI
Net Margin % is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

Real Estate Credit Investments Net Margin % Calculation

Net margin - also known as net profit margin is the ratio of Net Income divided by net sales or Revenue, usually presented in percent.

Real Estate Credit Investments's Net Margin for the fiscal year that ended in Mar. 2025 is calculated as

Net Margin=Net Income (A: Mar. 2025 )/Revenue (A: Mar. 2025 )
=22.817/30.102
=75.80 %

Real Estate Credit Investments's Net Margin for the quarter that ended in Sep. 2025 is calculated as

Net Margin=Net Income (Q: Sep. 2025 )/Revenue (Q: Sep. 2025 )
=9.207/10.416
=88.39 %

* 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.

Frequently Asked Questions Learn more about Net Margin % →
What does a Net Margin % of 88.39% mean?
Real Estate Credit Investments (LSE:RECI) has a Net Margin % of 88.39% as of Sep. 2025. Net margin is the ratio of total net income to net sales. View historical data on Real Estate Credit Investments and its competitors. This is near median its historical median of 82.60. Over the past decade, Real Estate Credit Investments' Net Margin % has ranged from 66.11 to 137.43. According to the industry distribution chart, Real Estate Credit Investments ranks #877 out of 1580 companies in the Asset Management industry, placing it in the top 55.5%.
Is Real Estate Credit Investments' Net Margin % too high?
Real Estate Credit Investments' current Net Margin % of 88.39% is near median its 10-year median of 82.60. Over the past 10 years, this metric has ranged from a low of 66.11 to a high of 137.43. The Asset Management industry median Net Margin % is 84.90. Real Estate Credit Investments' value of 88.39% is 4.1% above this industry median. Based on the distribution chart, Real Estate Credit Investments ranks #877 out of 1580 companies in the Asset Management industry, which is below the industry midpoint. Overall, Real Estate Credit Investments has a GF Score™ of 55/100 and is considered Significantly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Real Estate Credit Investments' Net Margin % compare to BLK and BX?
According to the Asset Management industry distribution chart, Real Estate Credit Investments ranks #877 out of 1580 companies for Net Margin %. This places Real Estate Credit Investments in the lower half of its industry. The industry median Net Margin % is 84.90. Real Estate Credit Investments' value of 88.39% is 4.1% above this benchmark. Historically, Real Estate Credit Investments' own Net Margin % has ranged from 66.11 to 137.43 over the past decade. While the company's 10-year median is 82.60 vs. the industry median of 84.90, Real Estate Credit Investments 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 Net Margin % for an Asset Management company?
The median Net Margin % among Asset Management companies is 84.90, based on 1,580 companies in the industry. Companies in the top quartile (top 25%) have a Net Margin % significantly above this median, while those in the bottom quartile fall well below. However, Net Margin % should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Real Estate Credit Investments's current Net Margin % of 88.39% is 4.1% 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 Net Margin % mean?
A high Net Margin % can signal that a stock is expensive relative to its fundamentals. Net margin is the ratio of total net income to net sales. View historical data on Real Estate Credit Investments and its competitors. For the Asset Management industry, the median Net Margin % is 84.90 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Real Estate Credit Investments's current Net Margin % is 88.39%, which is near median its own 10-year median of 82.60. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Real Estate Credit Investments stock overvalued right now?
Based on GuruFocus' analysis, Real Estate Credit Investments (LSE:RECI) is currently considered Significantly Undervalued. The stock's GF Value™ is £2.03, compared to a current price of £1.15 — trading 43.3% below its estimated fair value. The current Net Margin % is 88.39%, which is near median its 10-year median of 82.60 and 4.1% above the Asset Management industry median of 84.90. Real Estate Credit Investments' overall GF Score™ is 55/100 with 2 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Net Margin % calculated?
Net Margin % is calculated from a company's financial statements. For Real Estate Credit Investments (LSE:RECI), the current Net Margin % is 88.39% as of Sep. 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 Real Estate Credit Investments (LSE:RECI) Overvalued in 2026?

Based on GuruFocus' analysis, Real Estate Credit Investments stock appears to be undervalued. The current stock price of £1.15 is trading 43.3% below its estimated GF Value™ of £2.03. GuruFocus considers Real Estate Credit Investments to be Significantly Undervalued.

Key valuation signals for LSE:RECI:

  • Net Margin %: 88.39% (near median its 10-year median of 82.60)
  • GF Value™: £2.03 vs. price of £1.15 (43.3% below fair value)
  • GF Score™: 55/100 with 2 warning signs
  • Industry Position: 4.1% above the Asset Management median (#877 of 1580)

No single metric tells the full story. See the LSE:RECI stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Real Estate Credit Investments Business Description

Address East Wing, Trafalgar Court, Les Banques, Saint Peter Port, GGY, GY1 3PP
Real Estate Credit Investments Ltd is a closed-ended company registered in Guernsey. Its investment objective is to provide leveraged exposure to a portfolio and stable returns in the form of quarterly dividends. The company seeks to ensure that its investment portfolio is geographically diverse and backed by a broad range of financial assets. It mainly invests in secured residential and commercial debt by exploiting opportunities in publicly traded securities and real estate loans. To achieve its objective, the company will invest in real estate debt investments such as securitized tranches of secured real estate-related debt securities. The company holds three reportable segments the Market Bond Portfolio, Equity Securities, and Bilateral Loan and Bond Portfolio.
55GF Score

Get the complete analysis for LSE:RECI

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

£1.15
Price
£2.03
GF Value