RACL GeartechNSE:RACLGEAR -0.41%69 Net Margin % is 9.38% as of Mar. 2026, which is 9% above its 10-year median of 8.64. GuruFocus rates NSE:RACLGEAR with a GF Score™ of 69/100 and a GF Value™ of ₹1,328.36 (Fairly Valued). The stock has 4 warning signs investors should review. Among 1,325 Vehicles & Parts companies, RACL Geartech ranks better than 84.6% on this metric.
Net margin is calculated as Net Income divided by its Revenue. RACL Geartech's Net Income for the
three
months ended in Mar. 2026 was ₹124 Mil. RACL Geartech's Revenue for the
three
months ended in Mar. 2026 was ₹1,317 Mil. Therefore, RACL Geartech's net margin for the quarter that ended in Mar. 2026 was 9.38%.
The historical rank and industry rank for RACL Geartech's Net Margin % or its related term are showing as below:
NSE:RACLGEAR'
s Net Margin % Range Over the Past 10 Years
Min: 4.43 Med: 8.64 Max: 11.54
Current: 9.99
NSE:RACLGEAR's Net Margin % is ranked better than 84.6% of 1325
companies
in the Vehicles & Parts industry
Industry Median: 3.19
vs NSE:RACLGEAR: 9.99
RACL Geartech (NSE:RACLGEAR) 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.
RACL Geartech Net Margin % Related Terms
RACL Geartech Net Margin % Historical Data
* Premium members only.
The historical data trend for RACL Geartech'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.
NSE:RACLGEAR vs ORLY, AZO: Net Margin % Comparison
For the Auto Parts subindustry, RACL Geartech'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.
RACL Geartech Net Margin % vs Vehicles & Parts Industry
For the Vehicles & Parts industry and Consumer Cyclical sector, RACL Geartech's Net Margin % distribution charts can be found below:
* The bar in red indicates where RACL Geartech's Net 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.
RACL Geartech (NSE:RACLGEAR) has a Net Margin % of 9.38% as of Mar. 2026. Net margin is the ratio of total net income to net sales. View historical data on RACL Geartech and its competitors. This is near median its historical median of 8.64. Over the past decade, RACL Geartech's Net Margin % has ranged from 4.43 to 11.54. According to the industry distribution chart, RACL Geartech ranks #204 out of 1325 companies in the Vehicles & Parts industry, placing it in the top 15.4%.
Is RACL Geartech's Net Margin % too high?
RACL Geartech's current Net Margin % of 9.38% is near median its 10-year median of 8.64. Over the past 10 years, this metric has ranged from a low of 4.43 to a high of 11.54. The Vehicles & Parts industry median Net Margin % is 3.19. RACL Geartech's value of 9.38% is 194% above this industry median. Based on the distribution chart, RACL Geartech ranks #204 out of 1325 companies in the Vehicles & Parts industry, which is in the top quartile — a strong position relative to peers. Overall, RACL Geartech has a GF Score™ of 69/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does RACL Geartech's Net Margin % compare to ORLY and AZO?
According to the Vehicles & Parts industry distribution chart, RACL Geartech ranks #204 out of 1325 companies for Net Margin %. This places RACL Geartech in the top 15% of its industry — outperforming the majority of peers. The industry median Net Margin % is 3.19. RACL Geartech's value of 9.38% is 194% above this benchmark. Historically, RACL Geartech's own Net Margin % has ranged from 4.43 to 11.54 over the past decade. While the company's 10-year median is 8.64 vs. the industry median of 3.19, RACL Geartech 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 a Vehicles & Parts company?
The median Net Margin % among Vehicles & Parts companies is 3.19, based on 1,325 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. RACL Geartech's current Net Margin % of 9.38% is 194% 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 RACL Geartech and its competitors. For the Vehicles & Parts industry, the median Net Margin % is 3.19 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. RACL Geartech's current Net Margin % is 9.38%, which is near median its own 10-year median of 8.64. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is RACL Geartech stock overvalued right now?
Based on GuruFocus' analysis, RACL Geartech (NSE:RACLGEAR) is currently considered Fairly Valued. The stock's GF Value™ is ₹1,328.36, compared to a current price of ₹1,367.90 — trading 3% above its estimated fair value. The current Net Margin % is 9.38%, which is near median its 10-year median of 8.64 and 194% above the Vehicles & Parts industry median of 3.19. RACL Geartech's overall GF Score™ is 69/100 with 4 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 RACL Geartech (NSE:RACLGEAR), the current Net Margin % is 9.38% as of Mar. 2026. 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 RACL Geartech (NSE:RACLGEAR) Overvalued in 2026?
Based on GuruFocus' analysis, RACL Geartech stock appears to be overvalued.
The current stock price of ₹1,367.90 is trading 3% above its estimated GF Value™ of ₹1,328.36.
GuruFocus considers RACL Geartech to be Fairly Valued.
Key valuation signals for NSE:RACLGEAR:
Net Margin %: 9.38% (near median its 10-year median of 8.64)
GF Value™: ₹1,328.36 vs. price of ₹1,367.90 (3% above fair value)
Industry Position: 194% above the Vehicles & Parts median (#204 of 1325)
No single metric tells the full story. See the NSE:RACLGEAR stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
RACL Geartech Ltd manufactures and markets automotive components. It specializes in gears, shafts, and other accessories. Its products include Transmission Gears and Shafts, Reduction Gears Trains CVT Gear Boxes, Engine Timing Gears, Sub-Assemblies, Sprockets and Ratchets, Precision Machined Parts, Synchronizing Cones and Rings and Industrial Gears. The firm produces automotive components for motorcycles and scooters, three-wheeler passenger vehicles, four-wheeler passenger vehicles, agricultural machinery, tractors, and light and heavy commercial vehicles. The group has a business presence globally. It generates its main revenue from exports.
69GF Score
Get the complete analysis for NSE:RACLGEAR
Net Margin % is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.
Quick Browse
Personalize
Premium Gurus 
Create New Portfolio
NSE:RACLGEAR has been successfully added to your 
