RDDTNEUTRAL

RDDT Gross Margin Analysis

91.3%

Updated 142h ago·SEC filings & market data

Key Takeaway

Gross margin is the percentage of revenue a company keeps after paying direct production costs, and RDDT's current 91.3% means it retains roughly 91 cents of every dollar before other expenses.

Sector Performance

99th percentile

RDDT

91.3%

Sector Median

47.4%

Sector Avg

48.1%

Prior Period

91.5%(Jul 2026)

→ Stable
📊

Deep Analysis

Gross margin is the percentage of revenue a company keeps after paying direct production costs, and RDDT's current 91.3% means it retains roughly 91 cents of every dollar before other expenses.

This sits far above the sector median of 45.4%, placing the company in the 99th percentile of its peers, which indicates a high-margin business model. The trend is limited: year-over-year change is not available, and the quarter-over-quarter change is -0.2%, with the prior value at 91.5% and no eight-quarter history reported. The combination of an exceptionally high margin with a slight quarterly dip suggests low immediate cost pressure, but the missing longer-term trend leaves little basis to judge durability. That level alone points to a competitive advantage, while the small decline and lack of historical data introduce uncertainty. Overall, the metric supports the NEUTRAL verdict because the margin strength is offset by an absence of trend evidence and a minor recent contraction.

Frequently Asked Questions

What does the Gross Margin tell investors about RDDT?

Gross margin reveals pricing power and cost structure. Software companies often sustain 70–80%; manufacturers typically 30–50%. Expansion is a bullish signal.

How is the Gross Margin calculated?

Gross Margin is calculated as: Gross Profit / Revenue.

The Formula

Gross Profit / Revenue

Why It Matters

Gross margin reveals pricing power and cost structure. Software companies often sustain 70–80%; manufacturers typically 30–50%. Expansion is a bullish signal.

Advertisement

Master RDDT's Valuation

Get the complete institutional research report covering all fundamental and technical metrics.

View full RDDT research report

Free account — no credit card

RDDT

91.3%

Sector Median

47.4%

Sector Avg

48.1%

How RDDT's Gross Margin compares to sector peers.

Not financial advice. Research tool only. Data may be delayed.