GURUFOCUS.COM » STOCK LIST » Consumer Defensive » Consumer Packaged Goods » Sunwin Stevia International Inc (OTCPK:SUWN) » Definitions » Predictability Rank

Sunwin Stevia International (Sunwin Stevia International) Predictability Rank


View and export this data going back to . Start your Free Trial

What is Sunwin Stevia International Predictability Rank?

Not Rated

Warren Buffett said many times that the companies he likes are:

1. Simple businesses that he understands
2. that have predictable and proven earnings and
3. with economic moat
4. those can be bought at a reasonable price.

It is hard to quantify "simple businesses that he (Buffett) understands", so we will focus on the other three characteristics instead. In GuruFocus Research: What worked in the market from 1998-2008? Part I: Introduction of Predictability Rank, we will show that the businesses that have predictable and proven earnings are usually also simple businesses that an average person could understand.

GuruFocus conducted a back test study of Warren Buffett's strategy of "buying good companies at fair prices" for the years from 1998-2008.


Sunwin Stevia International Predictability Rank Calculation

In our database there are 2403 stocks that have been traded from Jan. 2, 1998 to Aug. 31, 2008. We have the complete 10-year financial data and trading prices of these companies for this period. We rank the predictability of these companies based on the consistency of their revenue per share and EBITDA (earning before interest, tax, depreciation and amortization) per share over the past ten fiscal years, and study the correlation between the stock performances and the predictability of the business.

Our study may be subject to these biases and assumptions:

Dividend yields are not counted for investment returns
Effects of price changes due to spin-offs may not be fully adjusted
Study is subjected to survivorship bias due to de-listing, bankruptcy, LBO, M&A, etc.

The correlation between business predictability and investment returns of a company is showed below.

Correlation Between Business Predictability and Investment Returns

PredictablesNon-PredictableAll stocks
Total Number of stocks57018332403
Total Lost Money61830891
Total Lost More Than 50%18412430
Total Lost More Than 90%48690
Average Gain260.6%100.0%138.1%
Median Gain150.0%13.0%39.0%
Maximum Gain2852.0%11483.0%11483.0%
Maximum Loss-100.0%-100.0%-100.0%
Annualized Average Gain12.7%6.7%8.4%
Annualized Median Gain8.9%1.1%3.1%


















For the 570 predictable companies, we have seen strong correlation between the predictability of businesses and the stock performances over the past 10 years, regardless of the valuation of business at 1998. Accordingly, we have ranked the business predictability from 5-star to 1-star, as shown in this table.

Predictability Rank5-Star4.5-Star4-Star3.5-Star3-Star2.5-Star2-Star1-Star (non-predictable)Average among all
% Out of All 2403 Stocks 3.3% 2.9% 3.7% 3.3% 3.3% 3.7% 3.3% 76.3% 100%
% that are in Loss (10y) 3% 10% 8% 9% 11% 18% 16% 45% 37%
Average Gain (10y) 364.6% 330.9% 278.0% 235.1% 243.5% 227.8% 154.8% 100.0% 138.1%
Median Gain (10y) 238.5% 193.5% 171.0% 159.0% 132.5% 113.5% 87.0% 13.0% 39.0%
Maximum Gainer 2228.0% 2547.0% 2452.0% 2852.0% 2432.0% 1892.0% 1807.0% 11483.0% 11483.0%
Maximum Loser -82.0% -53.0% -67.0% -100.0% -83.0% -100.0% -78.0% -100.0% -100.0%
Annualized Average Gain 15.4% 14.6% 13.2% 12.0% 12.2% 11.7% 9.1% 6.7% 8.4%
Annualized Median Gain 12.1% 10.6% 9.8% 9.3% 8.2% 7.3% 6.0% 1.1% 3.1%
















For detailed information about each predictability rank, please go to GuruFocus Research: What worked in the market from 1998-2008? Part I: Introduction of Predictability Rank

Also read:

Part II: What worked in the market from 1998-2008? Part II: Role of Valuations
Part III: Intrinsic Value, Discounted Cash Flow and Margin of Safety

Sunwin Stevia International Predictability Rank Related Terms

Thank you for viewing the detailed overview of Sunwin Stevia International's Predictability Rank provided by GuruFocus.com. Please click on the following links to see related term pages.


Sunwin Stevia International (Sunwin Stevia International) Business Description

Traded in Other Exchanges
N/A
Address
6 Shengwang Avenue, Qufu, Shandong, CHN, 273100
Sunwin Stevia International Inc is engaged in the manufacture and sale of Stevia and its related products. It has two operating segments related to its product lines: Stevioside and Corporate and others. The majority of the revenue is generated from the Stevioside segment which produces and sells a variety of purified steviol glycosides with rebaudioside A and stevioside as the principal components. All of the company's operations are located in the People's Republic of China.
Executives
Archer Daniels Midland Co 10 percent owner 77 W. WACKER DR., CHICAGO IL 60601
Adm Holdings, Llc 10 percent owner 4666 FARIES PARKWAY, DECATUR IL 62526
Archer Daniels Midland Europe B.v. 10 percent owner STATIONSSTRAAT 76, 1541 LJ, KOOG AAN DE ZAAN P7 1540AA
Hans Peter Wild 10 percent owner
Wild Affiliated Holdings, Inc. 10 percent owner 1261 PACIFIC AVENUE, ERLANGER KY 41018
Wild Flavors, Inc. 10 percent owner 1261 PACIFIC AVENUE, ERLANGER KY 41018
Flavors Gmbh Wild 10 percent owner NEUGASSE 22, ZUG V8 6300
Laiwang Zhang director, officer: Chairman and President 6 SHENGWANG AVE., QUFU, SHANDONG F4 273100
Fanjun Wu officer: Chief Financial Officer 6 SHENGWANG AVE., QUFU,SHANDONG F4 273100
Dongdong Lin director, officer: Chief Executive Officer 6 SHENGWANG AVE., QUFU, SHANDONG F4 273100
Chengxiang Yan director, officer: GM of Qufu Natural Green 6 SHENGWANG AVE., QUFU, SHANDONG F4 273100

Sunwin Stevia International (Sunwin Stevia International) Headlines

No Headlines