SPML Infra (BOM:500402) GF Value Rank : 1 (As of May. 12, 2024)

View and export this data going back to 1995. Start your Free Trial

What is SPML Infra GF Value Rank?

SPML Infra has the GF Value Rank of 1.

The GF Value Rank is determined by the price-to-GF-Value (P/GF Value) ratio, a proprietary metric calculated based on historical multiples along with an adjustment factor based on a company's past returns and growth and future estimates of the business' performance.

GuruFocus found that for valuation, we cannot simply give stocks a better GF Value rank simply because they have a lower P/GF Value ratio. Backtesting shows that over the long term, the two worst-performing groups are the most expensive group (with the highest P/GF Value ratio) and the least expensive group (with the lowest P/GF Value ratio).

We can understand why the most expensive group underperforms. We were initially puzzled by the underperformance of the least expensive group, but we realized there is a reason why some stocks are super cheap. If they look too undervalued, it is often because the businesses behind them are poor quality. The market realized this and gave them low valuations. In a way, the market is efficient.

After multiple backtesting analyses, we granted the stocks in third-cheapest percentile the highest GF Value rank, as they have performed the best over a full market cycle. Stock performance is actually not as sensitive to valuation as it is to growth and profitability. On average, the companies in the 20%-50% valuation groups have similar performances. Therefore, we should avoid the most expensive and the least expensive stocks. We can be more tolerant of valuation.

Please click GF Score to see more details on the GF Score's 5 Key Aspects of Analysis.

Competitive Comparison of SPML Infra's GF Value Rank

For the Engineering & Construction subindustry, SPML Infra's GF Value Rank, along with its competitors' market caps and GF Value Rank 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.

SPML Infra's GF Value Rank Distribution in the Construction Industry

For the Construction industry and Industrials sector, SPML Infra's GF Value Rank distribution charts can be found below:

* The bar in red indicates where SPML Infra's GF Value Rank falls into.

SPML Infra GF Value Rank Related Terms

Thank you for viewing the detailed overview of SPML Infra's GF Value Rank provided by GuruFocus.com. Please click on the following links to see related term pages.

SPML Infra (BOM:500402) Business Description

Industry

GURUFOCUS.COM » STOCK LIST » Industrials » Construction » SPML Infra Ltd (BOM:500402) » Definitions » GF Value Rank

Comparable Companies

Traded in Other Exchanges

SPMLINFRA:India

Address

22, Camac Street, Block A, 3rd Floor, Kolkata, WB, IND, 700016

Website

https://www.spml.co.in

SPML Infra Ltd is an Indian-based infrastructure development company. It is engaged in providing infrastructure solutions for water management, water infrastructure development, wastewater treatment, power generation, transmission and distribution, solid waste management, and other civil infrastructures. The company's operating segment includes Construction, Trading, Hydro Power Generation, Waste Management, and Others. Nearly half of the revenue is generated from the Construction segment followed by the trading segment which includes trading of Steel Products and Coal. Geographically, it operates only in India.

SPML Infra (BOM:500402) Headlines

No Headlines