GURUFOCUS.COM » STOCK LIST » Basic Materials » Chemicals » Nitta Gelatin India Ltd (BOM:506532) » Definitions » GF Value Rank

Nitta Gelatin India (BOM:506532) GF Value Rank : 7 (As of Jun. 17, 2024)


View and export this data going back to 2000. Start your Free Trial

What is Nitta Gelatin India GF Value Rank?

Nitta Gelatin India has the GF Value Rank of 7.

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 Nitta Gelatin India's GF Value Rank

For the Specialty Chemicals subindustry, Nitta Gelatin India'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.


Nitta Gelatin India's GF Value Rank Distribution in the Chemicals Industry

For the Chemicals industry and Basic Materials sector, Nitta Gelatin India's GF Value Rank distribution charts can be found below:

* The bar in red indicates where Nitta Gelatin India's GF Value Rank falls into.



Nitta Gelatin India GF Value Rank Related Terms

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


Nitta Gelatin India (BOM:506532) Business Description

Traded in Other Exchanges
N/A
Address
56/715, SBT Avenue, Post Box No. 4262, Panampilly Nagar, Kochi, KL, IND, 682 036
Nitta Gelatin India Ltd is an India-based manufacturer and seller of Gelatin, Di-Calcium Phosphate, Ossein and Collagen peptides. The company's product range includes Gelatin for pharmaceuticals and food applications, Wellnex collagen peptides for joint health and skin beauty, Di-Calcium Phosphate as a poultry feed ingredient, NutriGold as an agricultural growth promoter, and Ossein and Chitosan for agricultural and industrial applications. Geographically, the company sells its products in India and other countries.

Nitta Gelatin India (BOM:506532) Headlines

No Headlines