GURUFOCUS.COM » STOCK LIST » Technology » Software » Synchronoss Technologies Inc (FRA:H6K0) » Definitions » GF Value Rank

Synchronoss Technologies (FRA:H6K0) GF Value Rank : 3 (As of May. 27, 2024)


View and export this data going back to 2010. Start your Free Trial

What is Synchronoss Technologies GF Value Rank?

Synchronoss Technologies has the GF Value Rank of 3.

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 Synchronoss Technologies's GF Value Rank

For the Software - Infrastructure subindustry, Synchronoss Technologies'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.


Synchronoss Technologies's GF Value Rank Distribution in the Software Industry

For the Software industry and Technology sector, Synchronoss Technologies's GF Value Rank distribution charts can be found below:

* The bar in red indicates where Synchronoss Technologies's GF Value Rank falls into.



Synchronoss Technologies GF Value Rank Related Terms

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


Synchronoss Technologies (FRA:H6K0) Business Description

Traded in Other Exchanges
Address
200 Crossing Boulevard, 3rd Floor, Bridgewater, NJ, USA, 08807
Synchronoss Technologies Inc is a provider of cloud- and software-based activation solutions for mobile carriers, enterprises, retailers, and original equipment manufacturers. These solutions are delivered through the Activation Services, Synchronoss Personal Cloud, Enterprise, and Integrated Life platforms, which are scalable and available on-demand. The firm's solutions include activation and processing, cloud-based sync, backup, storage, and content engagement capabilities. The company derives revenue from subscriptions and transaction-based fees. A majority of the firm's revenue is generated in the United States, and the rest is from countries across the world.

Synchronoss Technologies (FRA:H6K0) Headlines

No Headlines