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Mitsui Mining and Smelting Co (TSE:5706) GF Value Rank : 3 (As of May. 15, 2024)


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What is Mitsui Mining and Smelting Co GF Value Rank?

Mitsui Mining and Smelting Co 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 Mitsui Mining and Smelting Co's GF Value Rank

For the Conglomerates subindustry, Mitsui Mining and Smelting Co'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.


Mitsui Mining and Smelting Co's GF Value Rank Distribution in the Conglomerates Industry

For the Conglomerates industry and Industrials sector, Mitsui Mining and Smelting Co's GF Value Rank distribution charts can be found below:

* The bar in red indicates where Mitsui Mining and Smelting Co's GF Value Rank falls into.



Mitsui Mining and Smelting Co GF Value Rank Related Terms

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Mitsui Mining and Smelting Co (TSE:5706) Business Description

Traded in Other Exchanges
Address
1-11-1 Osaki, Gate City Ohsaki, West Tower, 19th Floor, Shingagawa-ku, Tokyo, JPN, 141-8584
Mitsui Mining and Smelting Co Ltd (Mitsui Kinzoku) is a Japanese company which primarily supplies and produces metals for manufacturers of both automobiles and telecommunications devices. The company is split across four segments: Engineered Materials, within which Mitsui Kinzoku supplies catalytic converters, battery materials, and copper foil used in microelectronics; Metals, which involves mining, smelting, and recycling copper and zinc; Automotive Parts and Components, which principally manufactures door-related automotive parts; and Affiliates Coordination, which includes perlite, die-casting, and engineering projects. Whilst Mitsui Kinzoku derives the majority of revenue domestically, the company operates in several overseas markets, notably the United States and mainland Asia.

Mitsui Mining and Smelting Co (TSE:5706) Headlines

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