China Rare Earth Holdings (FRA:RAE) Mohanram G-Score: 1 (As of Dec. 2024) — 50% Below Median


FRA:RAE China Rare Earth Holdings Ltd FRA:RAE
48 GF Score
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What is China Rare Earth Holdings Mohanram G-Score?

China Rare Earth Holdings FRA:RAE 48 Mohanram G-Score is 1 as of Dec. 2024, which is 50% below its 10-year median of 2.00. GuruFocus rates FRA:RAE with a GF Score™ of 48/100.

Mohanram G-Score is a financial indicator developed by professor Partha Mohanram to help investors find the best investment opportunities in the growth stocks. Companies have higher G-score tends to generate higher return. According to his study, the best growth stocks that have a G-Score greater than 6 tend to beat the market, while those with a G-Score lower than 1 tend to have negative absolute returns.

Thus, the zones of discrimination were as such:

Good or high score = 6, 7, 8
Bad or low score = 0, 1

China Rare Earth Holdings has an G-score of 1. It is a bad or low score, which tends to have negative absolute returns.

The historical rank and industry rank for China Rare Earth Holdings's Mohanram G-Score or its related term are showing as below:

FRA:RAE' s Mohanram G-Score Range Over the Past 10 Years
Min: 0   Med: 2   Max: 5
Current: 1

During the past 13 years, the highest Piotroski G-score of China Rare Earth Holdings was 5. The lowest was 0. And the median was 2.

China Rare Earth Holdings  (FRA:RAE) Mohanram G-Score Explanation

Partha Mohanram is the John H. Watson Chair in Value Investing at Rotman and the Acting Vice-Dean of Research Strategy and Resources.

In 2000, he wrote a research paper called "Separating Winners from Losers Among Low Book-to-Market Stocks Using Financial Statement Analysis".

This paper tests whether a strategy based on financial statement analysis of low book-to-market (growth) stocks is successful in differentiating between winners and losers in terms of future stock performance. Based on the research, a strategy based on buying high G-score (6, 7 or 8) firms and shorting low G-score (0 or 1) firms consistently earns significant excess returns. Further, the results do not support a risk based explanation for the book-to-market effect as the strategy returns positive returns in all years, and firms that ex-ante appear less risky have better future returns.

To conclude, one can use a modified fundamental analysis strategy (G-score) to identify mispricing and earn substantial abnormal returns.


China Rare Earth Holdings Mohanram G-Score Related Terms


China Rare Earth Holdings Mohanram G-Score Historical Data

* Premium members only.

The historical data trend for China Rare Earth Holdings's Mohanram G-Score can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

China Rare Earth Holdings Mohanram G-Score Chart

China Rare Earth Holdings Annual Data
Trend Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23 Dec24
Mohanram G-Score
Get a 7-Day Free Trial Premium Member Only Premium Member Only 3.00 3.00 1.00 2.00 1.00

China Rare Earth Holdings Semi-Annual Data
Jun15 Dec15 Jun16 Dec16 Jun17 Dec17 Jun18 Dec18 Jun19 Dec19 Jun20 Dec20 Jun21 Dec21 Jun22 Dec22 Jun23 Dec23 Jun24 Dec24
Mohanram G-Score Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 1.00 N/A 2.00 N/A 1.00

FRA:RAE vs LZM, GRO, USGO: Mohanram G-Score Comparison

For the Other Industrial Metals & Mining subindustry, China Rare Earth Holdings's Mohanram G-Score, along with its competitors' market caps and Mohanram G-Score 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.


China Rare Earth Holdings Mohanram G-Score vs Metals & Mining Industry

For the Metals & Mining industry and Basic Materials sector, China Rare Earth Holdings's Mohanram G-Score distribution charts can be found below:

* The bar in red indicates where China Rare Earth Holdings's Mohanram G-Score falls into.


FRA:RAE
48GF Score
China Rare Earth Holdings Ltd FRA:RAE
Mohanram G-Score is just one metric. See GF Score™, valuation, warning signs, and more.
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China Rare Earth Holdings Mohanram G-Score Calculation

The calculation of the Mohanram G-score consists of eight criteria. Assign one point for each criterion met, then add up all the points to get the G-Score.

Profitability

Question 1. Return on Assets (ROA)

ROA % is calculated as Net Income divided by its average Total Assets over a certain period of time. It measures how well a company uses its asset to generate earnings.

Score 1 if ROA > ROA Industry Median, 0 otherwise.

Question 2. Cash ROA

Cash ROA equals to Cash Flow from Operations divided by average Total Assets. It measures how well a company uses its asset to generate cash.

Score 1 if Cash ROA > Cash ROA Industry Median, 0 otherwise.

Question 3. CFO and Net Income

Score 1 if CFO > Net Income, 0 otherwise.

Earnings Predictability

Question 4. Earnings Variability

Earnings Variability is measured as the variance of a firm's ROA in the past five years.

Score 1 if Earnings Variability < Earnings Variability Industry Median, 0 otherwise.

Question 5. Sales Growth Variability

Sales Growth Variability is measured as the 5-year variance in sales growth.

Score 1 if Sales Growth Variability < Sales Growth Variability Industry Median, 0 otherwise.

Accounting Conservatism

Question 6. Research & Development Intensity

Research & Development Intensity is calcualted by Research & Development divided by the beginning Total Assets.

Score 1 if Research & Development Intensity > Research & Development Intensity Industry Median, 0 otherwise.

Question 7. CAPEX Intensity

CAPEX Intensity is calcualted by Capital Expenditure divided by the beginning Total Assets.

Score 1 if CAPEX Intensity > CAPEX Intensity Industry Median, 0 otherwise.

Question 8. Advertising Expenditure Intensity

Advertising Expenditure Intensity is calcualted by Advertising Expenditure divided by the beginning Total Assets. Note that Advertising Expenditure is not reported as a seperate line item for many companies, thus Selling, General, & Admin. Expense is used in this calculation.

Score 1 if Advertising Expenditure Intensity > Advertising Expenditure Intensity Industry Median, 0 otherwise.

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

* Note that all the Industry Median used for comparison in his original research, are substituted with Sector Median due to the limitation of data within certain countries.

Good or high score = 6, 7, 8
Bad or low score = 0, 1

China Rare Earth Holdings has an G-score of 1. It is a bad or low score, which tends to have negative absolute returns.

Frequently Asked Questions Learn more about Mohanram G-Score →
What does a Mohanram G-Score of 1 mean?
China Rare Earth Holdings (FRA:RAE) has a Mohanram G-Score of 1 as of Dec. 2024. G-Score is a financial indicator developed by professor Partha Mohanram to help investors find the best investment opportunities in the growth stocks. View historical data on China Rare Earth Holdings and its competitors. This is 50% below median its historical median of 2.00.
Is China Rare Earth Holdings' Mohanram G-Score too high?
China Rare Earth Holdings' current Mohanram G-Score of 1 is 50% below median its 10-year median of 2.00. Overall, China Rare Earth Holdings has a GF Score™ of 48/100, reflecting its overall financial health beyond just this single metric.
How does China Rare Earth Holdings' Mohanram G-Score compare to LZM and GRO?
China Rare Earth Holdings' Mohanram G-Score of 1 can be compared against companies in the Metals & Mining industry. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Mohanram G-Score for a Metals & Mining company?
A good Mohanram G-Score depends on the Metals & Mining industry context. However, Mohanram G-Score should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high Mohanram G-Score mean?
A high Mohanram G-Score can signal that a stock is expensive relative to its fundamentals. G-Score is a financial indicator developed by professor Partha Mohanram to help investors find the best investment opportunities in the growth stocks. View historical data on China Rare Earth Holdings and its competitors. China Rare Earth Holdings's current Mohanram G-Score is 1, which is 50% below median its own 10-year median of 2.00. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is China Rare Earth Holdings stock overvalued right now?
China Rare Earth Holdings (FRA:RAE) has a current Mohanram G-Score of 1. The current Mohanram G-Score is 1, which is 50% below median its 10-year median of 2.00. China Rare Earth Holdings' overall GF Score™ is 48/100. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Mohanram G-Score calculated?
Mohanram G-Score is calculated from a company's financial statements. For China Rare Earth Holdings (FRA:RAE), the current Mohanram G-Score is 1 as of Dec. 2024. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.

China Rare Earth Holdings Business Description

Address Dingshu Town, Jiangsu Province, Yixing, CHN, 214226
China Rare Earth Holdings Ltd is an investment holding company. It operates in two segments: Rare earth and Refractory. The Rare earth segment includes manufacturing and sales of rare earth products. The Refractory segment includes the manufacturing and sales of refractory products. The majority of its revenue comes from Rare Earth Segment. Its geographical segments are China, Japan, Europe, and Others, of which China accounts for the vast majority of its revenue.
48GF Score

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