88 Energy (ASX:88E) GF Value Rank : 0 (As of Jun. 08, 2024)

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

What is 88 Energy GF Value Rank?

88 Energy has the GF Value Rank of 0.

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.

88 Energy GF Value Rank Related Terms

Thank you for viewing the detailed overview of 88 Energy's GF Value Rank provided by GuruFocus.com. Please click on the following links to see related term pages.

88 Energy (ASX:88E) Business Description

Industry

GURUFOCUS.COM » STOCK LIST » Energy » Oil & Gas » 88 Energy Ltd (ASX:88E) » Definitions » GF Value Rank

Comparable Companies

Traded in Other Exchanges

EEENF:USA 88E:UK POQ:Germany

Address

516 Hay Street, Ground Floor, Subiaco, WA, AUS, 6008

Website

https://www.88energy.com

88 Energy Ltd is an upstream oil and gas operations company based in Australia. Its business involves exploring potential oil and natural gas and processing the acquired crude reserves. The company has oil and gas assets located across the United States and Australia. The value of its interests and operatorship in Alaska by far supersedes that of its Australian projects. The company's projects include Project Icewine, Yukon Gold Acreage, and Western Blocks. The company focuses on 1H 2016, which is a high resolution wide-azimuth three dimensional (3D) seismic acquisition. It also focuses on horizontal multi-stage frac and production test or vertical conventional test in its Icewine 2 project.

88 Energy (ASX:88E) Headlines

No Headlines