GURUFOCUS.COM » STOCK LIST » Basic Materials » Forest Products » Century Textiles & Industries Ltd (BOM:500040) » Definitions » GF Value Rank

Century Textiles & Industries (BOM:500040) GF Value Rank : 5 (As of May. 31, 2024)


View and export this data going back to 1991. Start your Free Trial

What is Century Textiles & Industries GF Value Rank?

Century Textiles & Industries has the GF Value Rank of 5.

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 Century Textiles & Industries's GF Value Rank

For the Paper & Paper Products subindustry, Century Textiles & Industries'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.


Century Textiles & Industries's GF Value Rank Distribution in the Forest Products Industry

For the Forest Products industry and Basic Materials sector, Century Textiles & Industries's GF Value Rank distribution charts can be found below:

* The bar in red indicates where Century Textiles & Industries's GF Value Rank falls into.



Century Textiles & Industries GF Value Rank Related Terms

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


Century Textiles & Industries (BOM:500040) Business Description

Traded in Other Exchanges
Address
Dr. Annie Besant Road, Century Bhavan, Worli, Mumbai, MH, IND, 400030
Century Textiles & Industries Ltd is a manufacturer with three main business segments: Textiles, Pulp and Paper, and Real Estate. The textiles division manufactures textiles, including suits, shirts, denim products, and bed linens, and rayon products, including various types of yarns and chemicals used to make textiles, tires, and household products. The Real Estates segment includes leased properties. The pulp and paper segment sells products including writing and printing paper, tissue paper, and paper board. Most of the company's revenue is generated in India. Exports comprise less than 10% of total sales.

Century Textiles & Industries (BOM:500040) Headlines

No Headlines