GURUFOCUS.COM » STOCK LIST » Consumer Defensive » Consumer Packaged Goods » California Style Palms Inc (OTCPK:CFPI) » Definitions » GF Value Rank

California Style Palms (California Style Palms) GF Value Rank : 0 (As of Jun. 02, 2024)


View and export this data going back to 2004. Start your Free Trial

What is California Style Palms GF Value Rank?

California Style Palms 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.


California Style Palms GF Value Rank Related Terms

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


California Style Palms (California Style Palms) Business Description

Traded in Other Exchanges
N/A
Address
349 North Renee Street, Orange, CA, USA, 92869-3122
California Style Palms Inc is engaged in selling and installation of decorative palm trees. It owns and operates the assets, with the exception of the real estate, of Gregory Palm Farms, LLC, a fourth-generation farmers company who live to grow its own products. The company owns and operates two farms in California, and have set up central location in Orange, Orange County. It derives revenues primarily from the sale and installation of decorative palm trees.
Executives
Andrew C Schmidt director 1700 CARNEGIE AVE, SUITE 100, SANTA ANA CA 92705

California Style Palms (California Style Palms) Headlines

No Headlines