Establishment Labs Holdings (FRA:3E0) GF Value Rank : 8 (As of Sep. 21, 2024)

View and export this data going back to 2018. Start your Free Trial

What is Establishment Labs Holdings GF Value Rank?

Establishment Labs Holdings has the GF Value Rank of 8.

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 Establishment Labs Holdings's GF Value Rank

For the Medical Devices subindustry, Establishment Labs Holdings'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.

Establishment Labs Holdings's GF Value Rank Distribution in the Medical Devices & Instruments Industry

For the Medical Devices & Instruments industry and Healthcare sector, Establishment Labs Holdings's GF Value Rank distribution charts can be found below:

* The bar in red indicates where Establishment Labs Holdings's GF Value Rank falls into.

Establishment Labs Holdings GF Value Rank Related Terms

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

Establishment Labs Holdings Business Description

Industry

GURUFOCUS.COM » STOCK LIST » Healthcare » Medical Devices & Instruments » Establishment Labs Holdings Inc (FRA:3E0) » Definitions » GF Value Rank

Comparable Companies

Traded in Other Exchanges

ESTA:USA

Address

Coyol Free Zone, Building B15 and 25, Alajuela, CRI

Website

https://establishmentlabs.com

Establishment Labs Holdings Inc is a medical technology company engaged in offering medical devices and aesthetic products. It is involved in designing, manufacturing, and marketing silicone-filled breast and body shaping implants. The company markets its products under Motiva implants Brand. It distributes its products to medical distributors; and physicians, hospitals, and clinics in the form of direct sales. Its geographical segments are Europe, Latin America, Asia-Pacific/Middle East, and Others.

Establishment Labs Holdings Headlines

No Headlines