GURUFOCUS.COM » STOCK LIST » Industrials » Industrial Products » Goodwin PLC (FRA:GDW) » Definitions » GF Value Rank

Goodwin (FRA:GDW) GF Value Rank : 3 (As of Dec. 15, 2024)


View and export this data going back to 2021. Start your Free Trial

What is Goodwin GF Value Rank?

Goodwin has the GF Value Rank of 3.

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 Goodwin's GF Value Rank

For the Specialty Industrial Machinery subindustry, Goodwin'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.


Goodwin's GF Value Rank Distribution in the Industrial Products Industry

For the Industrial Products industry and Industrials sector, Goodwin's GF Value Rank distribution charts can be found below:

* The bar in red indicates where Goodwin's GF Value Rank falls into.



Goodwin GF Value Rank Related Terms

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


Goodwin Business Description

Traded in Other Exchanges
Address
Ivy House Foundry, Hanley, Stoke-on-Trent, Staffordshire, GBR, ST1 3NR
Goodwin PLC is a mechanical component manufacturing company. Its operating segments are the Mechanical Engineering segment which includes casting, valve, antenna, and pump manufacturer and general engineering, and the Refractory Engineering segment which consists of powder manufacture and mineral processing. The company generates the majority of its revenue from the Mechanical Engineering segment. Geographically, the company generates maximum revenue from the United Kingdom and also has its presence in Europe, the United States of America, Pacific Basin, and the rest of the world.

Goodwin Headlines

No Headlines