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Huzhou Gas Co (HKSE:06661) GF Value Rank : 0 (As of May. 26, 2024)


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What is Huzhou Gas Co GF Value Rank?

Huzhou Gas Co 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.


Huzhou Gas Co GF Value Rank Related Terms

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Huzhou Gas Co (HKSE:06661) Business Description

Traded in Other Exchanges
N/A
Address
227 Sizhong Road, Zhejiang Province, Huzhou, CHN
Huzhou Gas Co Ltd is the largest piped natural gas distributor. The principal business of the company comprises of sale of gas, mainly PNG under the Concessions; provision of construction and installation services to construct and install end-user pipeline network and gas facilities for customers such as property developers and owners or occupants of residential and non-residential properties; and others, including sale of household gas appliances.
Executives
Bank Of Communications Co., Ltd. 2201 Interest of corporation controlled by you
Bocom International Holdings Company Limited 2201 Interest of corporation controlled by you
New Partner Intl Ltd 2101 Beneficial owner
Yu Linqiang 2101 Beneficial owner
Guo Tou Tai Kang Xin Tuo You Xian Gong Si 2301 Trustee
Dong Fang Ji Jin Guan Li Gu Fen You Xian Gong Si
Wu Shu Ying 2202 Interest of your spouse
Meng Er Hu 2201 Interest of corporation controlled by you
Yu Rong Fang 2202 Interest of your spouse
Bank Of Communications (nominee) Company Limited 2201 Interest of corporation controlled by you
Bocom International Securities Company Limited 2106 Person having a security interest in shares
Xin Ao Neng Yuan Kong Gu You Xian Gong Si 2201 Interest of corporation controlled by you
Xin Ao Zhong Guo Ran Qi Tou Zi You Xian Gong Si 2101 Beneficial owner

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