Fidelity Emerging Markets (LSE:FEML) GF Value Rank : 0 (As of Jun. 13, 2024)

View and export this data going back to 1989. Start your Free Trial

What is Fidelity Emerging Markets GF Value Rank?

Fidelity Emerging Markets 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.

Fidelity Emerging Markets GF Value Rank Related Terms

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

Fidelity Emerging Markets (LSE:FEML) Business Description

Industry

GURUFOCUS.COM » STOCK LIST » Financial Services » Asset Management » Fidelity Emerging Markets Ltd (LSE:FEML) » Definitions » GF Value Rank

Comparable Companies

Traded in Other Exchanges

FEMLl:UK

Address

Mill Court La Charroterie, Level 3, St. Peter Port, GGY, GY1 1EJ

Website

https://www.fidelity.co.uk/emergingmarkets

Fidelity Emerging Markets Ltd is a closed-ended investment fund. Its investment objective is to achieve long-term capital growth from an actively managed portfolio made up primarily of securities and financial instruments providing exposure to Emerging Market companies, both listed and unlisted.

Fidelity Emerging Markets (LSE:FEML) Headlines

No Headlines