Forterra (LSE:FORT) GF Value Rank : 6 (As of Apr. 29, 2025)

View and export this data going back to 2016. Start your Free Trial

What is Forterra GF Value Rank?

Forterra has the GF Value Rank of 6.

GF Value Rank evaluates the exclusive GuruFocus valuation and performance of a stock, rated on a scale from 1 to 10. It 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.

A higher score indicates a stock with a relatively low valuation and substantial potential for outperformance. Conversely, a lower score often reflects stocks that are either highly overvalued or deeply undervalued, both of which tend to underperform.

Please click GF Score to see more details on the GF Score's 5 Key Aspects of Analysis.

Competitive Comparison of Forterra's GF Value Rank

For the Building Materials subindustry, Forterra'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.

Forterra's GF Value Rank Distribution in the Building Materials Industry

For the Building Materials industry and Basic Materials sector, Forterra's GF Value Rank distribution charts can be found below:

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

Save Embed

;

Save Embed

;

Forterra GF Value Rank Related Terms

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

Forterra Business Description

Industry

GURUFOCUS.COM » STOCK LIST » Basic Materials » Building Materials » Forterra PLC (LSE:FORT) » Definitions » GF Value Rank

Comparable Companies

Traded in Other Exchanges

FORTl:UK

Address

5 Grange Park Court, Roman Way, Northampton, GBR, NN4 5EA

Website

https://www.forterra.co.uk

Forterra PLC operates in the construction industry. The company, with its subsidiaries, manufactures and sale of bricks, dense and lightweight blocks, precast concrete, concrete block paving, and other complementary building products. The company operates in three segments based on its products: Bricks, Blocks, and Bespoke Products. The bricks and block together account for majority of its revenue. The Bespoke Products range comprises precast concrete, concrete block paving, chimney, and roofing solutions.

Forterra Headlines

No Headlines