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Hangcha Group Co (SHSE:603298) GF Value Rank : 1 (As of May. 25, 2024)


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What is Hangcha Group Co GF Value Rank?

Hangcha Group Co has the GF Value Rank of 1.

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 Hangcha Group Co's GF Value Rank

For the Farm & Heavy Construction Machinery subindustry, Hangcha Group Co'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.


Hangcha Group Co's GF Value Rank Distribution in the Farm & Heavy Construction Machinery Industry

For the Farm & Heavy Construction Machinery industry and Industrials sector, Hangcha Group Co's GF Value Rank distribution charts can be found below:

* The bar in red indicates where Hangcha Group Co's GF Value Rank falls into.



Hangcha Group Co GF Value Rank Related Terms

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Hangcha Group Co (SHSE:603298) Business Description

Traded in Other Exchanges
N/A
Address
666 Xiangfu Road, Qingshan Lake Science and Technology City, Zhejiang, Hangzhou, CHN, 311305
Hangcha Group Co Ltd is engaged in manufacturing of forklift truck. Its products include IC forklift truck, Electric forklift truck, warehouse equipment, tow tractors, side loading forklifts, explosion proof forklifts, empty container handlers and among others.
Executives
Jin Zhi Hao senior management
Zhou Su Hua senior management
Chen Sai Min senior management
Zhao Li Min Director
Chen Yuan Yuan Supervisors
Li Yuan Song senior management
Chen Wei Qiang senior management
Ren Hai Hua senior management

Hangcha Group Co (SHSE:603298) Headlines

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