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Ludwig Beck am Rathauseck - Textilhaus Feldmeier AG (STU:ECK) GF Value Rank : 4 (As of Dec. 15, 2024)


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What is Ludwig Beck am Rathauseck - Textilhaus Feldmeier AG GF Value Rank?

Ludwig Beck am Rathauseck - Textilhaus Feldmeier AG has the GF Value Rank of 4.

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 Ludwig Beck am Rathauseck - Textilhaus Feldmeier AG's GF Value Rank

For the Department Stores subindustry, Ludwig Beck am Rathauseck - Textilhaus Feldmeier AG'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.


Ludwig Beck am Rathauseck - Textilhaus Feldmeier AG's GF Value Rank Distribution in the Retail - Cyclical Industry

For the Retail - Cyclical industry and Consumer Cyclical sector, Ludwig Beck am Rathauseck - Textilhaus Feldmeier AG's GF Value Rank distribution charts can be found below:

* The bar in red indicates where Ludwig Beck am Rathauseck - Textilhaus Feldmeier AG's GF Value Rank falls into.



Ludwig Beck am Rathauseck - Textilhaus Feldmeier AG GF Value Rank Related Terms

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Ludwig Beck am Rathauseck - Textilhaus Feldmeier AG Business Description

Traded in Other Exchanges
Address
Marienplatz 11, Munich, DEU, 80331
Ludwig Beck am Rathauseck - Textilhaus Feldmeier AG is a German-based fashion retail company. It subdivides its reporting segments into textile (clothing) and non-textile (accessories, stationery, music, beauty). It is engaged in the wholesale and retail sale of textiles, clothing, hardware, and other merchandise by mail order or online. It operates a textile retail business under the brand LUDWIG BECK in the medium and premium price segments. It offers textile as well as non-textile goods such as cosmetics, paper products, and sound recordings.

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