GURUFOCUS.COM » STOCK LIST » Technology » Software » Payfare Inc (STU:S2R) » Definitions » GF Value Rank

Payfare (STU:S2R) GF Value Rank : 8 (As of May. 30, 2024)


View and export this data going back to 2024. Start your Free Trial

What is Payfare GF Value Rank?

Payfare has the GF Value Rank of 8.

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 Payfare's GF Value Rank

For the Software - Infrastructure subindustry, Payfare'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.


Payfare's GF Value Rank Distribution in the Software Industry

For the Software industry and Technology sector, Payfare's GF Value Rank distribution charts can be found below:

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



Payfare GF Value Rank Related Terms

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


Payfare (STU:S2R) Business Description

Comparable Companies
Traded in Other Exchanges
Address
40 University Avenue, Suite 551, Toronto, ON, CAN, M5J 1T1
Payfare Inc is a global fintech company offering mobile banking, instant payment, and loyalty-reward solutions. Its financial technology platform is providing financial inclusion and empowerment to next-generation workers around the globe with a full-service mobile bank account and debit card with instant access to their earnings and relevant cash-back rewards. Some brands that use Payfare include Lyft, Uber, and DoorDash. Its geographical segments are Canada, the United States, and Mexico.

Payfare (STU:S2R) Headlines

No Headlines