Hubei Biocause Pharmaceutical Co (SZSE:000627) GF Value Rank : 3 (As of Sep. 22, 2024)

View and export this data going back to 1996. Start your Free Trial

What is Hubei Biocause Pharmaceutical Co GF Value Rank?

Hubei Biocause Pharmaceutical Co has the GF Value Rank of 3.

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 Hubei Biocause Pharmaceutical Co's GF Value Rank

For the Insurance - Life subindustry, Hubei Biocause Pharmaceutical 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.

Hubei Biocause Pharmaceutical Co's GF Value Rank Distribution in the Insurance Industry

For the Insurance industry and Financial Services sector, Hubei Biocause Pharmaceutical Co's GF Value Rank distribution charts can be found below:

* The bar in red indicates where Hubei Biocause Pharmaceutical Co's GF Value Rank falls into.

Hubei Biocause Pharmaceutical Co GF Value Rank Related Terms

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

Hubei Biocause Pharmaceutical Co Business Description

Industry

GURUFOCUS.COM » STOCK LIST » Financial Services » Insurance » Hubei Biocause Pharmaceutical Co Ltd (SZSE:000627) » Definitions » GF Value Rank

Comparable Companies

Traded in Other Exchanges

N/A

Address

2nd Floor, Building 1, No. 1 Tianshan Road, Guohua Huijin Center, Zhanghe New District, Hubei Province, Jingmen, CHN, 448000

Website

http://www.tianmaogroup.net

Hubei Biocause Pharmaceutical Co Ltd is a China-based company engaged in life insurance, health insurance, accident insurance, and other life insurance businesses, medicine, and chemical businesses. The company generates its revenue in the form of premiums.

Executives

Jiang Hai Hua	Independent director
Fu Yong Jin	Directors, executives
Wu Shi Yan	Supervisors

Hubei Biocause Pharmaceutical Co Headlines

No Headlines