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Gas Malaysia Bhd (XKLS:5209) GF Value Rank : 6 (As of Jun. 22, 2024)


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What is Gas Malaysia Bhd GF Value Rank?

Gas Malaysia Bhd has the GF Value Rank of 6.

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 Gas Malaysia Bhd's GF Value Rank

For the Utilities - Regulated Gas subindustry, Gas Malaysia Bhd'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.


Gas Malaysia Bhd's GF Value Rank Distribution in the Utilities - Regulated Industry

For the Utilities - Regulated industry and Utilities sector, Gas Malaysia Bhd's GF Value Rank distribution charts can be found below:

* The bar in red indicates where Gas Malaysia Bhd's GF Value Rank falls into.



Gas Malaysia Bhd GF Value Rank Related Terms

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Gas Malaysia Bhd (XKLS:5209) Business Description

Traded in Other Exchanges
N/A
Address
Number 5, Jalan Serendah 26/17, Seksyen 26, Shah Alam, SGR, MYS, 40732
Gas Malaysia Bhd is a Malaysian gas utility company of which the shareholder is the state-owned Malaysian energy corporation, Petronas. Gas Malaysia is involved in the distribution and sale of natural gas and liquefied petroleum gas (LPG) within the Natural Gas Distribution System in Peninsular Malaysia. The company segments its operations into Natural Gas and LPG and Others. Nearly all of Gas Malaysia's revenue is derived from its Natural Gas and LPG division. Within this unit, the sale of natural gas generates the vast majority of revenue. Malaysia Gas also receives revenue from sales of LPG, the construction of pipelines, and pipeline usage tolling fees. While the company serves a variety of industrial and commercial consumers, its customers are residential entities.

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