Companhia Brasileira De Distribuicao (BUE:CBRD) GF Value Rank : 2 (As of Apr. 24, 2024)

View and export this data going back to 2019. Start your Free Trial

Companhia Brasileira De Distribuicao GF Value Rank Definition

Companhia Brasileira De Distribuicao has the GF Value Rank of 2.

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 Companhia Brasileira De Distribuicao's GF Value Rank

For the Department Stores subindustry, Companhia Brasileira De Distribuicao'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.

Companhia Brasileira De Distribuicao's GF Value Rank Distribution in the Retail - Cyclical Industry

For the Retail - Cyclical industry and Consumer Cyclical sector, Companhia Brasileira De Distribuicao's GF Value Rank distribution charts can be found below:

* The bar in red indicates where Companhia Brasileira De Distribuicao's GF Value Rank falls into.

Companhia Brasileira De Distribuicao GF Value Rank Related Terms

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

Companhia Brasileira De Distribuicao (BUE:CBRD) Business Description

Industry

GURUFOCUS.COM » STOCK LIST » Consumer Cyclical » Retail - Cyclical » Companhia Brasileira De Distribuicao (BUE:CBRD) » Definitions » GF Value Rank

Comparable Companies

Traded in Other Exchanges

CBD:USA CBDN:Mexico C1B2:Germany PCAR3:Brazil

Address

Avenida Brigadeiro Luiz Antonio, 3142, Sao Paulo, SP, BRA, 01402-901

Website

https://www.gpari.com.br

Companhia Brasileira De Distribuicao, or GPA, is part of Casino Group, a Brazilian retail and distribution group. The company has a multichannel, multiformat, and multiregional approach. It operates in Latin America. GPA operates various store concepts under different names: MultiVarejo (Pao de Acucar, Extra and Proximity units), Assai Atacadista, Via Varejo, GPA Malls, and Cnova. The firm's specialties include supermarkets, hypermarkets, electronics and household appliances, convenience stores, its cash-and-carry segment, and e-commerce operations.

Companhia Brasileira De Distribuicao (BUE:CBRD) Headlines

No Headlines