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The 3-Year Sortino Ratio measures the additional return that an investor receives per unit of the downside risk over the past three years. As of today (2026-08-18), Simpson Manufacturing Co's 3-Year Sortino Ratio is 0.34.
Simpson Manufacturing Co (NYSE:SSD) 3-Year Sortino Ratio Explanation
The 3-Year Sortino Ratio inidicates the risk-adjusted return of an investment over the past three year. It is calculated as the annualized result of the average three-year monthly excess returns divided by the standard deviation of negative returns in the three-year period. The monthly excess return is the monthly investment return minus the monthly risk-free rate (typically the 10-year Treasury Constant Maturity Rate). If the risk-free rate for a specific region is not available, U.S. data is used by default.
Differnt from the Sharpe Ratio that penalizes both upside and downside volatility equally, the Sortino Ratio penalizes only those returns falling below a user-specified target or required rate of return. The expected returns here is set to the risk-free rate as well.
Simpson Manufacturing Co 3-Year Sortino Ratio Related Terms
SSD vs UFPI, BCC, JCTC: 3-Year Sortino Ratio Comparison
For the Lumber & Wood Production subindustry, Simpson Manufacturing Co's 3-Year Sortino Ratio, along with its competitors' market caps and 3-Year Sortino Ratio 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.
Simpson Manufacturing Co 3-Year Sortino Ratio vs Forest Products Industry
For the Forest Products industry and Basic Materials sector, Simpson Manufacturing Co's 3-Year Sortino Ratio distribution charts can be found below:
* The bar in red indicates where Simpson Manufacturing Co's 3-Year Sortino Ratio falls into.
Simpson Manufacturing Co 3-Year Sortino Ratio Calculation
The 3-Year Sortino Ratio measures the risk-adjusted return of an investment asset or portfolio in the last three year, focusing specifically on downside risk rather than total risk. A stock / portfolio's 3-Year Sortino Ratio can be calculated by dividing the difference between the three-year average monthly returns of the investment and the risk-free rate, by the standard deviation of the downside risks over the past three year.
A downside risk is a potential loss from the asset or investment. The Downside risk here is measured by the downside deviation, which is the standard deviation of negative returns.
Simpson Manufacturing Co (SSD) has a 3-Year Sortino Ratio of 0.34 as of Aug. 18, 2026. 3-Year Sortino Ratio measures the additional return that an investor receives per unit of the downside risk over the past three years. View historical data for Simpson Manufacturing Co and its competitors.
Is Simpson Manufacturing Co's 3-Year Sortino Ratio too high?
Simpson Manufacturing Co's current 3-Year Sortino Ratio is 0.34. Overall, Simpson Manufacturing Co has a GF Score™ of 97/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does Simpson Manufacturing Co's 3-Year Sortino Ratio compare to UFPI and BCC?
Simpson Manufacturing Co's 3-Year Sortino Ratio of 0.34 can be compared against companies in the Forest Products industry. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good 3-Year Sortino Ratio for a Forest Products company?
A good 3-Year Sortino Ratio depends on the Forest Products industry context. However, 3-Year Sortino Ratio should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high 3-Year Sortino Ratio mean?
A high 3-Year Sortino Ratio can signal that a stock is expensive relative to its fundamentals. 3-Year Sortino Ratio measures the additional return that an investor receives per unit of the downside risk over the past three years. View historical data for Simpson Manufacturing Co and its competitors. Simpson Manufacturing Co's current 3-Year Sortino Ratio is 0.34. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Simpson Manufacturing Co stock overvalued right now?
Based on GuruFocus' analysis, Simpson Manufacturing Co (SSD) is currently considered Fairly Valued. The stock's GF Value™ is $191.27, compared to a current price of $195.89 — trading 2.4% above its estimated fair value. The current 3-Year Sortino Ratio is 0.34. Simpson Manufacturing Co's overall GF Score™ is 97/100 with 5 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is 3-Year Sortino Ratio calculated?
3-Year Sortino Ratio is calculated from a company's financial statements. For Simpson Manufacturing Co (SSD), the current 3-Year Sortino Ratio is 0.34 as of Aug. 18, 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.
Is Simpson Manufacturing Co (SSD) Overvalued in 2026?
Based on GuruFocus' analysis, Simpson Manufacturing Co stock appears to be overvalued.
The current stock price of $195.89 is trading 2.4% above its estimated GF Value™ of $191.27.
GuruFocus considers Simpson Manufacturing Co to be Fairly Valued.
Key valuation signals for SSD:
3-Year Sortino Ratio: 0.34
GF Value™: $191.27 vs. price of $195.89 (2.4% above fair value)
No single metric tells the full story. See the SSD stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Simpson Manufacturing Co Inc designs, manufactures, and markets systems and products to make buildings and structures safe and secure. It produces wood construction products, including connectors, truss plates, fastening systems, fasteners, and shearwalls, as well as concrete construction products such as adhesives, specialty chemicals, mechanical anchors, powder actuated tools, and fiber reinforcing materials. The company serves residential, industrial, commercial, and infrastructure construction, remodeling, and do-it-yourself markets, operating exclusively in the building products industry. It has three regional segments: North America, Europe, and Asia/Pacific. The majority of its revenue comes from wood products.
97GF Score
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