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Huaren Pharmaceutical Co (SZSE:300110) GF Value Rank : 10 (As of Jun. 04, 2024)


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What is Huaren Pharmaceutical Co GF Value Rank?

Huaren Pharmaceutical Co has the GF Value Rank of 10.

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 Huaren Pharmaceutical Co's GF Value Rank

For the Drug Manufacturers - Specialty & Generic subindustry, Huaren 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.


Huaren Pharmaceutical Co's GF Value Rank Distribution in the Drug Manufacturers Industry

For the Drug Manufacturers industry and Healthcare sector, Huaren Pharmaceutical Co's GF Value Rank distribution charts can be found below:

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



Huaren Pharmaceutical Co GF Value Rank Related Terms

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Huaren Pharmaceutical Co (SZSE:300110) Business Description

Traded in Other Exchanges
N/A
Address
No. 187 Zhuzhou Road, Qingdao, Shandong, CHN, 266100
Huaren Pharmaceutical Co Ltd is a China-based company engaged in the manufacture, and sale of non-polyvinyl chloride and Non-PVC large capacity preparations. Its categories of products include conventional infusion, therapy infusion, and nutrition infusion. The company distributes its products in domestic market, with Northeast China as its main market.
Executives
Yang Xiao Dong Director
Bo Guo Xiu Executives
Zhou Xi Jian Director
Mao Yu Wei Supervisors
Chu Xiao Jun Executives
Zhou Qiang Directors, executives
Ji Sheng Bin Executives
Xiao Wei Wen Executives
Shen Hong Ce Executives
Li Xiao Li Executives
Liu Qian Executives
Wang Wen Ping Executives
Liang Fu You Director
Liang Fu Dong Director
Gong Ling Secretary Dong

Huaren Pharmaceutical Co (SZSE:300110) Headlines

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