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El Puerto de LiverpoolB de CV (FRA:PLV1) GF Value Rank : 5 (As of May. 26, 2024)


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What is El Puerto de LiverpoolB de CV GF Value Rank?

El Puerto de LiverpoolB de CV has the GF Value Rank of 5.

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 El Puerto de LiverpoolB de CV's GF Value Rank

For the Department Stores subindustry, El Puerto de LiverpoolB de CV'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.


El Puerto de LiverpoolB de CV's GF Value Rank Distribution in the Retail - Cyclical Industry

For the Retail - Cyclical industry and Consumer Cyclical sector, El Puerto de LiverpoolB de CV's GF Value Rank distribution charts can be found below:

* The bar in red indicates where El Puerto de LiverpoolB de CV's GF Value Rank falls into.



El Puerto de LiverpoolB de CV GF Value Rank Related Terms

Thank you for viewing the detailed overview of El Puerto de LiverpoolB de CV's GF Value Rank provided by GuruFocus.com. Please click on the following links to see related term pages.


El Puerto de LiverpoolB de CV (FRA:PLV1) Business Description

Traded in Other Exchanges
Address
Mario Pani 200, Col. Santa Fe, Cuajimalpa, Mexico, DF, MEX, 05348
El Puerto de Liverpool SAB de CV is a retail company that operates throughout Mexico in three business segments: Liverpool, which offers clothing, home goods, furniture, and cosmetics in Liverpool stores as well as boutique locations; Suburbia, which includes Suburbia stores selling consumer products of its own brands and real estate, which leases commercial space to tenants of its Galeria shopping malls. The Liverpool segment brings in the majority of revenue, with the largest portion coming from Mexico City and the surrounding areas.

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