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China Vered Financial Holding (HKSE:00245) GF Value Rank : 0 (As of Jun. 09, 2024)


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What is China Vered Financial Holding GF Value Rank?

China Vered Financial Holding has the GF Value Rank of 0.

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.


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China Vered Financial Holding (HKSE:00245) Business Description

Traded in Other Exchanges
Address
8 Sunning Road, 22nd Floor, China Taiping Tower, Causeway Bay, Hong Kong, HKG
China Vered Financial Holding Corp Ltd provides securities brokerage, investment holding, investment banking, and asset management services. The majority is from the Investment holding segment. Geographically, it operates in Hong Kong, The PRC, Japan, and Canada, out of which the majority is from Hong Kong. The group's revenue is mainly derived from Interest income which includes interest income from bond investment, note investment, loan lending, bank deposits, and margin financing.
Executives
Zhong Guo Min Sheng Tou Zi Gu Fen You Xian Gong Si 2201 Interest of corporation controlled by you
Qiang Wei Kong Gu Gu Fen You Xian Gong Si 2201 Interest of corporation controlled by you
Dahengqin (hong Kong) Investment Corporation Limited 2101 Beneficial owner
Zhu Hai Da Heng Qin Ji Tuan You Xian Gong Si 2101 Beneficial owner
Liu Xueyi 2201 Interest of corporation controlled by you
Prosper Ascend Limited 2101 Beneficial owner
Hong Kong Baohui Toda Limited 2101 Beneficial owner
Zhao Xinlong 2201 Interest of corporation controlled by you
Vered Holdings (hong Kong) Limited
Vered Holdings Group Ltd
Vered Investment Co., Ltd
Qiang Wei Kong Gu Shen Zhen You Xian Gong Si

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