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Inspur Digital Enterprise Technology (HKSE:00596) GF Value Rank : 10 (As of Jun. 03, 2024)


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What is Inspur Digital Enterprise Technology GF Value Rank?

Inspur Digital Enterprise Technology 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 Inspur Digital Enterprise Technology's GF Value Rank

For the Software - Application subindustry, Inspur Digital Enterprise Technology'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.


Inspur Digital Enterprise Technology's GF Value Rank Distribution in the Software Industry

For the Software industry and Technology sector, Inspur Digital Enterprise Technology's GF Value Rank distribution charts can be found below:

* The bar in red indicates where Inspur Digital Enterprise Technology's GF Value Rank falls into.



Inspur Digital Enterprise Technology GF Value Rank Related Terms

Thank you for viewing the detailed overview of Inspur Digital Enterprise Technology's GF Value Rank provided by GuruFocus.com. Please click on the following links to see related term pages.


Inspur Digital Enterprise Technology (HKSE:00596) Business Description

Traded in Other Exchanges
Address
1 Wang Kwong Road, Kowloon Bay, Billion Center, Room B&C, 30/Floor, Tower A, Kowloon, Hong Kong, HKG
Inspur Digital Enterprise Technology Ltd formerly, Inspur International Ltd is an investment holding company. The company's segments are Cloud services, Management software, and the Internet of Things. The Cloud services segment includes the provision of cloud services. The management software segment involves the provision of software development and other software services whereas the Internet of Things segment is engaged in the sales of IT peripherals and software. Geographically, the firm generates a majority of its revenue from Mainland China.
Executives
Ji Nan Lang Chao Wu Xian Tong Xin You Xian Gong Si 2201 Interest of corporation controlled by you
Lang Chao Ruan Jian Ke Ji You Xian Gong Si 2201 Interest of corporation controlled by you
Lang Chao Ji Tuan You Xian Gong Si 2201 Interest of corporation controlled by you
Inspur Cheeloo Overseas Investment And Development Co., Limited 2201 Interest of corporation controlled by you
Inspur Overseas Investment Limited 2101 Beneficial owner
Inspur Cloud Computing Investment Limited 2101 Beneficial owner

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