Genscript Biotech (HKSE:01548) GF Value Rank : 4 (As of May. 15, 2024)

View and export this data going back to 2015. Start your Free Trial

What is Genscript Biotech GF Value Rank?

Genscript Biotech has the GF Value Rank of 4.

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 Genscript Biotech's GF Value Rank

For the Biotechnology subindustry, Genscript Biotech'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.

Genscript Biotech's GF Value Rank Distribution in the Biotechnology Industry

For the Biotechnology industry and Healthcare sector, Genscript Biotech's GF Value Rank distribution charts can be found below:

* The bar in red indicates where Genscript Biotech's GF Value Rank falls into.

Genscript Biotech GF Value Rank Related Terms

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

Genscript Biotech (HKSE:01548) Business Description

Industry

GURUFOCUS.COM » STOCK LIST » Healthcare » Biotechnology » Genscript Biotech Corp (HKSE:01548) » Definitions » GF Value Rank

Comparable Companies

Traded in Other Exchanges

GNNSF:USA G51:Germany

Address

No. 28, Yongxi Road, Jiangning Science Park, Jiangsu Province, Nanjing, CHN, 211100

Website

https://www.genscript.com

GenScript Biotech is a China-based provider of life science research services and products. Founded in 2002, it is best known for its gene synthesis capabilities, a widely used service by academics, biotech companies, and pharmaceutical companies around the world. Its business lines include life science research services and products, biologics development services under its ProBio brand, and industrial enzymes under its Bestzyme brand. Finally, it owns 57.1% of Nasdaq-listed Legend Biotech, whose key pipeline asset is a BCMA-targeting CAR-T treatment for multiple myeloma. We estimate that more than two thirds of GenScript's valuation is from its ownership stake in Legend.

Genscript Biotech (HKSE:01548) Headlines

No Headlines