iHeartMedia (iHeartMedia) GF Value Rank : 2 (As of May. 20, 2024)

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What is iHeartMedia GF Value Rank?

iHeartMedia has the GF Value Rank of 2.

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 iHeartMedia's GF Value Rank

For the Broadcasting subindustry, iHeartMedia'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.

iHeartMedia's GF Value Rank Distribution in the Media - Diversified Industry

For the Media - Diversified industry and Communication Services sector, iHeartMedia's GF Value Rank distribution charts can be found below:

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

iHeartMedia GF Value Rank Related Terms

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iHeartMedia (iHeartMedia) Business Description

Industry

GURUFOCUS.COM » STOCK LIST » Communication Services » Media - Diversified » iHeartMedia Inc (OTCPK:IHRTB) » Definitions » GF Value Rank

Comparable Companies

Traded in Other Exchanges

IHRT:USA

Address

20880 Stone Oak Parkway, San Antonio, TX, USA, 78258

Website

https://www.iheartmedia.com

iHeartMedia Inc is a us-based diversified media and entertainment company. It operates through the segments of the Multiplatform Group, the Digital Audio Group, and the Audio & Media Services Group. The company derives prime revenue from the Multiplatform Group segment which includes the company's Broadcast radio, Networks and Sponsorships, and Events businesses. The Digital Audio Group segment includes all of the company's digital businesses, including podcasting; and the Audio & Media Services Group includes Katz Media Group, a full-service media representation business, and RCS Sound Software, a provider of scheduling and broadcast software and services.