GURUFOCUS.COM » STOCK LIST » Technology » Hardware » Pebble Beach Systems Group PLC (LSE:PEB) » Definitions » GF Value Rank

Pebble Beach Systems Group (LSE:PEB) GF Value Rank : 0 (As of Jun. 02, 2024)


View and export this data going back to 2000. Start your Free Trial

What is Pebble Beach Systems Group GF Value Rank?

Pebble Beach Systems Group 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.


Pebble Beach Systems Group GF Value Rank Related Terms

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


Pebble Beach Systems Group (LSE:PEB) Business Description

Traded in Other Exchanges
Address
Blenheim Road, Unit 1, First Quarter, Epsom, Surrey, GBR, KT19 9QN
Pebble Beach Systems Group PLC is a world leader in designing and delivering automation, integrated channel, and virtualized playout software solutions, with scalable products designed for applications of all sizes. Its customers include TV Globo Brazil, Fox News, Business Channels USA, ZDF Germany, etc. It has Pebble beach systems and Central segments. It derives most of its revenue from the Pebble beach systems segment. The company operates in the UK, Europe, North and Latin America, the Middle East, Africa, and the Asia Pacific.