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Arich Enterprise Co (ROCO:4173) GF Value Rank : 8 (As of May. 23, 2024)


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What is Arich Enterprise Co GF Value Rank?

Arich Enterprise Co has the GF Value Rank of 8.

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 Arich Enterprise Co's GF Value Rank

For the Pharmaceutical Retailers subindustry, Arich Enterprise Co'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.


Arich Enterprise Co's GF Value Rank Distribution in the Healthcare Providers & Services Industry

For the Healthcare Providers & Services industry and Healthcare sector, Arich Enterprise Co's GF Value Rank distribution charts can be found below:

* The bar in red indicates where Arich Enterprise Co's GF Value Rank falls into.



Arich Enterprise Co GF Value Rank Related Terms

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Arich Enterprise Co (ROCO:4173) Business Description

Traded in Other Exchanges
N/A
Address
No.880, Zhongzheng Road, 14F-5, Zhonghe District, Taipei, TWN, 235601
Arich Enterprise Co Ltd is a Taiwan-based company operating in the pharmaceutical industry. The company is engaged in providing medical sales and promotion and logistics services. The company markets and sells pharmaceutical products. The company's services cover customers including medical centers, area hospitals, district hospitals, general practitioner, and key accounts which includes chain stores and hyper markets, drug stores, and wholesalers. The product portfolio of the company includes Actos, Aftach, Cytotec, Gaster, Prometin, Hicee, Lederscon, Alinamin, Nacid tab, Setoral, Sibutil, and many more.

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