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Yuanli Chemical Group Co (SHSE:603217) GF Value Rank : 8 (As of Jun. 04, 2024)


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What is Yuanli Chemical Group Co GF Value Rank?

Yuanli Chemical Group 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 Yuanli Chemical Group Co's GF Value Rank

For the Chemicals subindustry, Yuanli Chemical Group 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.


Yuanli Chemical Group Co's GF Value Rank Distribution in the Chemicals Industry

For the Chemicals industry and Basic Materials sector, Yuanli Chemical Group Co's GF Value Rank distribution charts can be found below:

* The bar in red indicates where Yuanli Chemical Group Co's GF Value Rank falls into.



Yuanli Chemical Group Co GF Value Rank Related Terms

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Yuanli Chemical Group Co (SHSE:603217) Business Description

Traded in Other Exchanges
N/A
Address
Zhuliu Street Industrial Park, 355 km from National Highway 309, Changle County, Shandong Province, Weifang, CHN, 262404
Yuanli Chemical Group Co Ltd formerly, Shandong Yuanli Science and Technology Co Ltd is a high-tech enterprise specializing in research and development, production and operation of fine chemicals. It serves various industries namely coatings and casting binders, inks, pigments, UV-curing materials, polyurethanes, wire and cable, leather products, PVC conveyor belts, optical glasses resins, personal care, pharmaceutical and others. The company offers green solvents, dibasic alcohol, plasticizers, and coalescing agents.
Executives
Li Yi Tian Director
Huang Wei Jun Director
Qin Guo Dong Director
Zhang Jian Mei Director
Liu Yu Jiang Director
Feng Guo Liang Director
Wang Jun Yu Director

Yuanli Chemical Group Co (SHSE:603217) Headlines

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