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Western Metal Materials Co (SZSE:002149) GF Value Rank : 9 (As of May. 27, 2024)


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What is Western Metal Materials Co GF Value Rank?

Western Metal Materials Co has the GF Value Rank of 9.

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 Western Metal Materials Co's GF Value Rank

For the Other Industrial Metals & Mining subindustry, Western Metal Materials 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.


Western Metal Materials Co's GF Value Rank Distribution in the Metals & Mining Industry

For the Metals & Mining industry and Basic Materials sector, Western Metal Materials Co's GF Value Rank distribution charts can be found below:

* The bar in red indicates where Western Metal Materials Co's GF Value Rank falls into.



Western Metal Materials Co GF Value Rank Related Terms

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Western Metal Materials Co (SZSE:002149) Business Description

Traded in Other Exchanges
N/A
Address
No. 56 Keji 3rd Road, New and High-Technology Development Zone, Xi'an, Shanxi, CHN, 710065
Western Metal Materials Co Ltd is a China-based company engaged in the research and development, manufacture and sales of rare metal products. It provides rare metal clad materials and products, titanium products, metal fibers and products, refractory metal products, tungsten-molybdenum materials, as well as precious metal products and others. The company is also engaged in the rare metal testing and processing business. The company distributes its products in domestic market and to overseas markets.
Executives
Yang Li Rong Independent director
Yang Yan An Executives
Gu Liang Directors, executives
Zheng Xue Jun Executives
Yang Jian Chao Executives
Liu Yong Executives
Yan Xue Bai Director
Li Zhang Liang Supervisors
Gao Wen Zhu Directors, executives
Zhang Hong Guo Supervisors, within half a year of separation

Western Metal Materials Co (SZSE:002149) Headlines

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