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Beijing Join-Cheer Software Co (SZSE:002279) GF Value Rank : 9 (As of May. 25, 2024)


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What is Beijing Join-Cheer Software Co GF Value Rank?

Beijing Join-Cheer Software 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 Beijing Join-Cheer Software Co's GF Value Rank

For the Software - Application subindustry, Beijing Join-Cheer Software 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.


Beijing Join-Cheer Software Co's GF Value Rank Distribution in the Software Industry

For the Software industry and Technology sector, Beijing Join-Cheer Software Co's GF Value Rank distribution charts can be found below:

* The bar in red indicates where Beijing Join-Cheer Software Co's GF Value Rank falls into.



Beijing Join-Cheer Software Co GF Value Rank Related Terms

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Beijing Join-Cheer Software Co (SZSE:002279) Business Description

Traded in Other Exchanges
N/A
Address
No. 5 Da Hui Si Road, Building 3, 3F, Haidian District, Beijing, Beijing, CHN, 100081
Beijing Join-Cheer Software Co Ltd is a management software provider that focuses on providing big data integrated services. The solutions provided by the company include government management and services, long time big data, long time report, and longtime DNA.
Executives
Li Jun Director
Zhao Fu Jun Director
Shi Rui Feng Directors, executives
Wang Hai Xia Directors, executives
Wang Xin Director
Qiu An Chao Directors, executives
Ou Yang Yao Directors, executives
Ceng Chao Supervisors
Liu Wen Sheng Executives
Wang Jin Yan Supervisors
Zhu Xiao Jun Executives
Li Kun Qi Director

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