GURUFOCUS.COM » STOCK LIST » Consumer Cyclical » Vehicles & Parts » ElringKlinger AG (XTER:ZIL2) » Definitions » GF Value Rank

ElringKlinger AG (XTER:ZIL2) GF Value Rank : 10 (As of May. 05, 2024)


View and export this data going back to 1998. Start your Free Trial

What is ElringKlinger AG GF Value Rank?

ElringKlinger AG has the GF Value Rank of 10.

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 ElringKlinger AG's GF Value Rank

For the Auto Parts subindustry, ElringKlinger AG'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.


ElringKlinger AG's GF Value Rank Distribution in the Vehicles & Parts Industry

For the Vehicles & Parts industry and Consumer Cyclical sector, ElringKlinger AG's GF Value Rank distribution charts can be found below:

* The bar in red indicates where ElringKlinger AG's GF Value Rank falls into.



ElringKlinger AG GF Value Rank Related Terms

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


ElringKlinger AG (XTER:ZIL2) Business Description

Traded in Other Exchanges
Address
Max-Eyth-Strasse 2, Dettingen an der Erms, DEU, 72581
ElringKlinger AG is a supplier of original equipment parts for vehicles and engines. The company produces cylinder heads and specialty gaskets, plastic housing modules, shielding components for engines, transmissions, exhaust systems, exhaust gas purification technology as well as battery and fuel cell components. Erling Klinger also offers its product to customers in the aftermarkets. The segment of the company revenue is the original equipment division, while the majority of sales are generated outside its domestic German market.
Executives
Klaus Eberhardt Supervisory Board

ElringKlinger AG (XTER:ZIL2) Headlines

No Headlines