GURUFOCUS.COM » STOCK LIST » Financial Services » Capital Markets » Deutsche Boerse AG (XTER:DB1) » Definitions » GF Value Rank

Deutsche Boerse AG (XTER:DB1) GF Value Rank : 9 (As of Apr. 25, 2024)


View and export this data going back to 2001. Start your Free Trial

What is Deutsche Boerse AG GF Value Rank?

Deutsche Boerse AG 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 Deutsche Boerse AG's GF Value Rank

For the Financial Data & Stock Exchanges subindustry, Deutsche Boerse 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.


Deutsche Boerse AG's GF Value Rank Distribution in the Capital Markets Industry

For the Capital Markets industry and Financial Services sector, Deutsche Boerse AG's GF Value Rank distribution charts can be found below:

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



Deutsche Boerse AG GF Value Rank Related Terms

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


Deutsche Boerse AG (XTER:DB1) Business Description

Address
Mergenthalerallee 61, Eschborn, Frankfurt, HE, DEU, 60485
Deutsche Boerse is a financial exchange company headquartered in Frankfurt, Germany. The company primarily generates revenue through its Eurex and Clearstream segments. Eurex allows for the trading and clearing of derivatives. Clearstream offers custody and settlement services for domestic and international securities, as well as collateral management services. Other segments include Xetra, which generates revenue through trading and clearing cash equities, STOXX (an index business), and several others.
Executives
Heike Eckert Board of Directors
Dr. Christoph Böhm Board of Directors
Dr. Stephan Leithner Board of Directors
Dr. Thomas Book Board of Directors
Gregor Pottmeyer Board of Directors
Dr. Theodor Weimer Board of Directors

Deutsche Boerse AG (XTER:DB1) Headlines

No Headlines