GURUFOCUS.COM » STOCK LIST » Consumer Cyclical » Travel & Leisure » Louis (CYS:LUI) » Definitions » GF Value Rank

Louis (CYS:LUI) GF Value Rank : 0 (As of Jun. 10, 2024)


View and export this data going back to 1999. Start your Free Trial

What is Louis GF Value Rank?

Louis has the GF Value Rank of 0.

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.


Louis GF Value Rank Related Terms

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


Louis (CYS:LUI) Business Description

Traded in Other Exchanges
N/A
Address
11 Lemesou Avenue, Nicosia, CYP, 2112
Louis Plc is a Cyprus-based company engaged in the tourism industry in the Southeastern Mediterranean. It mainly focuses on the hotel sector in both Cyprus and Greece. It covers a range of services for inbound/outbound tourism, ownership, and management of hotel and catering units and sea tourism, as well as ground handling services at the International Airports of Larnaca and Paphos. The company's objective is to further develop and update the quality of the services that it offers to its clients.

Louis (CYS:LUI) Headlines

No Headlines