Institutional investors have a knack for taking a page out of Wile E.
Coyote's book when it comes to growth stocks - chasing them right off
the edge of the cliff and into valuations based on thin air. This is in
no sense meant as an indictment of the quality food equipment
manufacturer Middleby (MIDD),
as I believe this company is highly innovative and has numerous
opportunities to grow its business over the next decade. At some point,
though, even GARP investors have to acknowledge that this stock is
trading a great deal more on the "Guh" part of the story than "a
reasonable price".
Continue reading here:
Middleby Has Lots Of "Guh", Not So Much "Arp"
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