You don't see many large-cap med-tech stocks trade for more than seven
times sales, but then you don't see many companies in that space logging
high-single digit sales growth and excellent margins/returns on capital
with a significant opportunity to grow sales and profits even further.
That's the basic story on Coloplast (OTCPK:CLPBY)
- a Danish med-tech company that has built an excellent business by
focusing on some decidedly un-sexy areas of healthcare like ostomy and
incontinence - and it creates a challenge for investors. While investors
can do well in supposedly "boring" med-tech stories like Becton Dickinson (NYSE:BDX) and Bard (NYSE:BCR), it's tough to ignore an eye-watering multiple even when the growth is strong.
Read the full article here:
Coloplast Is A Rare Story On Multiple Levels
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