CCS
I just sold a bunch of share in the 20.20's, I think FV is around 22 or so. So still probably slightly undervalued. But here's why I sold.
Earnings this quarter were not only aided by a lower tax rate but they were also aided by land sales. Earnings were more like .56 if they are normalized. Based on guidence I see earnings being around $1.20-1.30 for the second half. Which would put earnings normalized around 2.20 hence a 10 pe =$22 FV.
Here are my concerns GM are not as good as I hoped for. Analysts estimates are around $2.46 which I feel is way too high if they keep the numbers where they are. And I just think we are getting much closer to FV, originally I thought they would earn closer to $2.50 this year, but GM are lower, and SGA by % is higher then I expected, Hence I think earnings are gonna come in around $2.20-2.25 for the FY, hence a 10 pe get us to about $22. Not enough upside to saty in at this point. I wish CCS shareholders the best. All is just my opinion, and I could always be wrong though.
