PERI
I get what your saying about your PE conversation and for the most part, I agree with PE expand when things are going very well, and pe's contract when growth look limited or negative in general.
I like IART A lot, but this is not a comp for me between PERI and IART. I can own both. I own 19 common stocks at the moment. Obviously I like some more than others, and I would not say PERI will be making the top of my list either, but I like it more than enough to own it at this point.
The thing your not valuing here is the cash on the balance sheet. PERI has $9.36 in cash on the balance sheet. This isn't a biotech whose drug fell apart in phase 2 and they have no revs let alone earnings and cash flows coming anytime soon. The guidance implies about $1.60 run rate annually on EPS. But here's the thing Right now the company is litterally trading at about $1.50 ex cash, that will earn about $1.60 from here, and probably start to grow again in fy 25, after this transition to lower rates gets comp. So essentially you are paying less than 1 times ex cash which is unheard of for a company. It is not just cheap it is absurdly cheap thanks to the huge cash position on the balance sheet. Anyways just my take. All is just my opinion, and I could always be wrong though.
