Tom Nash
patreon
Undervalued $34 Stock
🕑 Added 2021-03-26 11:01:48 +0000 UTCHey Patreons,
I am looking into a company called Premier Inc. (PINC). This is a leading service provider in the healthcare industry with a market cap of about $4B. The company is currently trading at $34 per share and based on my calculations it is about 30% undervalued and should be priced at $44 by the end of 2021.
The company generates about 32% EBITDA and about 58% gross profit, and grew by 17% last year, and based on company estimates will be expected to grow by 25% during 2021. It also sits on over 100 million USD of cash and $3.5B of assets vs. $1.3B of liabilities.
The company is traded on an P/E GAAP ratio of 13 which is significantly lower than the competitors in this category, which suggests that Premier's shares are currently undervalued.
Please note that as with ANY post or video I make this is NOT financial advice and strictly my opinion and may be totally wrong. Do your own research please. Note that past performance is not a guarantee of future results. Don't assume an investment will continue to do well in the future simply because it's done well in the past. This is strictly my opinion, so do your own research and make up your own mind. This is not financial advice, just entertainment, so be careful!
Comments
Joe K
Nice. I’ll look into this
David Williams
Thank you! One look at assets/liabilities is all it took. Placed an entry order of 50 shares at $33.⁷⁵
Lynn
Thanks for all you do, Tom. Have a great day!
