Middleby (MIDD)

By xiexgp@gmail.com, November 6, 2013

This is a discussion topic or guest posting submitted by a Stock Gumshoe reader. The content has not been edited or reviewed by Stock Gumshoe, and any opinions expressed are those of the author alone.

Does anyone have an opinion about The Middleby Corporation (MIDD)? Motley fool recommended it a while ago…
Thanks in advance.

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2 Comments on " Middleby (MIDD)"


Travis Johnson, Stock Gumshoe
I have not looked at that one in a long time, but it was a legitimately spectacular pick from Tom Gardner many years ago at the Fool — I think he started recommending it early in their initial turnaround in the mid-2000s around $20 a share (it’s over $200 now), and I know they kept featuring it as a favorite for many years up to $50 and $100 at least. But that said, I don’t know much about their current prospects, they’re not a cheap or easy buy any more but they are still growing nicely — their big drivers… Read more »

Somebody please help us novices: Middleby has a PE multiple of 28, and a three-year EPS growth rate of 27%. So it’s priced for growth. If it continues to grow at 20% plus, the share price will increase. And if it falls to something more normal, like 8% (analyst’s view on the current quarter = 12%) the multiple – and therefore the share price- will fall. Making sense or showing my ignorance (which is OK). Thanks to whoever pitches in on this one.