Weg is a wonderful company, but sadly, it's still priced as it were growing like it was until 2008. Currently revenue and earnings are stagnated and the price level it's unreasonable. Current and 3 years median P/E are at a range of 23/25. FCF is only 2.9% and yield is miserables 2.4%.
In the 1Q11 margins dropped, mainly because of raw material increases and weaken dollar.
I wonder when the Mr. Market will get tired and crazy and will offer this beautiful asset at an attractive price.
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2 comments:
I agree. I regret for not buying WEG3 for 11,00 in nov/2008. Unfortunately, now Mr.Market loves this company. I hope the stagnant results will end this passion soon. Maybe a stream of bad news could do the job.
TBLE3 released it's results today. Nothing new, only the same trend. I must be taken in consideration the sazonality. The first quarter is the weakest of all.
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