TimbaBear: I'll take a position today in CPAK, which you mentioned last year. To update the thread:
Imo, CPAK is like a buggy whip company, more so than a cigar butt. They're a mini-conglomerate which tries to capitalize on brand names they acquire. Perhaps most known for being the Fuller brush people. In consumer goods, I believe "Brillo" is their's too. (I'm trying to confirm this.) They have several industrial businesses. To me, the buggy-whip is the silver halide part which includes businesses manufacturing and selling photographic film and supplies, and an international business recycling silver from companies' chemical (film) processes.
Stock has very little institutional interest. The major institutional holder seems to be a continual seller. There's not much street interest either -- the stock trades in a narrow range.
What you do get for about $6.15/sh is a small company selling under $10.15 stated book value, debt/eq about .15 with about $2.00 sh. in cash. A profitable company that pays .28 div (4.6% yield). Cash flow is "good" (my quotes. I defer to Timba/others who are much better students of this metric than I am.)
ROE, ROA, p/s, p/e have trended down (Sales up over past decade -- possibly it's the acquisitions.) Perhaps the down trend in these ratios is to be expected from buggy-whips. OTOH, the company is a survivor, and there's financial flexibilty (money) to make changes. Imo, CPAK is worth a small bet that the stock price might be higher 18-24 months out.
finance.yahoo.com
Paul Senior
(comments about CPAK welcome) |
