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Strategies & Market Trends : Value Investing

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To: Paul Senior who wrote (61493)12/7/2018 9:02:42 AM
From: E_K_S  Read Replies (1) of 78705
 
United Natural Foods misses by $0.14, beats on revenue
Dec. 6, 2018 4:09 PM ET

United Natural Foods (NASDAQ: UNFI): Q1 Non-GAAP EPS of $0.59 misses by $0.14; GAAP EPS of -$0.38 misses by $1.14.

Revenue of $2.87B (+16.7% Y/Y) beats by $170M.

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Ran the GN calculator and based on a $36/share BV and $3.00/share earnings, stock is fairly valued at $49.00/share. That suggests that at the current price of $18.00/share, stock is 63% undervalued.

Even if you back out the Goodwill and other intangible assets, it still appears to be selling at a bargain price. Still need to look at the debt level after the $1.35Bln purchase of SVU assets.

Will take look to start a small position at/below $17.50/share as it should complement my AG/Food basket of stocks.

EKS
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