MTD - Embedded Expectations Analysis - 2018 01 24
ï€ Mettler-Toledo International Inc. (MTD:USA) currently trades at historical highs relative to UAFRS-based (Uniform) Earnings, with a 34.9x Uniform P/E, implying bullish expectations for the firm. However, management has concerns about revenue, costs, and acquisitionsï€ Specifically, management appears concerned about continued revenue decline in their U.S. and European retail businesses, and they may be concerned about the sustainability of strength in their retail and product inspection business going forward. They may also be exaggerating the low labor cost in Mexico, and may be exaggerating their expected synergies from their Biotix acquisition. Finally, they may be exaggerating their focus on acquisition opportunities for their process analytics business and their assertion that their acquisitions will certainly be all bolt on
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