Pitney Bowes: Too Late To Buy Now (Archive)
Margin tailwinds realized, but weak growth and fading momentum cap further upside.
This 5-Minute Pitch was originally published on Seeking Alpha before the launch of the Hunting Alphas website. It is shared here to showcase my previous work and track record. New 5-Minute Pitches published on this site will not be disseminated anywhere else.
Elevator Pitch
- My margin improvement thesis has played out, driven by GEC's exit and better-than-expected cost-saving initiatives.
- Weak revenue growth is the main risk for continued bullish views, as declining mail volumes and higher cancellation rates are headwinds.
- Valuations are cheap vs. peers, but implied earnings growth fundamentals are weak.
- Relative to the S&P 500, PBI bulls are losing momentum near key resistance levels, suggesting potential sideways to downward price action ahead.
Read the full article here.
Disclosures and Disclaimers
Past performance ≠ future results. Not investment advice. See full Disclaimer.
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