Should You Buy Integer Holdings Corporation (ITGR) Now?
Integer Holdings Corporation (NYSE:ITGR), a healthcare equipment and supplies company based in United States, led the NYSE gainers with a relatively large price hike in the past couple of weeks. As a stock with high coverage by analysts, you could assume any recent changes in the company’s outlook is already priced into the stock. However, what if the stock is still a bargain? Let’s take a look at ITGR’s outlook and value based on the most recent financial data to see if the opportunity still exists. View our latest analysis for Integer Holdings
What's the opportunity in ITGR?
The stock seems fairly valued at the moment according to my valuation model. It’s trading around 7% above my intrinsic value, which means if you buy ITGR today, you’d be paying a relatively reasonable price for it. And if you believe ITGR’s true value is $50.25, then there isn’t really any room for the share price grow beyond what it’s currently trading. Furthermore, ITGR’s share price also seems relatively stable compared to the rest of the market, as indicated by its low beta. This may mean it is less likely for ITGR to fall lower from natural market volatility, which suggests less opportunities to buy moving forward.
Can we expect growth from ITGR?
Future outlook is an important aspect when you’re looking at buying a stock, especially if you are an investor looking for growth in your portfolio. Although value investors would argue that it’s the intrinsic value relative to the price that matter the most, a more compelling investment thesis would be high growth potential at a cheap price. With profit expected to more than double over the next couple of years, the future seems bright for ITGR. It looks like higher cash flows is on the cards for the stock, which should feed into a higher share valuation.
What this means for you:
Are you a shareholder? It seems like the market has already priced in ITGR’s positive outlook, with shares trading around its fair value. However, there are also other important factors which we haven’t considered today, such as the track record of its management team. Have these factors changed since the last time you looked at ITGR? Will you have enough confidence to invest in the company should the price drop below its fair value?
Are you a potential investor? If you’ve been keeping an eye on ITGR, now may not be the most advantageous time to buy, given it is trading around its fair value. However, the optimistic prospect is encouraging for ITGR, which means it’s worth further examining other factors such as the strength of its balance sheet, in order to take advantage of the next price drop.
Price is just the tip of the iceberg. Dig deeper into what truly matters – the fundamentals – before you make a decision on Integer Holdings. You can find everything you need to know about ITGR in the latest infographic research report. If you are no longer interested in Integer Holdings, you can use our free platform to see my list of over 50 other stocks with a high growth potential.
To help readers see pass the short term volatility of the financial market, we aim to bring you a long-term focused research analysis purely driven by fundamental data. Note that our analysis does not factor in the latest price sensitive company announcements.
The author is an independent contributor and at the time of publication had no position in the stocks mentioned.
