Q: I hold both of these and have some new money to deploy. Which one of these (or both) would you suggest?
Many thanks, as always, for your great service.
Many thanks, as always, for your great service.
5i Research Answer:
We like both names, and we would be comfortable holding both. As CSU’s revenue growth recently accelerated into the 30% range, CSU’s Forward EV/EBITDA multiple is 25x. LMN offers opportunities for investors to compound capital for many years in the future, similar to buying CSU 10 years ago, although the multiple is high, LMN’s Forward EV/EBITDA multiple is 33x (based on total shares outstanding of 253,104,971).