Q: Hi there
Could you please give me your opinion if the above co. is a : Hold,Buy or sell
Thank You and stay SAFE
Could you please give me your opinion if the above co. is a : Hold,Buy or sell
Thank You and stay SAFE
5i Research Answer:
DR has had an up and down history but is currently doing OK. The stock is up 15% this year yet remains cheap at 9X earnings. Yield is 3.45%. The last dividend increase was Nov 2021, but the dividend was cut in half in Oct. 2019. The balance sheet is OK. Earnings are still below the level of 2017, but some growth is starting to return these days. Consensus calls for 15% growth in 2024. Insiders do not own much. Cash flow is steady. The issues it had a few years backed stemmed from slowdowns and other problems (third party payment issues) in US surgery centres. Today we would consider it a HOLD, and moreso for income rather than growth.