Yahoo Finance Is Now The Time To Look At Buying Carlisle Companies Incorporated (NYSE:CSL)?
Let's talk about the popular Carlisle Companies Incorporated (NYSE:CSL). The company's shares saw a double-digit share price rise of over 10% in the past couple of months on the NYSE. The company is now trading at yearly-high levels following the recent surge in its share price. With many analysts covering the large-cap stock, we may expect any price-sensitive announcements have already been factored into the stock’s share price. But what if there is still an opportunity to buy? Let’s take a look at Carlisle Companies’s outlook and value based on the most recent financial data to see if the opportunity still exists.
See our latest analysis for Carlisle Companies
Is Carlisle Companies Still Cheap?
According to our valuation model, Carlisle Companies seems to be fairly priced at around 15.64% above our intrinsic value, which means if you buy Carlisle Companies today, you’d be paying a relatively fair price for it. And if you believe the company’s true value is $368.75, then there isn’t really any room for the share price grow beyond what it’s currently trading. Furthermore, Carlisle Companies’s low beta implies that the stock is less volatile than the wider market.
What kind of growth will Carlisle Companies generate?
Investors looking for growth in their portfolio may want to consider the prospects of a company before buying its shares. Buying a great company with a robust outlook at a cheap price is always a good investment, so let’s also take a look at the company's future expectations. With profit expected to grow by a double-digit 10% in the upcoming year, the short-term outlook is positive for Carlisle Companies. It looks like higher cash flow is on the cards for the stock, which should feed into a higher share valuation.
What This Means For You
Are you a shareholder? CSL’s optimistic future growth appears to have been factored into the current share price, 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 the stock? Will you have enough conviction to buy should the price fluctuates below the true value?
Are you a potential investor? If you’ve been keeping an eye on CSL, 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 the company, 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.
With this in mind, we wouldn't consider investing in a stock unless we had a thorough understanding of the risks. For example - Carlisle Companies has 1 warning sign we think you should be aware of.
If you are no longer interested in Carlisle Companies, you can use our free platform to see our list of over 50 other stocks with a high growth potential.
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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.
Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team@simplywallst.com
