| Company name | Pitney Bowes Inc. |
| Stock ticker | PBI |
| Live stock price | [stckqut]PBI[/stckqut] |
| P/E compared to competitors | Good |
MANAGEMENT EXECUTION
| Employee productivity | Poor |
| Sales growth | Poor |
| EPS growth | Good |
| P/E growth | Good |
| EBIT growth | Poor |
ANALYSIS
| Confident Investor Rating | Fair |
| Target stock price (TWCA growth scenario) | $35.67 |
| Target stock price (averages with growth) | $21.39 |
| Target stock price (averages with no growth) | $10.32 |
| Target stock price (manual assumptions) | $27.66 |
The following company description is from Google Finance: http://www.google.com/finance?q=pbi
Pitney Bowes Inc. is a global provider of software, hardware and services to enable both physical and digital communications and to integrate those physical and digital communications channels. The Company offers a range of equipment, supplies, software, services and solutions for managing and integrating physical and digital communication channels. It conducts its business activities in seven reporting segments within two business groups: Small & Medium Business Solutions (SMB Solutions) and Enterprise Business Solutions (EB Solutions). It maintains field service organizations to provide servicing for customers’ equipment, usually in the form of annual maintenance contracts. It establishes credit approval limits and procedures of the customer and the type of product or service provided to control risk in extending credit to customers. In February 12, 2014, Pitney Bowes Inc acquired the remaining 30% interest in Pitney Bowes Semco Equipamentos e Servicos Ltda.
Confident Investor comments: At this time, I think that a Confident Investor can cautiously invest in Pitney Bowes Inc. as long as the price is correct. Most of the fundamentals of this company are good but there are some concerns.
If you would like to understand how to evaluate companies like I do on this site, please read my book, The Confident Investor. You can review the best companies that I have found (and I probably invest my own money in most of these companies) in my Watch List.
How was this analysis of Pitney Bowes Inc. calculated?
For owners of my book, “The Confident Investor” I offer the following analysis (you must be logged in to this site as a book owner in order to see the following analysis). If you have registered and cannot see the balance of this article, make sure you are logged in and refresh your browser.
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In order to assist you in using the techniques of this book, the values that I used when calculating the Manual pricing above were:
- Stock price at the time of the calculation: $24.96
- Growth: 0.12
- Current EPS (TTM): $1.58
- P/E: 16
- Future EPS Calc: $2.78
- Future Stock Price Calc: $44.55
- Target stock price: $27.66
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I hope that this makes you a Confident Investor.