nah I think CSL is a case of crowded trades now coming off. Everyone talks about it, all the fund managers buys its, all the stock new letter recommended it but it certainly doesnt derserve 30 Plus PE
Yes it is a quality business but there is a price for everything. I would be very nervous buying CSL on 30 plus PE
here is a quick break down
as it get bigger it becomes less efficient at deploying its capital, the trends show the bigger it get the worse it get so at some stage this will becomes a drag on return and Mr Market will start to rerate.
and the last 5 years it dripped in and out of $6-$7 range earning for a total average growing in earning of 14% that hardly a business deserving a PE of 30 plus and now other development in the space that may or may not disrupt its earning but Mr Market aint waiting around to see, he shoot first
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