I first bought NWH at $0.20, but in all the time I've held it, it's never traded above a trailing PE of 20, whereas Monadellphous is now and has regularly. In other words, the market thinks the quality of MND's earnings and management is superior to that of NWH's. And with respect, I don't think MND has ever had a problem of this magnitude. I also bought TNE at $0.70, and its PE staggers me, but its profit doubles every five years, and while the temptation to sell is enormous, so far I've resisted it ... it's the quality and reliability of earnings coupled with "great" management. NWH has been very good to me, but if the news is negative, I'll be looking for other opportunities. I can remember when LLC was a market darling ... it doesn't take long to become a market flop as BGL has recently proved.
NWH Price at posting:
$2.90 Sentiment: Hold Disclosure: Held
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