Last Updated: 16 Sep 2024
Executive Summary
Middleby Corp (MIDD) is a leading designer, manufacturer, and distributor of commercial kitchen and food processing equipment. The company's products are used in a wide range of industries, including restaurants, hotels, hospitals, and schools. Middleby has a strong track record of growth, with revenue increasing by an average of 10% per year over the past five years. The company is also profitable, with a net income margin of 9.9% in 2023.
Middleby's stock price has been on a steady upward trend in recent years, and it currently trades at $132.80. The stock is valued at a trailing price-to-earnings (P/E) ratio of 18.6, which is in line with the industry average. Analysts are bullish on Middleby's stock, with a consensus price target of $167.33.
Company Overview
Middleby Corporation was founded in 1888 and is headquartered in Elgin, Illinois. The company has a global presence, with operations in over 50 countries. Middleby's products are divided into two segments: Food Processing and Foodservice.
The Food Processing segment manufactures a wide range of equipment used in the processing of food and beverage products. This equipment includes ovens, mixers, and conveyors. The Foodservice segment manufactures a wide range of equipment used in the preparation and serving of food and beverages. This equipment includes ovens, refrigerators, and dishwashers.
Fundamental Analysis
Middleby's financial performance has been strong in recent years. The company's revenue has grown by an average of 10% per year over the past five years. The company is also profitable, with a net income margin of 9.9% in 2023.
Middleby's balance sheet is also strong. The company has a low level of debt and a high level of cash and equivalents. This gives the company the financial flexibility to invest in new growth opportunities.
Technical Analysis
Middleby's stock price has been on a steady upward trend in recent years. The stock is currently trading at $132.80, which is above its 50-day and 200-day moving averages. The stock's relative strength index (RSI) is also above 50, which indicates that the stock is in a bullish trend.
Short Term Outlook
Middleby's stock price is expected to continue to rise in the short term. The company's strong financial performance and positive analyst sentiment are likely to drive the stock price higher. The stock's technical indicators also suggest that the stock is in a bullish trend.
Long Term Outlook
Middleby's long-term outlook is also positive. The company is a leader in the commercial kitchen and food processing equipment industry. The company's strong brand recognition and global presence give it a competitive advantage. Middleby is also well-positioned to benefit from the growing demand for food and beverage products.
Analyst Recommendations
Analysts are bullish on Middleby's stock. The consensus price target is $167.33, which represents a potential upside of 26.3% from the current price. Two analysts have a "Strong Buy" rating on the stock, four analysts have a "Buy" rating, two analysts have a "Hold" rating, and one analyst has a "Sell" rating.
