Myers Industries, Inc. (NYSE:MYE)
The Company manufactures a range of polymer products for industrial, agricultural, automotive, commercial, and consumer markets.
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ceo bought some shares.
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5 STAR, Small-cap, dividend payer
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Polymer! Woo hoo!
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Times Interest Earned Ratio is a bit low for this environment and the company has been taking on a lot of debt, but should reward patient investors in the next 5+ years
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More debt than I like these days, and an economic downturn will not help. 10% of sales from exports will likely increase as US sales decrease. Had a buyout in place for almost twice this price until GS decided to hoard money. I am personally very familiar with their automotive products, and they are the low cost provider of quality. If their other products are similar this should be a good company for a long time to come.
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Produces things for everyday use and well diversified.
Goldman wasn't the only party inerested in MYE. Once the money starts flowing again, the merger activity should pickup again. Long on this >=2 years.
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takeover target
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Worries that Goldman Sachs will back out of the original buyout deal has cut this stock in half recently, but I think not getting bought out will benefit shareholders in the long term because the fundamentals of this company are so strong, with a P/E of only 7.5 and PEG of .35. Not only that, but the $35 million that Goldman already had to pay out for pushing back the buyout deadline could go a long way towards paying off the $227M in debt that the company currently carries, my only knock against it, or could be used to fuel continued growth.
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I was first turned on to a MYE as an arbitrage play, but then I got cold feet when their was a lack of news.
Then MYE said the deal was going to go through then GS said they need more time... and ironically that's what it took for me to become interested again, when it dropped 30% or so.
Initially when evaluating the arbitrage play I lookeding on a nice bounce and m at the price range 12 months prior to the announcement and it was 16-20, so I figured worst case I loose 25% best case I get 25%. Market over reacted - I figure maybe (but doubtful) an eventual buyout later this year or at least a market beating bounce.
MYE by itself is a good company with great historical owner earnings and they scored a 35M payout because the deal didn't close by 12/15/07.
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down $5 to $16
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