Hammond Manufacturing Company Ltd T.HMM.A

Rock Solid Q1 😀🤩😎

[babybunny]

Another blowout quarter, a product of higher sales, stronger pricing, and a favourable USD/CAD exchange rate.  And every bit of earnings was like granite, carrying through to comprehensive earnings per share and therefore being accretive to book value.

I was expecting earnings in the 15c - 20c per share range (which would have been quite satisfactory), so 37c per share is most definitely a "positive surprise" .

[BB123456]

$1.24 in trailing 12 months earnings, so p/e on closing price is back to suib-5. This for a company with a 10% 10 year annual growth rate in revenues and 21% 10 growth rate in earnings.  This is as good growth as companies like MSFT have shown over the last 10 years.  If it can get recognized for this performance, lots of upside in valuation.

[HyperCube]

Yes! Also, not only has Hammond Manufacturing had strong growth over the past ten years, they are also opening a new facility in a few weeks. Therefore we can expect growth to continue forward. HMM.A is seriously undervalued.

[babybunny]

Investors are simpy scared to ante up at much above $6 since the share price was $2 just three years ago.     I think they realize the company has grown into this new valuation, with strong and growing earnings.  But for value investors, it is still hard to pay $8 or $10 for a stock that could have been bought for so much less a few years ago.  As time passes, even these