Added to YB: 2024-12-10
Pitch date: 2024-12-07
FAST [neutral]
Fastenal Company
+5.35%
current return
Author Info
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Company Info
Fastenal Company, together with its subsidiaries, engages in the wholesale distribution of industrial and construction supplies in the United States, Canada, Mexico, and internationally.
Market Cap
$46.8B
Pitch Price
$39.88
Price Target
N/A
Dividend
2.16%
EV/EBITDA
23.78
P/E
38.16
EV/Sales
5.89
Sector
Trading Companies and Distributors
Category
growth
Fastenal: A True Compounder or a Hidden Trap?
FAST (potentially overvalued): Strong performance w/ 8.6% rev CAGR, 45% gross margin, 20% op margin. Shifting from branch to onsite rev. Industry-leading ROIC (30%), ROCE (38%). Robust FCF growth. Challenges: rising AR, cost of rev. Overpriced at $81 vs $63 fair value. 13% growth needed to justify price.
Read full article (23 min)