The McGraw-Hill Companies, Inc. ($MHP) Confident Investor Rating: Poor

Company name The McGraw-Hill Companies, Inc.
Stock ticker MHP
Live stock price [stckqut]MHP[/stckqut]
P/E compared to competitors Fair

MANAGEMENT EXECUTION

Employee productivity Good
Sales growth Poor
EPS growth Fair
P/E growth Fair
EBIT growth Poor

ANALYSIS

Confident Investor Rating Poor
Target stock price (TWCA growth scenario) $32.04
Target stock price (averages with growth) $44.91
Target stock price (averages with no growth) $41.87
Target stock price (manual assumptions) $35.84

The following company description is from Google Finance: http://www.google.com/finance?q=mhp

The McGraw-Hill Companies, Inc. is a global information services provider serving the financial, education, commercial and commodities markets. The Company serves its customers through a range of products, services and distribution channels, including digital data and information, integrated digital platforms, online via Internet Websites, as well as with printed books, magazines and newsletters, and conferences and trade shows. Its segments include S&P Ratings, S&P Capital IQ/S&P Indices, Commodities & Commercial (C&C) and McGraw-Hill Education (MHE). In July 2011, the Company acquired Steel Business Briefing Group. In February 2012, the Company's S&P Capital IQ acquired R2 Financial Technologies. On July 2, 2012, S&P Capital IQ, a business line of the Company acquired London-based Credit Market Analysis Limited (CMA) from CME Group Inc. In August 2012, MHE acquired Key Curriculum. In November 2012, Platts, a division of the Company, completed its acquisition of Kingsman SA.

 

Confident Investor comments: At this price and at this time, I do not think that a Confident Investor can confidently invest in this stock.

If you would like to understand how to evaluate companies like I do on this site, please read my book, The Confident Investor.

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