I am currently going through my Watch List to ensure that each company still deserves to be on the list. Because of the number of companies on my list, I am going to try to knock out 2 per weekday.
| Company name | Agilent Technologies Inc. |
| Stock ticker | A |
| Live stock price | [stckqut]A[/stckqut] |
| P/E compared to competitors | Good |
MANAGEMENT EXECUTION
| Employee productivity | Good |
| Sales growth | Poor |
| EPS growth | Good |
| P/E growth | Poor |
| EBIT growth | Good |
ANALYSIS
| Confident Investor Rating | Fair |
| Target stock price (TWCA growth scenario) | $84.49 |
| Target stock price (averages with growth) | $102.93 |
| Target stock price (averages with no growth) | $77.33 |
| Target stock price (manual assumptions) | $67.75 |
The following company description is from Google Finance: https://www.google.com/finance?q=NYSE%3AA&sq=a&sp=2&ei=bmE5U5rfMYetqgG4Nw
Agilent Technologies, Inc. (Agilent) is a measurement company providing bio-analytical and electronic measurement solutions to the communications, electronics, life sciences and chemical analysis industries. During the fiscal year ended October 31, 2011 (fiscal 2011), it had three business segments: electronic measurement business, chemical analysis business and life sciences business. Its electronic measurement business addresses the communications, electronics and other industries. Agilent’s chemical analysis business focuses on the petrochemical, environmental, forensics and food safety industries. Its life sciences business focuses on the pharmaceutical, biotechnology, academic and Government, bio-agriculture and food safety industries. In addition to its three businesses, it conducts research through Agilent Technologies Laboratories (Agilent Labs). In June 2012, the Company acquired cancer diagnostics company, Dako. In August 2012, the Company acquired Aurora SFC Systems, Inc.
Confident Investor comments: At this time, I think that a Confident Investor can cautiously invest in Agilent Technologies Inc. as long as the price is correct. Most of the fundamentals of this company are good but there are some concerns. While Agilent Technologies has dropped to a Fair company, I am leaving it on my Watch List for now.
If you would like to understand how to evaluate companies like I do on this site, please read my book, The Confident Investor.
For owners of my book, “The Confident Investor” I offer the following analysis (you must be logged in to this site as a book owner in order to see the following analysis). If you have registered and cannot see the balance of this article, make sure you are logged in and refresh your browser.
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In order to assist you in using the techniques of this book, the values that I used when calculating the Manual pricing above were:
Stock price at the time of the calculation: $54.69
Growth: 0.15
Current EPS (TTM): $2.17
P/E: 25
Future EPS Calc: $4.36
Future Stock Price Calc: $109.11
Target stock price: $67.75
I hope that this makes you a better investor. [/s2If]