TSE:6564Commercial Services
Midac Holdings (TSE:6564) Stock Carries Growth Promise But Margin Cracks Emerge
Midac Holdings walked into this earnings day with a hot stock and cooler margins. The share price closed at ¥2,321 after a strong multi month run, even as trailing net profit margin has slipped to 24.1% from 25.9% a year earlier. That tension between a rich valuation on 21.5x trailing P/E and softer profitability is the real headline today. The market is effectively paying up for a business whose earnings growth over the past year, at 5.3%, sits well below its own five year pace, and that gap...