Is CAB - Cabela’s, Inc. Undervalued?
22 February 2008
Well, looking at its latest earnings report and taking into account its past earnings reports I think CAB - Cabela’s, Inc. may be undervalued.
Cabela’s IPO’d in June of 2004, closing its first day of trading at $26.00. It recently hit a low of about $11.90 (in that vicinity anyways). It’s latest downturn was on account of its recent earnings warnings of not meeting analyst estimates of .91/share and slower growth, projected in the single digits. Still the latest 4 quarters came in at .84, .20, .17 and .11. Not to shabby. At $13.54/share it just looks undervalued.
So, I am putting it on my watch list to see how it acts. The crowd will eventually tell me if I am right (or wrong) about this.
The company recently built a store in nearby Lacey, WA. I visited and liked the store. It’s almost like an event when you visit one of their stores. Here’s a look at the central display that looks like a mountain with all these mounted animals everywhere.
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