Remaining faithful to a value-oriented philosophy sometimes leaves you feeling like you're rooting for certain companies to stumble. Take the case of Middleby (Nasdaq:MIDD). While acquisitions have clearly played a major role in building the company, management has done pretty well in sustaining that growth on an organic basis and developing new equipment to improve the efficiency and profitability of restaurants. Unfortunately, as a very good growth stock, these shares seldom get to a valuation where value or GARP investors can feel comfortable loading up.
With another quarter in the books, Middleby continues to grow at a rate well above its peers and the industry as a whole. What's more, with the restaurant industry apparently feeling more comfortable about near-term trends, it doesn't sound like a stumble in demand is coming. Nevertheless, Middleby is a good stock to keep on watchlists just in case, and more growth-oriented (and less valuation-sensitive) investors may find there's nothing wrong with buying in today.
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http://www.investopedia.com/stock-analysis/051013/middleby-keeps-sticking-successful-recipe-midd-eat-mtw-itw-dov.aspx
Investopedia: Middleby Keeps Sticking To A Successful Recipe
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