Graco Is Too Expensive For Optimism

Daniel Jones Investing Group Leader Follow Summary Graco remains a 'hold' as organic growth is weak and valuation is not compelling despite recent share price decline. Recent revenue gains are primarily acquisition-driven, with underlying volume and pricing trends negative or flat across key regions. Adjusted net profits and cash flow are projected to improve modestly in 2026, but end-market demand remains uneven. Upcoming Q3 results are expected to show revenue growth, yet only exceptional performance would shift the current neutral stance. Looking for a helping hand in the market? Members of Crude Value Insights get exclusive ideas and guidance to navigate any climate. Learn More » Getty Images Back in January of this year, I decided to revisit Graco ( GGG ). Even though the business had solid fundamentals and a strong balance sheet, I could not bring myself to take a bullish stance on it. Organic revenue This article was written by Daniel Jones 37.94K Followers Follow Daniel is an avid and active professional investor. He runs Crude Value Insights, a value-oriented newsletter aimed at analyzing the cash flows and assessing the value of companies in the oil and gas space. His primary focus is on finding businesses that are trading at a significant discount to their intrinsic value by employing a combination of Benjamin Graham's investment philosophy and a contrarian approach to the market and the securities therein. Learn more. Analyst’s Disclosure: I/we have no stock, option or similar derivative position in any of the companies mentioned, and no plans to initiate any such positions within the next 72 hours. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from Seeking Alpha). I have no business relationship with any company whose stock is mentioned in this article. Seeking Alpha's Disclosure: Past performance is no guarantee of future results. No recommendation or advice is being given as to whether any investment is suitable for a particular investor. Any views or opinions expressed above may not reflect those of Seeking Alpha as a whole. Seeking Alpha is not a licensed securities dealer, broker or US investment adviser or investment bank. Our analysts are third party authors that include both professional investors and individual investors who may not be licensed or certified by any institute or regulatory body.