No,not luck.Maybe because I have owned Ebos for over 25 years I could understand what PGC were capable of achieving,and were targeting to achieve.Yes PGC did not meet the market expectations,but those acquisitions were "game changers"and are now showing their true worth.
I spoke with PGC's CFO a year or two ago, and we discussed the very significant difference ,of selling consummerables rather than equipment.At that time PGC were moving away from being mainly an equipment seller to a consummerable seller.I seem to remember their target was 70% consummerables.Seemed high at the time,but they achieved it.This meant lower stock holdings,better stock turns and improving cash flow.They have a long way to go to get any where near the stock turns EBO are achieving,yet PGC's eps growth is a lot higher than EBO's,and I think it could be double EBO's over the next two or three years,..
So PGC's eps growth looks to be between 10% and 15% pa while their PE ratio is under 15.
EBO's eps growth looks to be between 5% and 8% pa,and their PE ratio is over 20.
Big difference.I now have twice as much invested in PGC than EBO.after my recent sell down of EBO..