No. of Recommendations: 0
I noticed the ITW has reached a new 52 week low. This is a company that has been a consistent grower for a long time now, and it is one that Clint Oppermann has mentioned on the Berskshire board. While is is presently trading within my estimated range of intrinsic value, I was wondering if it might be getting near a bargain basement range given its consostent history of growth. Here are the ten year growth rates for ITW:

Revenue = ~13.5%
Net Income = ~12.5%
Dividends = ~14.5%

ROE has ranged between a ten year low of 14.3 to a high of 21.

At $50/sh its price to book is 2.85, the lowest since 1992. Its PE ratio is 16.5, its lowest level since 1991.

Its Bond Price (price/.065) is ~$47.
Its Low PE Price (3.09 * 12) is ~$37.
Its Average PE price (3.09 * 19) is ~ $59.
Its intrinsic value based on dcf w/ 12% growth rate and discount rate is ~$50.
The average of the 4 is ~$48.

While ITW could fall some more, it seems to be trading near its intrinsic value. Just thought it might be worth a look.

Philip
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