SNCR vs. ACT

When I saw Saul’s write-up on SNCR I decided to plug the earnings numbers into the charting tool that I mentioned on this board yesterday. Indeed it made a pretty nice looking chart with increasing earnings each quarter. But then I brought up another company (ACT) I had charted earlier because I remembered that it was also a nice looking chart. Just looking at the charts for price vs. earnings ACT looks better to me.

Activis is a pharmaceutical company that has been growing by making acquisitions over the past few years. They recently outbid Valeant for Allergan.

Now, I’m in no way recommending ACT as a buy to anyone, but it has been good to me for the 2 years I’ve owned it (+230%). I should have bought more along the way but I never did. Anyway I thought I would post some numbers comparing it to SNCR, just because that’s what prompted me to look closer.

SNCR:
Price: 52.21
PE: 29.17
1YPEG: 0.87

Earnings history

 
 Date		EPS	TTM
 02/05/2015	0.53	1.79
 10/28/2014	0.46	1.67
 07/29/2014	0.41	1.55
 04/30/2014	0.39	1.45
 02/05/2014	0.41	1.34
 11/04/2013	0.34	1.22
 07/30/2013	0.31	1.17
 05/01/2013	0.28	1.12

ACT:
Price: 296.84
PE: 21.19
1YPEG: 0.41

Earnings history

 
 Date		EPS	TTM
 02/18/2015	3.91	14.01
 11/05/2014	3.19	13.27
 08/05/2014	3.42	12.17
 04/30/2014	3.49	10.76
 02/20/2014	3.17	9.26
 10/29/2013	2.09	7.68
 07/25/2013	2.01	6.94
 05/02/2013	1.99	6.35

And here’s a link that should let you see a picture of both charts. The silver rectangles on the chart represent a PE range of 15 to 20 based on the trailing twelve months earnings at that time.

https://drive.google.com/open?id=0B40ZcniWzxoNd09DeUZxWEpadl…

SNCR is more interesting to me now that Saul has written it up but I haven’t decided to buy any. This exercise does have me wondering if I should pick up more ACT. I probably won’t for now, but it does have me thinking.

Steve

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