TREE

I’ve recently taken a look at Lending Tree (TREE). I’m surprised it hasn’t been a RB or SA pick. It looks like it has had just over 50% revenue growth annually for several years. After a meteoric rise from $13 to about $100 from 2013-2015 the price stagnated for a couple years. It has caught fire again this year with an increase of about 150%.

It looks like a great company and I wish I had bought it in 2013 for a 2000% gain!! Now though it seems very pricey at over 60 times forward earnings and due for a pullback.

Any thoughts on whether it’s a buy and at what price?

Dave

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Mortgage lending is likely peaked or near peak, mortgage lenders make their money on volume.

Earnings can disappear in a flash.

Just MO.

I would love to write up my opinion, but getting into political territory regarding interest rates and tax policy would be unavoidable.

I will only say that I wouldn’t touch TREE with a 100 foot pole.

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I would love to write up my opinion, but getting into political territory regarding interest rates and tax policy would be unavoidable.

I will only say that I wouldn’t touch TREE with a 100 foot pole.

Nuff said. I appreciate your insights and will steer clear. I generally avoid stocks where government policy uncertainty is a significant risk.

dave

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