March 17, 2022

On PubMatic

 It ended 2021 with $160 million in cash, cash equivalents, and marketable securities coupled with zero debt. The company has the enviable financial flexibility to absorb whatever the world throws at it in the coming years.

And I'd be remiss not to mention the stock's attractive valuation. PubMatic is a highly profitable company, so investors can evaluate the stock on an earnings basis. Its trailing price-to-earnings (P/E) ratio is just 19 right now. According to Yardeni Research, the current P/E average for the S&P 500 is 22. Therefore, with PubMatic, you're getting a high-quality stock at a below-average valuation.

No comments: