Stephen Simpson, CFA
Long only, growth at reasonable price, value, research analyst

MSC Industrial Comes Through In A Tough Quarter

Maybe the best shine I can put on MSC Industrial's (NYSE:MSM) fiscal fourth quarter is that it was one of the better results in an industry that has disappointed investors due to a slowdown in manufacturing, the sequestration, and the stubborn lack of recovery in construction. While MSC's organic revenue growth was weaker than that reported by large rivals like Grainger (NYSE:GWW) and Fastenal (NASDAQ:FAST), at least some of that can be attributed to the company's greater focus on small manufacturing companies.

I'm not looking for 2014 to be a banner year for industrial distributors, but I believe MSC Industrial is still meaningfully undervalued. The company is definitely vulnerable to further slowing in...

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