Logitech: Too Cheap To Ignore

Cappuccino Finance
3.24K Followers

Summary

  • Logitech's business grew rapidly during the pandemic as people outfitted their home office and bought more gaming accessories.
  • Their high quality and brand power create an economic moat, and that results in high profitability.
  • The market expects the growth rate to drop as the Pandemic draws to an end, and people will quit spending on computer peripherals.
  • Due to this uncertainty, Logitech is priced at a bargain.
  • I expect 20-40% upside from the current level.

close up employee man hand using mouse cursor for scrolling web page or working on computer program at desktop in office concept

Chainarong Prasertthai/iStock via Getty Images

Investment Thesis

Logitech (NASDAQ:LOGI) is a world leader in designing, manufacturing, and selling the computer and entertainment peripherals. Their mouse, keyboard, webcams, and other gaming peripherals are in market leading position and command a premium from customers. During the pandemic their

This article was written by

3.24K Followers
I believe in fundamental analysis and disciplined market research. I have strong quant background with a Ph.D. (Chemical Engineering, University of California, Santa Barbara) in model predictive control and an MBA (Jones School of Business, Rice University). My primary focus is to identify 1) small cap companies with strong fundamentals and growth potential, 2) large cap companies going through temporary set-backs, and 3) stable companies with solid dividend yields and growth potential.

Analyst’s Disclosure:I/we have a beneficial long position in the shares of LOGI either through stock ownership, options, or other derivatives. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from Seeking Alpha). I have no business relationship with any company whose stock is mentioned in this article.

Seeking Alpha's Disclosure: Past performance is no guarantee of future results. No recommendation or advice is being given as to whether any investment is suitable for a particular investor. Any views or opinions expressed above may not reflect those of Seeking Alpha as a whole. Seeking Alpha is not a licensed securities dealer, broker or US investment adviser or investment bank. Our analysts are third party authors that include both professional investors and individual investors who may not be licensed or certified by any institute or regulatory body.

Recommended For You

About LOGI Stock

SymbolLast Price% Chg
Market Cap
PE
Yield
Rev Growth (YoY)
Short Interest
Prev. Close
Compare to Peers

More on LOGI

Related Stocks

SymbolLast Price% Chg
LOGI
--