CNM - Core & Main: Accelerating Earnings And Attractive Valuation But Don't Get Overly Excited

• Core & Main announced very strong 2021 fourth-quarter and full-year results, and its valuation appears attractive.
• The high PVC commodity prices, supply chain issues, and product shortages that drove strong earnings may be moderating, creating risk of a short-term pullback that is difficult to model.
• My original thesis for investing in Core & Main continues to hold, and the long-term outlook continues to be attractive.
• I would refrain from aggressively adding to my position until commodity prices stabilize, and the company's normalized earnings power becomes clearer.

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