- Cerner has been a long-term growth play in the wider healthcare sector.
- After being an industry darling in the 2010s, while the entire industry was in demand, shares have consolidated a bit in recent years.
- Valuation multiples have actually fallen a bit, while interest rates have turned even lower, and organic growth has become much more modest.
- At 30 times earnings, while having solid long-term prospects and operating with an unleveraged balance sheet, I think shares largely trade around fair value.
For further details see:
Cerner: Healthy Business And Industry, Fairly Valued