Middleby Corporation Equity Analysis

Stock in food equipment company Middleby Corporation (NASDAQ: MIDD  ) is in line with the S&P 500 index so far this year -- it's recorded a 5.1% increase as of this writing. However, this is definitely not a case of a company simply tracking the market.In reality, it's been a volatile year, with the stock trading at $100 in March, and then some 28% lower, at $72, in August, only to increase 21% to the price of around $85 as of this writing. Why has the stock been so volatile this year?

MIDD data by YCharts.

Future earnings for Middleby Corporation

As the following chart demonstrates, Middleby's current valuation has little to do with its current earnings -- it's the market's view on its future earnings that counts.


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