Investment Research report

Mettler-Toledo International, Inc.

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Mettler-Toledo International, Inc.
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Research Overview

INDEX:
S&P 500
Sector:
Industrials
Position:
Short
Date:
Jul 24, 2019

After conducting a forensic financial and accounting review, Spruce Point believes Mettler-Toledo International Inc. (NYSE: MTD), should have investors raising doubts about the quality of the Company’s financial statements, the current management team and about the prior allegations of financial misreporting. Based on our investigation, we estimate 30% to 50% downside risk, or $410.00 - $575.00 per share.

The report highlights several key concerns with the company, including:

  • We find legacy control issues and astonishingly consistent earnings results
  • Evidence of potential earnings magnification through aggressive accounting
  • We believe that the Company is trading at an undeserved record valuation multiple and premium
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