StockStory Favors Plexus, Cites Concerns at Compass and Perella

StockStory named Plexus its favored Russell 2000 stock, citing projected revenue growth of 20.6% over the next 12 months. The publisher also flagged Compass and Perella Weinberg Partners as stocks it would avoid.

For Plexus, StockStory pointed to annual revenue growth of 8.1% over the past two years and said share buybacks helped earnings per share grow faster than revenue. The article said the stock traded at $269, or 26.4 times forward earnings.

StockStory criticized Compass for operating margin losses and a free cash flow margin of 1.6% over the past two years. It also said the company’s revenue grew by an average of 14% annually over the past five years, which it viewed as below average.

For Perella Weinberg, the publisher cited a 1.3% annual sales decline over five years and a 13.9% annual contraction in earnings per share over four years. It also pointed to a reported 207% annual decline in tangible book value per share over five years. The article said Perella Weinberg traded at $16.44, or 11.2 times forward earnings.