SPH Reddit Mentions | ChartExchange

Here are 4-6 that I think are worth digging into further. Not recommendations. Just research candidates.

[Amdocs (DOX)](https://intrinsicalpha.com/stocks/nasdaq/dox/software-infrastructure/amdocs-limited-intrinsic-value) $51.47, \~2.8% above 52-week low
Intrinsic value at \~$143/share, a 179% discount. FCF yield of 7.1%, ROIC 12.7%, debt/equity 0.32x. 6 consecutive years of positive FCF. The concern is recent revenue growth is slightly negative (3yr CAGR -0.3%). But EPS and operating income have compounded at solid mid-single digits. If the business can stabilize growth, the margin of safety looks wide.

[EPAM Systems (EPAM)](https://intrinsicalpha.com/stocks/nyse/epam/information-technology-services/epam-systems-inc-intrinsic-value) $76.64, \~2% above 52-week low
Down 65% from its high. DCF value \~$187/share (144% discount). FCF yield 5.4%, ROIC 9.8%, virtually no debt (D/E 0.08). Revenue growth has slowed to low single digits, but analysts expect EPS to grow 32% annualized over the next 3 years. The balance sheet is net cash. The question is whether the IT services slowdown is cyclical or structural.

[Leidos (LDOS)](https://intrinsicalpha.com/stocks/nyse/ldos/information-technology-services/leidos-holdings-inc-intrinsic-value) $107.07, \~0.9% above 52-week low
A government IT/defense contractor. DCF value \~$474/share (343% discount). FCF yield 6.7%, ROIC 12.8%, debt/equity 1.39x. Revenue growth has been steady (6.9% 5yr CAGR), FCF 3yr CAGR 23.8%. Operating margin above 12%. Leverage is a bit higher but manageable. The main risk is government budget cycles. Still, 15% ROIC and a huge discount to intrinsic value make it interesting.

[Maximus (MMS)](https://intrinsicalpha.com/stocks/nyse/mms/specialty-business-services/maximus-inc-intrinsic-value) $55.74, \~0.8% above 52-week low
Government services (health/human services). DCF value \~$175/share (213% discount). FCF yield 7%, ROIC 12.2%, debt/equity 0.86x. Revenue 5yr CAGR 9.4%, FCF 3yr CAGR 16.2%. FCF conversion is strong. Net debt/EBITDA 1.75x.

[Stantec (STN)](https://intrinsicalpha.com/stocks/nyse/stn/engineering-construction/stantec-inc-intrinsic-value) $67.69, \~2.6% above 52-week low
Engineering/construction. DCF value \~$143/share (112% discount). FCF yield 5.4%, ROIC 10.4%, debt/equity 0.77x. Revenue 5yr CAGR 17%, EPS 5yr CAGR 22%. FCF 3yr CAGR 51%. Leverage is moderate. The downside is that forward revenue estimates are flat. But the historical growth and cash flow conversion are strong.

[Suburban Propane (SPH)](https://intrinsicalpha.com/stocks/nyse/sph/regulated-gas/suburban-propane-partners-lp-intrinsic-value) $16.55, \~0.5% above 52-week low
This one screams value trap. DCF shows \~$45/share (171% discount), FCF yield 9.5%, ROIC 9.6%. But debt/equity is 2.22x, net debt/EBITDA 5.18x. FCF 3yr CAGR is -13.4%. Revenue is lumpy and recent growth negative. The high yield is tempting, but the leverage and declining cash flow demand careful scrutiny before stepping in.

Definitive Healthcare (DH) is also on the list (down 84%), but with negative ROIC and net losses, that’s a micro-cap turnaround story. High risk.

For me, DOX, EPAM, and LDOS seem like the most compelling combination of low price, decent quality metrics, and manageable debt.