Stock Of The Day BGG Briggs-Stratton

[parttimepro]

I'm interested but not convinced about this company. It looks great based on the first things I look at: low P/E and 10%+ predicted growth. I see two problems:
1. high debt. It bought out Murray, a customer who couldn't pay its bills. BGG has a pretty high debt load because of this.
2. Increasing inventory. This may mean discounts to move product, which would probably slow down growth.

It is pretty cheap, though, and these problems are probably factored into the price.

[James Boston]

I don't see either of these as long-term problems. Yes, they probably are causing the cheapness, But if you feel like one of the industry leaders will be capable of managing this debt, and will be able to increase profits by now owning one of their former customers, then doesn't cheap=good.