Phibro Animal Health (PAHC) was a high flier last August, as investors eagerly bought shares in animal health companies because they were viewed as essential to help feed a growing middle class by providing the necessary nutrients and medications for livestock.

However, the stock has fallen nearly in half since then. Now the company is looking at a slight earnings per share (EPS) decline in the June 2019 fiscal year to $1.68 from $1.74 due to investments for future growth and softness in sales to the U.S. dairy markets.

That said, I believe the growth story remains intact, with revenues still expected to be up 4% this year. Valuation now is much more reasonable at around 16X June 2020 EPS estimates of $1.80.

Buy PAHC under $30.50. My target is $36. I will have more in tomorrow’s Value Authority issue.