Exit BRC Ahead Of Earnings

Brady Corp. (BRC) has blown past my $62 target ahead of its earnings report. I think the prudent decision here is to remain disciplined and take our profit now.

This has been a remarkable trade for us, especially when you consider how other small-cap industrial stocks have struggled over the past year. However, while new products have helped, I think the benefits have peaked, leaving us with a company that feels fully valued at 16X forward estimates.

Exit BRC as a 30% win. Inner Circle subscribers, this means you too. Hold the cash for now.