Modine Manufacturing (MOD) has seen significant share price momentum, with strong returns over the past few months, driven by demand for its data center and HVAC cooling solutions. Despite a high P/E ratio, analysts suggest the stock is undervalued by about 15% based on future growth narratives, particularly in data center revenue. However, its heavy focus on North America and ongoing divestitures pose potential risks.
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Assessing Modine Manufacturing (MOD) Valuation After Strong Recent Share Price Momentum
Modine Manufacturing (MOD) has seen significant share price momentum, with strong returns over the past few months, driven by demand for its data center and HVAC cooling solutions. Despite a high P/E ratio, analysts suggest the stock is undervalued by about 15% based on future growth narratives, particularly in data center revenue. However, its heavy focus on North America and ongoing divestitures pose potential risks.