Adding Grifols to My Portfolio: Reasons

Diversification: Increasing exposure to non-tech and non-cyclical sectors to balance the portfolio.

Strong Growth Potential: Grifols ($GRF (-1,39 %) ) is a leader in plasma derivatives, with anticipated revenue growth and significant improvement in EPS (Earnings Per Share) projected over the coming years.

Opportunity from Recent Selloff: The recent stock price drop followed the cancellation of an acquisition offer around €10.5 per share. The company publicly advised shareholders against accepting the offer, deeming it undervalued.

Financial Recovery and Market Improvements: Grifols has made substantial progress in improving its financial position by reducing debt, supported by better market conditions. The challenges posed by COVID-19, which disrupted blood collection, are now behind them.

Addressing Short Seller Concerns: The company has effectively responded to claims in short-seller reports. While some structural aspects of the business were previously unclear, Grifols has improved transparency (they were forced to it). This reduces the risk of future stock hits related to such reports.

Despite all the noise, overeall I see a long therm oportunity on an expanding market with a leader company at a low price.