Graco

None of the warning signs we check for were found.

We look for five warning signs: doubt it can keep going, weak checks on its own accounts, a notice that its past accounts can't be relied on, a change of auditor, and one customer bringing in a big share of sales. We don't check lawsuits, investigations or debt yet.

We checked the auditor's report, internal controls, restatement notices, auditor changes and big customers in the 10-K filed 17 Feb 2026, plus the 10-Q filed 22 Jul 2026 and 7 later 8-Ks.

Cheap for a reason is the question the numbers cannot answer.

Whether the price already reflects the risks is what the deep dive is for.

• Tariff and Trade Policies – Changes and uncertainty in U.S. trade policies, including tariffs, trade agreements and other regulations, as well as in those of other countries, may affect our operating results, cash flows and financial condition.

  Already happened

  The Company’s business can be impacted by changes in U.S. trade policies, including tariffs, trade agreements and other related regulations, as well as trade restrictions and retaliatory actions imposed or taken by foreign governments. The U.S. government has imposed and significantly increased tariffs on foreign imports, with many foreign governments implementing retaliatory tariffs on U.S. exports into their countries. This has resulted in higher costs to the Company for certain raw materials and components it imports and uses in the manufacture of its products, as well as higher prices to purchasers of the Company’s products in certain foreign geographies and opportunities for competitors to enhance their presence in markets in which we participate. The U.S.-imposed tariffs have been the subject of numerous legal challenges, including before the U.S. Supreme Court, the outcome of which has yet to be determined. Even if those challenges are successful, it is uncertain as to whether the Company will be able to recover any tariffs it has previously paid, or whether the U.S. government will attempt to reimpose the tariffs under some other authority.

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