Max Masucci: Okay. Got it. And then just in terms of M&A, I think if you look at your free cash flow deployment, about 28% over the past five years. I think it’s been for share buybacks in any sense? I would just be curious to hear about the potential size of any M&A deal you’d be willing to pursue. Any recent conversations amongst the biz dev team in terms of what types of companies fit best with the Hologic of today? And just a general update on capital deployment would be great? Thanks.
Stephen MacMillan: Sure, Max. To reiterate what Karleen said, our primary goal is still tuck in acquisitions followed by share buybacks. We certainly have been opportunistic on the buybacks because we generated a whole bunch of more cash during that time and thought that made a lot sense. Going forward, we’re looking across the businesses, all being led by the divisions. We’re not going to get into particular scale or targets for obvious reasons. But I think what we would say is, we might go a little bit bigger on scale if it brought more EBITDA. So it will be a proportionate thought process there. But I think we’re — the biggest takeaway frankly is, we’re in a position of strength where our base businesses are very strong.
We don’t have to go do anything. And candidly, when I think there’s a lot of folks around trying to figure out what they want to be when they grow up right now. We know exactly where we’re going and what we want to be and that is championing women’s health and having every business going well. So it gives us the luxury of being patient and smart on the business development front.
Operator: And our next question will come from Puneet Souda with SVB Securities.
Puneet Souda: Yes. Hi, Steve. Thanks for taking the question. So maybe for you, given the low double digit growth rate that you’re highlighting here, obviously, the business, all three segments are doing great. So what’s holding you back on the long term guide of 5% to 7%? Why couldn’t that be higher now in your long term outlook?
Stephen MacMillan: Because we’re running the business for the long term. And fundamentally, let’s look at it. We’re still bouncing off of some comps from last year where things were a little depressed from COVID everything else. We are a company that delivers and plans for the long haul and everything we’ve done to move up to the 5% to 7% has been very smart and we’re going to continue to be prudent.
Puneet Souda: Okay, great. And then just on capital deployment, maybe Karleen. What’s your ability to lever up? What ratio are you comfortable with, just given the sort of the interest rates that are there right now and potential for those to continue to ramp up a bit higher?
Karleen Oberton: Yes. I mean, I think we have indicated that we’d be comfortable in a 2 times to 3 times leverage ratio that’s something we talked to and supported by our credit agency. But to your point, we would continue to evaluate based on interest rate environment. But certainly, at this point we have plenty of cash and we have a credit line that we can fully deploy. So we feel like we’ve got good flexibility to do what we want in that event.
Operator: And moving on to Vijay Kumar with Evercore ISI.
