Brief Commentary On Khadim India Limited's (NSE:KHADIM) Fundamentals

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As an investor, I look for investments which does not compromise one fundamental factor for another. By this I mean, I look at stocks holistically, from their financial health to their future outlook. In the case of Khadim India Limited (NSE:KHADIM), it is a company with strong financial health as well as an optimistic growth outlook. Below, I've touched on some key aspects you should know on a high level. For those interested in understanding where the figures come from and want to see the analysis, take a look at the report on Khadim India here.

Reasonable growth potential with adequate balance sheet

KHADIM is financially robust, with ample cash on hand and short-term investments to meet upcoming liabilities. This implies that KHADIM manages its cash and cost levels well, which is a key determinant of the company’s health. With a debt-to-equity ratio of 38%, KHADIM’s debt level is reasonable. This indicates a good balance between taking advantage of low cost funding through debt financing, but having enough financial flexibility and headroom to grow debt in the future.

NSEI:KHADIM Past and Future Earnings, August 11th 2019
NSEI:KHADIM Past and Future Earnings, August 11th 2019

Next Steps:

For Khadim India, I've put together three relevant factors you should further research:

  1. Historical Performance: What has KHADIM's returns been like over the past? Go into more detail in the past track record analysis and take a look at the free visual representations of our analysis for more clarity.

  2. Valuation: What is KHADIM worth today? Is the stock undervalued, even when its growth outlook is factored into its intrinsic value? The intrinsic value infographic in our free research report helps visualize whether KHADIM is currently mispriced by the market.

  3. Other Attractive Alternatives : Are there other well-rounded stocks you could be holding instead of KHADIM? Explore our interactive list of stocks with large potential to get an idea of what else is out there you may be missing!

We aim to bring you long-term focused research analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material.

If you spot an error that warrants correction, please contact the editor at editorial-team@simplywallst.com. This article by Simply Wall St is general in nature. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. Simply Wall St has no position in the stocks mentioned. Thank you for reading.

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