Should You Buy Stora Enso Oyj (HEL:STERV) Based On These Aspects?

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Stora Enso Oyj (HEL:STERV) is a company with exceptional fundamental characteristics. Upon building up an investment case for a stock, we should look at various aspects. In the case of STERV, it is a company with great financial health as well as a an impressive track record of performance. Below is a brief commentary on these key aspects. For those interested in digger a bit deeper into my commentary, read the full report on Stora Enso Oyj here.

Excellent balance sheet with proven track record

In the previous year, STERV has ramped up its bottom line by 71.02%, with its latest earnings level surpassing its average level over the last five years. In addition to beating its historical values, STERV also outperformed its industry, which delivered a growth of 69.02%. This is an optimistic signal for the future. STERV is financially robust, with ample cash on hand and short-term investments to meet upcoming liabilities. This implies that STERV manages its cash and cost levels well, which is a crucial insight into the health of the company. STERV appears to have made good use of debt, producing operating cash levels of 0.41x total debt in the prior year. This is a strong indication that debt is reasonably met with cash generated.

HLSE:STERV Income Statement June 22nd 18
HLSE:STERV Income Statement June 22nd 18

Next Steps:

For Stora Enso Oyj, there are three important factors you should further examine:

  1. Future Outlook: What are well-informed industry analysts predicting for STERV’s future growth? Take a look at our free research report of analyst consensus for STERV’s outlook.

  2. Valuation: What is STERV 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 STERV is currently mispriced by the market.

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


To help readers see pass the short term volatility of the financial market, we aim to bring you a long-term focused research analysis purely driven by fundamental data. Note that our analysis does not factor in the latest price sensitive company announcements.

The author is an independent contributor and at the time of publication had no position in the stocks mentioned.

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