Building up an investment case requires looking at a stock holistically. Today I've chosen to put the spotlight on Dalian Port (PDA) Company Limited (HKG:2880) due to its excellent fundamentals in more than one area. 2880 is a company with great financial health as well as a a strong history of performance. 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, read the full report on Dalian Port (PDA) here.
Proven track record with adequate balance sheet
2880 delivered a bottom-line expansion of 45% in the prior year, with its most recent earnings level surpassing its average level over the last five years. Not only did 2880 outperformed its past performance, its growth also surpassed the Infrastructure industry expansion, which generated a 1.1% earnings growth. This is an optimistic signal for the future. 2880's ability to maintain an adequate level of cash to meet upcoming liabilities is a good sign for its financial health. This implies that 2880 manages its cash and cost levels well, which is a key determinant of the company’s health. 2880 seems to have put its debt to good use, generating operating cash levels of 0.2x total debt in the most recent year. This is also a good indication as to whether debt is properly covered by the company’s cash flows.
For Dalian Port (PDA), I've put together three fundamental factors you should further research:
- Future Outlook: What are well-informed industry analysts predicting for 2880’s future growth? Take a look at our free research report of analyst consensus for 2880’s outlook.
- Valuation: What is 2880 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 2880 is currently mispriced by the market.
- Other Attractive Alternatives : Are there other well-rounded stocks you could be holding instead of 2880? Explore our interactive list of stocks with large potential to get an idea of what else is out there you may be missing!
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If you spot an error that warrants correction, please contact the editor at firstname.lastname@example.org. 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.