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Should You Consider Oil-Dri Corporation of America (NYSE:ODC)?

Simply Wall St

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I’ve been keeping an eye on Oil-Dri Corporation of America (NYSE:ODC) because I’m attracted to its fundamentals. Looking at the company as a whole, as a potential stock investment, I believe ODC has a lot to offer. Basically, it is a notable dividend payer that has been able to sustain great financial health over the past. Below is a brief commentary on these key aspects. For those interested in digger a bit deeper into my commentary, take a look at the report on Oil-Dri of America here.

Flawless balance sheet average dividend payer

ODC’s strong financial health means that all of its upcoming liability payments are able to be met by its current cash and short-term investment holdings. This suggests prudent control over cash and cost by management, which is an important determinant of the company’s health. ODC seems to have put its debt to good use, generating operating cash levels of 0.27x 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.

NYSE:ODC Historical Debt, March 25th 2019

For those seeking income streams from their portfolio, ODC is a robust dividend payer as well. Over the past decade, the company has consistently increased its dividend payout, reaching a yield of 3.3%.

NYSE:ODC Historical Dividend Yield, March 25th 2019

Next Steps:

For Oil-Dri of America, I’ve compiled three key factors you should look at:

  1. Future Outlook: What are well-informed industry analysts predicting for ODC’s future growth? Take a look at our free research report of analyst consensus for ODC’s outlook.
  2. Historical Performance: What has ODC’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.
  3. Other Attractive Alternatives : Are there other well-rounded stocks you could be holding instead of ODC? 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.