Does The Data Make Woolworths Group Limited (ASX:WOW) An Attractive Investment?
Woolworths Group Limited (ASX:WOW) 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 WOW, it is a notable dividend payer that has been able to sustain great financial health over the past. In the following section, I expand a bit more on these key aspects. For those interested in understanding where the figures come from and want to see the analysis, read the full report on Woolworths Group here.
Excellent balance sheet average dividend payer
With a debt-to-equity ratio of 29%, WOW’s debt level is reasonable. This implies that WOW has a healthy balance between taking advantage of low cost debt funding as well as sufficient financial flexibility without succumbing to the strict terms of debt. WOW seems to have put its debt to good use, generating operating cash levels of 0.94x 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 those seeking income streams from their portfolio, WOW is a robust dividend payer as well. Over the past decade, the company has consistently increased its dividend payout, reaching a yield of 2.8%.
Next Steps:
For Woolworths Group, there are three fundamental aspects you should further research:
Future Outlook: What are well-informed industry analysts predicting for WOW’s future growth? Take a look at our free research report of analyst consensus for WOW’s outlook.
Historical Performance: What has WOW'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.
Other Attractive Alternatives : Are there other well-rounded stocks you could be holding instead of WOW? 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.
