An Examination Of American Financial Group Inc (NYSE:AFG)
Building up an investment case requires looking at a stock holistically. Today I’ve chosen to put the spotlight on American Financial Group Inc (NYSE:AFG) due to its excellent fundamentals in more than one area. AFG is a highly-regarded 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 understanding where the figures come from and want to see the analysis, read the full report on American Financial Group here.
Established dividend payer with adequate balance sheet
AFG’s ability to maintain an adequate level of cash to meet upcoming liabilities is a good sign for its financial health. This implies that AFG manages its cash and cost levels well, which is a key determinant of the company’s health. AFG seems to have put its debt to good use, generating operating cash levels of 1.58x 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.
Income investors would also be happy to know that AFG is a great dividend company, with a current yield standing at 3.1%. AFG has also been regularly increasing its dividend payments to shareholders over the past decade.
Next Steps:
For American Financial Group, I’ve put together three fundamental factors you should further examine:
Future Outlook: What are well-informed industry analysts predicting for AFG’s future growth? Take a look at our free research report of analyst consensus for AFG’s outlook.
Historical Performance: What has AFG’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 AFG? 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 past 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. For errors that warrant correction please contact the editor at editorial-team@simplywallst.com.
