An Examination Of Edwards Lifesciences Corporation (NYSE:EW)
I've been keeping an eye on Edwards Lifesciences Corporation (NYSE:EW) because I'm attracted to its fundamentals. Looking at the company as a whole, as a potential stock investment, I believe EW has a lot to offer. Basically, it is a financially-robust company with a strong track record and a buoyant future outlook. In the following section, I expand a bit more on these key aspects. For those interested in digging a bit deeper into my commentary, read the full report on Edwards Lifesciences here.
Flawless balance sheet with solid track record
Over the past year, EW has grown its earnings by 10%, with its most recent figure exceeding its annual average over the past five years. This illustrates a strong track record, leading to a satisfying return on equity of 21%. which is an notable feat for the company.
EW's ability to maintain an adequate level of cash to meet upcoming liabilities is a good sign for its financial health. This suggests prudent control over cash and cost by management, which is a crucial insight into the health of the company. EW appears to have made good use of debt, producing operating cash levels of 1.65x total debt in the prior year. This is a strong indication that debt is reasonably met with cash generated.
Next Steps:
For Edwards Lifesciences, I've compiled three fundamental factors you should look at:
Valuation: What is EW 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 EW is currently mispriced by the market.
Dividend Income vs Capital Gains: Does EW return gains to shareholders through reinvesting in itself and growing earnings, or redistribute a decent portion of earnings as dividends? Our historical dividend yield visualization quickly tells you what your can expect from EW as an investment.
Other Attractive Alternatives : Are there other well-rounded stocks you could be holding instead of EW? 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.
