As an investor, I look for investments which does not compromise one fundamental factor for another. By this I mean, I look at stocks holistically, from their financial health to their future outlook. In the case of UCB SA (EBR:UCB), it is a financially-healthy , dividend-paying company with a a great track record of performance. 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, take a look at the report on UCB here.
Flawless balance sheet with proven track record and pays a dividend
UCB delivered a satisfying double-digit returns of 8.9% in the most recent year Not surprisingly, UCB outperformed its industry which returned 6.5%, giving us more conviction of the company’s capacity to drive bottom-line growth going forward. UCB is financially robust, with ample cash on hand and short-term investments to meet upcoming liabilities. This implies that UCB manages its cash and cost levels well, which is a crucial insight into the health of the company. UCB’s has produced operating cash levels of 0.65x total debt over the past year, which implies that UCB’s management has put its borrowings into good use by generating enough cash to cover a sufficient portion of borrowings.
For those seeking income streams from their portfolio, UCB is a robust dividend payer as well. Over the past decade, the company has consistently increased its dividend payout, reaching a yield of 1.6%.
For UCB, I’ve compiled three important factors you should further examine:
- Future Outlook: What are well-informed industry analysts predicting for UCB’s future growth? Take a look at our free research report of analyst consensus for UCB’s outlook.
- Valuation: What is UCB 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 UCB is currently mispriced by the market.
- Other Attractive Alternatives : Are there other well-rounded stocks you could be holding instead of UCB? 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 firstname.lastname@example.org.