As an investor, I look for investments which do 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 John B. Sanfilippo & Son, Inc. (NASDAQ:JBSS), it is a company with great financial health as well as a an impressive track record of performance. Below is a brief commentary on these key aspects. If you're interested in understanding beyond my broad commentary, take a look at the report on John B. Sanfilippo & Son here.
Flawless balance sheet with solid track record
Over the past year, JBSS has grown its earnings by 21%, with its most recent figure exceeding its annual average over the past five years. Not only did JBSS outperformed its past performance, its growth also exceeded the Food industry expansion, which generated a -18% earnings growth. This is what investors like to see! JBSS'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 implies that JBSS manages its cash and cost levels well, which is a key determinant of the company’s health. JBSS's has produced operating cash levels of 2.92x total debt over the past year, which implies that JBSS's management has put its borrowings into good use by generating enough cash to cover a sufficient portion of borrowings.
For John B. Sanfilippo & Son, I've put together three relevant aspects you should further examine:
- Future Outlook: What are well-informed industry analysts predicting for JBSS’s future growth? Take a look at our free research report of analyst consensus for JBSS’s outlook.
- Valuation: What is JBSS 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 JBSS is currently mispriced by the market.
- Other Attractive Alternatives : Are there other well-rounded stocks you could be holding instead of JBSS? 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 email@example.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.