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Kingmaker Footwear Holdings Limited (HKG:1170): A Fundamentally Attractive Investment

Simply Wall St

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Kingmaker Footwear Holdings Limited (HKG:1170) is a stock with outstanding fundamental characteristics. When we build an investment case, we need to look at the stock with a holistic perspective. In the case of 1170, it is a well-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 digger a bit deeper into my commentary, read the full report on Kingmaker Footwear Holdings here.

Flawless balance sheet average dividend payer

1170 is financially robust, with ample cash on hand and short-term investments to meet upcoming liabilities. This indicates that 1170 has sufficient cash flows and proper cash management in place, which is an important determinant of the company’s health. Looking at 1170's capital structure, the company has no debt on its balance sheet. This implies that the company is running its operations purely on off equity funding. which is typically normal for a small-cap company. 1170 has plenty of financial flexibility, without debt obligations to meet in the short term, as well as the headroom to raise debt should it need to in the future.

SEHK:1170 Historical Debt, May 23rd 2019

For those seeking income streams from their portfolio, 1170 is a robust dividend payer as well. Over the past decade, the company has consistently increased its dividend payout, reaching a yield of 13%, making it one of the best dividend companies in the market.

SEHK:1170 Historical Dividend Yield, May 23rd 2019

Next Steps:

For Kingmaker Footwear Holdings, there are three pertinent factors you should look at:

  1. Future Outlook: What are well-informed industry analysts predicting for 1170’s future growth? Take a look at our free research report of analyst consensus for 1170’s outlook.
  2. Historical Performance: What has 1170'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.
  3. Other Attractive Alternatives : Are there other well-rounded stocks you could be holding instead of 1170? 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.