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 Hexagon AB (publ) (STO:HEXA B), it is a highly-regarded dividend-paying company 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 Hexagon here.
Adequate balance sheet average dividend payer
HEXA B'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 indicates that HEXA B has sufficient cash flows and proper cash management in place, which is a key determinant of the company’s health. HEXA B's has produced operating cash levels of 0.43x total debt over the past year, which implies that HEXA B'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, HEXA B is a robust dividend payer as well. Over the past decade, the company has consistently increased its dividend payout, reaching a yield of 1.4%.
For Hexagon, I've compiled three key aspects you should further examine:
- Future Outlook: What are well-informed industry analysts predicting for HEXA B’s future growth? Take a look at our free research report of analyst consensus for HEXA B’s outlook.
- Historical Performance: What has HEXA B'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 HEXA B? 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.