Is MAXIMUS Inc (NYSE:MMS) Potentially Underrated?
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 MAXIMUS Inc (NYSE:MMS), it is a dependable dividend payer that has been able to sustain great financial health over the past. 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 MAXIMUS here.
Flawless balance sheet average dividend payer
MMS’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 MMS manages its cash and cost levels well, which is an important determinant of the company’s health. MMS currently has no debt on its balance sheet. This means it is running its business only on equity capital funding, which is rather impressive for a US$4.5b market cap company. Investors’ risk associated with debt is virtually non-existent and the company has plenty of headroom to grow debt in the future, should the need arise.
For those seeking income streams from their portfolio, MMS 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%.
Next Steps:
For MAXIMUS, I’ve put together three pertinent factors you should further research:
Future Outlook: What are well-informed industry analysts predicting for MMS’s future growth? Take a look at our free research report of analyst consensus for MMS’s outlook.
Historical Performance: What has MMS’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 MMS? 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 editorial-team@simplywallst.com.
