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Should NWF Group plc (LON:NWF) Be Your Next Stock Pick?

Simply Wall St

NWF Group plc (LON:NWF) 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 NWF, it is a highly-regarded dividend payer that has been able to sustain great financial health over the past. Below is a brief commentary on these key aspects. If you're interested in understanding beyond my broad commentary, read the full report on NWF Group here.

Flawless balance sheet established dividend payer

NWF'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 suggests prudent control over cash and cost by management, which is a crucial insight into the health of the company. NWF seems to have put its debt to good use, generating operating cash levels of 0.49x total debt in the most recent year. This is also a good indication as to whether debt is properly covered by the company’s cash flows.

AIM:NWF Historical Debt, September 1st 2019

NWF is also a dividend company, with ample net income to cover its dividend payout, which has been consistently growing over the past decade, keeping income investors happy.

AIM:NWF Historical Dividend Yield, September 1st 2019

Next Steps:

For NWF Group, I've put together three essential aspects you should look at:

  1. Future Outlook: What are well-informed industry analysts predicting for NWF’s future growth? Take a look at our free research report of analyst consensus for NWF’s outlook.
  2. Historical Performance: What has NWF'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 NWF? 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.