U.S. markets closed
  • S&P 500

    4,173.85
    +61.35 (+1.49%)
     
  • Dow 30

    34,382.13
    +360.68 (+1.06%)
     
  • Nasdaq

    13,429.98
    +304.99 (+2.32%)
     
  • Russell 2000

    2,224.63
    +53.68 (+2.47%)
     
  • Crude Oil

    65.51
    +1.69 (+2.65%)
     
  • Gold

    1,844.00
    +20.00 (+1.10%)
     
  • Silver

    27.50
    +0.46 (+1.69%)
     
  • EUR/USD

    1.2146
    +0.0062 (+0.51%)
     
  • 10-Yr Bond

    1.6350
    -0.0330 (-1.98%)
     
  • GBP/USD

    1.4102
    +0.0050 (+0.36%)
     
  • USD/JPY

    109.3470
    -0.0870 (-0.08%)
     
  • BTC-USD

    49,440.27
    +765.97 (+1.57%)
     
  • CMC Crypto 200

    1,398.33
    +39.77 (+2.93%)
     
  • FTSE 100

    7,043.61
    +80.28 (+1.15%)
     
  • Nikkei 225

    28,084.47
    +636.46 (+2.32%)
     

Should SAF-Holland S.A. (FRA:SFQ) Be Your Next Stock Pick?

  • Oops!
    Something went wrong.
    Please try again later.
  • Oops!
    Something went wrong.
    Please try again later.
Simply Wall St
  • Oops!
    Something went wrong.
    Please try again later.
  • Oops!
    Something went wrong.
    Please try again later.

Want to participate in a short research study? Help shape the future of investing tools and you could win a $250 gift card!

SAF-Holland S.A. (FRA:SFQ) 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 SFQ, it is a notable dividend payer with a a great track record of performance, trading at a discount. Below is a brief commentary on these key aspects. For those interested in digger a bit deeper into my commentary, take a look at the report on SAF-Holland here.

Good value with proven track record and pays a dividend

Over the past year, SFQ has grown its earnings by 20%, with its most recent figure exceeding its annual average over the past five years. In addition to beating its historical values, SFQ also outperformed its industry, which delivered a growth of -12%. This is what investors like to see! SFQ's shares are now trading at a price below its true value based on its PE ratio of 8.81x, compared to the industry and wider stock market ratio, making it a relatively cheap stock compared to its peers.

DB:SFQ Income Statement, June 17th 2019
DB:SFQ Income Statement, June 17th 2019

SFQ is considered one of the top dividend payers in the market, and it has also been able to maintain it at a level in which net income is able to cover dividend payments.

DB:SFQ Historical Dividend Yield, June 17th 2019
DB:SFQ Historical Dividend Yield, June 17th 2019

Next Steps:

For SAF-Holland, I've compiled three fundamental factors you should further examine:

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

  2. Financial Health: Are SFQ’s operations financially sustainable? Balance sheets can be hard to analyze, which is why we’ve done it for you. Check out our financial health checks here.

  3. Other Attractive Alternatives : Are there other well-rounded stocks you could be holding instead of SFQ? 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.