Determining which stock to add to your portfolio can be challenging. You need to consider your current portfolio holdings and how you can add more value while lowering risk. Looking at stocks with great fundamentals such as strong returns and great value can be a good place to start. In this article, I’ve composed a list of companies which provide investors with two or more favourable aspects, making them popular investments for any portfolio.
The Blackstone Group L.P. (NYSE:BX)
The Blackstone Group L.P. is a publicly owned hedge fund sponsor. Established in 1985, and now led by CEO Stephen Schwarzman, the company employs 2,240 people and with the company’s market cap sitting at USD $41.13B, it falls under the large-cap stocks category.
One reason why investors are attracted to BX is its earnings growth potential in the near future of 31.88% driving the impressive return on equity of 35.79% over the next couple of years. BX’s ability to grow its earnings in the past at 41.53%, leading to an equally impressive triple-digit return on equity, paints an buoyant picture for the company. In addition, BX’s consistent dividend payout, which has grown over a long period of time, makes it one of the highest dividend payers in the market.
Innophos Holdings, Inc. (NASDAQ:IPHS)
Innophos Holdings, Inc., through its subsidiaries, produces performance-critical and nutritional specialty ingredients with applications in food, beverage, dietary supplements, pharmaceutical, oral care, and industrial end markets. Formed in 2004, and currently lead by Kim Mink, the company provides employment to 1,319 people and with the company’s market capitalisation at USD $834.41M, we can put it in the small-cap category.
Ituran Location and Control Ltd. (NASDAQ:ITRN)
Ituran Location and Control Ltd., together with its subsidiaries, provides location-based services and wireless communications products in Israel, Brazil, Argentina, and the United States. Established in 1994, and now run by Nir Sheratzky, the company provides employment to 1,500 people and with the company’s market capitalisation at USD $717.11M, we can put it in the small-cap stocks category.
ITRN’s earnings growth in the past year of 48.73%, producing an outstanding triple-digit return to shareholders, is an optimistic signal for the future. What’s more is, ITRN has ample cash coverage over its short term liabilities, and its debt is adequately covered by its operating cash, demonstrating financial stability and good capital management. More on Ituran Location and Control here.
For more fundamentally-robust companies with industry-beating characteristics to enhance your portfolio, use our free platform to explore our interactive list of big green snowflake stocks.
To help readers see pass 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.