UOL Group Limited (SGX:U14): Commentary On Fundamentals

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I've been keeping an eye on UOL Group Limited (SGX:U14) because I'm attracted to its fundamentals. Looking at the company as a whole, as a potential stock investment, I believe U14 has a lot to offer. Basically, it is a notable 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, read the full report on UOL Group here.

Adequate balance sheet average dividend payer

U14's ability to maintain an adequate level of cash to meet upcoming liabilities is a good sign for its financial health. This implies that U14 manages its cash and cost levels well, which is an important determinant of the company’s health. U14’s debt-to-equity ratio stands at 34%, which means its debt level is reasonable. This implies that U14 has a healthy balance between taking advantage of low cost debt funding as well as sufficient financial flexibility without succumbing to the strict terms of debt.

SGX:U14 Historical Debt, October 11th 2019
SGX:U14 Historical Debt, October 11th 2019

For those seeking income streams from their portfolio, U14 is a robust dividend payer as well. Over the past decade, the company has consistently increased its dividend payout, reaching a yield of 2.4%.

SGX:U14 Historical Dividend Yield, October 11th 2019
SGX:U14 Historical Dividend Yield, October 11th 2019

Next Steps:

For UOL Group, there are three relevant factors you should further examine:

  1. Future Outlook: What are well-informed industry analysts predicting for U14’s future growth? Take a look at our free research report of analyst consensus for U14’s outlook.

  2. Historical Performance: What has U14'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 U14? 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.

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