Why Fundamental Investors Might Love Oxford Metrics plc (LON:OMG)
Want to participate in a short research study? Help shape the future of investing tools and you could win a $250 gift card!
Attractive stocks have exceptional fundamentals. In the case of Oxford Metrics plc (LON:OMG), there's is a company with great financial health as well as a a strong history of performance. In the following section, I expand a bit more on these key aspects. For those interested in digger a bit deeper into my commentary, read the full report on Oxford Metrics here.
Flawless balance sheet with proven track record
OMG delivered a bottom-line expansion of 28% in the prior year, with its most recent earnings level surpassing its average level over the last five years. In addition to beating its historical values, OMG also outperformed its industry, which delivered a growth of 15%. This paints a buoyant picture for the company. OMG's ability to maintain an adequate level of cash to meet upcoming liabilities is a good sign for its financial health. This indicates that OMG has sufficient cash flows and proper cash management in place, which is a key determinant of the company’s health. OMG currently has no debt on its balance sheet. This means it is running its business only on equity capital funding, which is typically normal for a small-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.
Next Steps:
For Oxford Metrics, I've compiled three pertinent aspects you should further examine:
Future Outlook: What are well-informed industry analysts predicting for OMG’s future growth? Take a look at our free research report of analyst consensus for OMG’s outlook.
Valuation: What is OMG worth today? Is the stock undervalued, even when its growth outlook is factored into its intrinsic value? The intrinsic value infographic in our free research report helps visualize whether OMG is currently mispriced by the market.
Other Attractive Alternatives : Are there other well-rounded stocks you could be holding instead of OMG? 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.
