Independence Holding Company (NYSE:IHC) is a company with exceptional fundamental characteristics. Upon building up an investment case for a stock, we should look at various aspects. In the case of IHC, it is a company with great financial health as well as a an impressive history of performance. 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, take a look at the report on Independence Holding here.
Solid track record with excellent balance sheet
In the past couple of years, IHC has ramped up its bottom line by over 100%, with its latest earnings level surpassing its average level over the last five years. In addition to beating its historical values, IHC also outperformed its industry, which delivered a growth of 3.77%. This is an notable feat for the company. IHC’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 an important determinant of the company’s health. Investors should not worry about IHC’s debt levels because the company has none! This means it is running its business only on equity capital funding, which is typically normal for a small-cap company. IHC has plenty of financial flexibility, without debt obligations to meet in the short term, as well as the headroom to raise debt should it need to in the future.
For Independence Holding, there are three fundamental aspects you should further research:
- Future Outlook: What are well-informed industry analysts predicting for IHC’s future growth? Take a look at our free research report of analyst consensus for IHC’s outlook.
- Valuation: What is IHC 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 IHC is currently mispriced by the market.
- Other Attractive Alternatives : Are there other well-rounded stocks you could be holding instead of IHC? Explore our interactive list of stocks with large potential to get an idea of what else is out there you may be missing!
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.