Why I Like Rand Mining Limited (ASX:RND)
As an investor, I look for investments which does not compromise one fundamental factor for another. By this I mean, I look at stocks holistically, from their financial health to their future outlook. In the case of Rand Mining Limited (ASX:RND), it is a company with great financial health as well as a an impressive track record of performance. Below, I’ve touched on some key aspects you should know on a high level. For those interested in understanding where the figures come from and want to see the analysis, take a look at the report on Rand Mining here.
Flawless balance sheet with proven track record
Over the past few years, RND has demonstrated a proven ability to generate robust returns of 21.69% Not surprisingly, RND outperformed its industry which returned 11.89%, giving us more conviction of the company’s capacity to drive bottom-line growth going forward. RND’s ability to maintain an adequate level of cash to meet upcoming liabilities is a good sign for its financial health. This indicates that RND has sufficient cash flows and proper cash management in place, which is a key determinant of the company’s health. RND’s has produced operating cash levels of 14.11x total debt over the past year, which implies that RND’s management has put its borrowings into good use by generating enough cash to cover a sufficient portion of borrowings.
Next Steps:
For Rand Mining, I’ve compiled three key factors you should further examine:
Future Outlook: What are well-informed industry analysts predicting for RND’s future growth? Take a look at our free research report of analyst consensus for RND’s outlook.
Valuation: What is RND 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 RND is currently mispriced by the market.
Other Attractive Alternatives : Are there other well-rounded stocks you could be holding instead of RND? 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.
