For Immediate Release
Chicago, IL – April 21, 2020 – Stocks in this week’s article are PJT Partners Inc. PJT, CBIZ, Inc. CBZ, BioSpecifics Technologies Corp. BSTC, eXp World Holdings Inc. EXPI and Gibraltar Industries Inc. ROCK.
5 Stocks with Rising Cash Flows to Combat Coronavirus Fears
Cash is the lifeblood of any business, and provides vitality and strength to a company. It holds the key to a company’s existence, development and success, and indicates its true financial health.
Moreover, with the coronavirus pandemic wreaking havoc on the global economy, and the resultant market disruption and dislocations being unprecedented with significant impact on liquidity, laying a wager on stocks based on their cash-flow generating efficiency looks all the more prudent.
This is because even a profitable business can succumb to failure if its cash flow is uneven and eventually, file for bankruptcy. However, one can efficiently sail through any market mayhem if it has the cash to shield it. In fact, a healthy cash position indicates that profits are being efficiently channelized to the company’s reserves, helping it enjoy the flexibility to make decisions, chase potential investments and run its growth engine.
To figure out this efficiency, one needs to consider a company’s net cash flow. While in any business cash moves in and out, it is net cash flow that explains how much money a company is actually generating.
If a company is experiencing a positive cash flow then it denotes an increase in its liquid assets, which gives it the means to meet debt obligations, shell out for expenses, reinvest in business, endure downturns and finally return wealth to shareholders. On the other hand, a negative cash flow indicates a decline in the company’s liquidity, which in turn lowers its flexibility to support these moves.
However, having a positive cash flow merely does not secure a company’s future growth. To ride on the growth curve, a company must have its cash flow increasing because that indicates management’s efficiency in regulating its cash movements and less dependency on outside financing for running its business.
Therefore, keep yourself abreast with the following screen to bet on stocks with rising cash flows.
For the rest of this Screen of the Week article please visit Zacks.com at: https://www.zacks.com/stock/news/880234/5-stocks-with-rising-cash-flows-to-battle-coronavirus-crisis?art_rec=quote-stock_overview-zacks_news-ID01-txt-880234
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CBIZ, Inc. (CBZ) : Free Stock Analysis Report
BioSpecifics Technologies Corp (BSTC) : Free Stock Analysis Report
Gibraltar Industries, Inc. (ROCK) : Free Stock Analysis Report
PJT Partners Inc. (PJT) : Free Stock Analysis Report
Exp World Holdings, Inc. (EXPI) : Free Stock Analysis Report
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