These Factors Make Andritz AG (VIE:ANDR) An Interesting Investment

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Andritz AG (VIE:ANDR) 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 ANDR, it is a financially-healthy company with a strong history of dividend payments and an optimistic future outlook. Below, I've touched on some key aspects you should know on a high level. For those interested in digging a bit deeper into my commentary, read the full report on Andritz here.

Reasonable growth potential with adequate balance sheet and pays a dividend

Investors in search for stocks with room to flourish should look no further than ANDR, with its expected earnings growth of 23% underlying the notable 22% return on equity over the next few years leading up to 2022. ANDR is financially robust, with ample cash on hand and short-term investments to meet upcoming liabilities. This implies that ANDR manages its cash and cost levels well, which is an important determinant of the company’s health. ANDR appears to have made good use of debt, producing operating cash levels of 0.22x total debt in the prior year. This is a strong indication that debt is reasonably met with cash generated.

WBAG:ANDR Past and Future Earnings, October 5th 2019
WBAG:ANDR Past and Future Earnings, October 5th 2019

ANDR is also a dividend company, with ample net income to cover its dividend payout, which has been consistently growing over the past decade, keeping income investors happy.

WBAG:ANDR Historical Dividend Yield, October 5th 2019
WBAG:ANDR Historical Dividend Yield, October 5th 2019

Next Steps:

For Andritz, I've compiled three essential factors you should further examine:

  1. Historical Performance: What has ANDR'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.

  2. Valuation: What is ANDR 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 ANDR is currently mispriced by the market.

  3. Other Attractive Alternatives : Are there other well-rounded stocks you could be holding instead of ANDR? 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.