In This Article:
Building up an investment case requires looking at a stock holistically. Today I've chosen to put the spotlight on iFAST Corporation Ltd. (SGX:AIY) due to its excellent fundamentals in more than one area. AIY is a company with great financial health as well as a a great history of performance. Below is a brief commentary on these key aspects. For those interested in digger a bit deeper into my commentary, take a look at the report on iFAST here.
Adequate balance sheet with proven track record
In the previous year, AIY has ramped up its bottom line by 42%, with its latest earnings level surpassing its average level over the last five years. Not only did AIY outperformed its past performance, its growth also exceeded the Diversified Financial industry expansion, which generated a 11% earnings growth. This is what investors like to see! AIY'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 implies that AIY manages its cash and cost levels well, which is a key determinant of the company’s health. AIY seems to have put its debt to good use, generating operating cash levels of 0.47x total debt in the most recent year. This is also a good indication as to whether debt is properly covered by the company’s cash flows.
Next Steps:
For iFAST, I've put together three pertinent factors you should further research:
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Future Outlook: What are well-informed industry analysts predicting for AIY’s future growth? Take a look at our free research report of analyst consensus for AIY’s outlook.
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Valuation: What is AIY 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 AIY is currently mispriced by the market.
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Other Attractive Alternatives : Are there other well-rounded stocks you could be holding instead of AIY? 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.