Loma Negra Compañía Industrial Argentina Sociedad Anónima (NYSE:LOMA) 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 LOMA, it is a financially-robust company with a strong track record and a buoyant future outlook. 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 Loma Negra Compañía Industrial Argentina Sociedad Anónima here.
Outstanding track record with high growth potential
Investors in search of impressive top-line expansion should look no further than LOMA, with its expected 63.71% revenue growth in the upcoming year. This is expected to flow down into an impressive return on equity of 68.30% over the next couple of years. Over the past few years, LOMA has more than doubled its earnings, with its most recent figure exceeding its annual average over the past five years. This strong performance generated a robust double-digit return on equity of 36.64%, which is an notable feat for the company.
LOMA’s ability to maintain an adequate level of cash to meet upcoming liabilities is a good sign for its financial health. This implies that LOMA manages its cash and cost levels well, which is a crucial insight into the health of the company. LOMA appears to have made good use of debt, producing operating cash levels of 0.71x total debt in the prior year. This is a strong indication that debt is reasonably met with cash generated.
Next Steps:
For Loma Negra Compañía Industrial Argentina Sociedad Anónima, I’ve put together three important aspects you should further research:
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Valuation: What is LOMA 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 LOMA is currently mispriced by the market.
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Dividend Income vs Capital Gains: Does LOMA return gains to shareholders through reinvesting in itself and growing earnings, or redistribute a decent portion of earnings as dividends? Our historical dividend yield visualization quickly tells you what your can expect from LOMA as an investment.
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Other Attractive Alternatives : Are there other well-rounded stocks you could be holding instead of LOMA? 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.