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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 China Overseas Land & Investment Limited (HKG:688), it is a well-regarded dividend-paying company with a a great track record of performance, trading at a great value. 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, read the full report on China Overseas Land & Investment here.
Established dividend payer and good value
688 delivered a satisfying double-digit returns of 6.1% in the most recent year Unsurprisingly, 688 surpassed the industry return of 3.3%, which gives us more confidence of the company's capacity to drive earnings going forward. 688's shares are now trading at a price below its true value based on its discounted cash flows, indicating a relatively pessimistic market sentiment. This mispricing gives investors the opportunity to buy into the stock at a cheap price compared to the value they will be receiving, should analysts' consensus forecast growth be correct. Compared to the rest of the market, 688 is also trading below other listed companies on the HK stock exchange, relative to earnings generated. This bolsters the proposition that 688's price is currently discounted.
For those seeking income streams from their portfolio, 688 is a robust dividend payer as well. Over the past decade, the company has consistently increased its dividend payout, reaching a yield of 3.3%.
Next Steps:
For China Overseas Land & Investment, I've put together three fundamental aspects you should look at:
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Future Outlook: What are well-informed industry analysts predicting for 688’s future growth? Take a look at our free research report of analyst consensus for 688’s outlook.
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Financial Health: Are 688’s operations financially sustainable? Balance sheets can be hard to analyze, which is why we’ve done it for you. Check out our financial health checks here.
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Other Attractive Alternatives : Are there other well-rounded stocks you could be holding instead of 688? 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.