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Building up an investment case requires looking at a stock holistically. Today I've chosen to put the spotlight on Excel Industries Limited (NSE:EXCELINDUS) due to its excellent fundamentals in more than one area. EXCELINDUS is a company with great financial health as well as a a strong track record 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 Excel Industries here.

Flawless balance sheet with outstanding track record

Over the past few years, EXCELINDUS has more than doubled its earnings, with its most recent figure exceeding its annual average over the past five years. This illustrates a strong track record, leading to a satisfying return on equity of 22%, which paints a buoyant picture for the company. EXCELINDUS is financially robust, with ample cash on hand and short-term investments to meet upcoming liabilities. This indicates that EXCELINDUS has sufficient cash flows and proper cash management in place, which is an important determinant of the company’s health. EXCELINDUS seems to have put its debt to good use, generating operating cash levels of 19.16x 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 Excel Industries, I've compiled three relevant aspects you should look at:

1. Future Outlook: What are well-informed industry analysts predicting for EXCELINDUS’s future growth? Take a look at our free research report of analyst consensus for EXCELINDUS’s outlook.

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

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