Why Public Joint Stock Company Gazprom Neft (MCX:SIBN) Could Be Your Next Investment

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Public Joint Stock Company Gazprom Neft (MCX:SIBN) 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 SIBN, it is a financially-robust , dividend-paying company with a great history of performance. 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 Gazprom Neft here.

Excellent balance sheet with solid track record and pays a dividend

SIBN delivered a bottom-line expansion of 38% in the prior year, with its most recent earnings level surpassing its average level over the last five years. This strong performance generated a robust double-digit return on equity of 21%, which paints a buoyant picture for the company. SIBN's ability to maintain an adequate level of cash to meet upcoming liabilities is a good sign for its financial health. This implies that SIBN manages its cash and cost levels well, which is a key determinant of the company’s health. SIBN appears to have made good use of debt, producing operating cash levels of 0.87x total debt in the prior year. This is a strong indication that debt is reasonably met with cash generated.

MISX:SIBN Income Statement, August 28th 2019
MISX:SIBN Income Statement, August 28th 2019

For those seeking income streams from their portfolio, SIBN is a robust dividend payer as well. Over the past decade, the company has consistently increased its dividend payout, reaching a yield of 7.2%.

MISX:SIBN Historical Dividend Yield, August 28th 2019
MISX:SIBN Historical Dividend Yield, August 28th 2019

Next Steps:

For Gazprom Neft, I've put together three important aspects you should further examine:

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

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

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