Techno Electric & Engineering Company Limited (NSE:TECHNOE) 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 TECHNOE, it is a company with great financial health as well as a a great track record 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 Techno Electric & Engineering here.

Flawless balance sheet with solid track record

TECHNOE delivered a triple-digit bottom-line expansion over the past couple of years, with its most recent earnings level surpassing its average level over the last five years. Not only did TECHNOE outperformed its past performance, its growth also surpassed the Construction industry expansion, which generated a 34% earnings growth. This paints a buoyant picture for the company. TECHNOE’s ability to maintain an adequate level of cash to meet upcoming liabilities is a good sign for its financial health. This implies that TECHNOE manages its cash and cost levels well, which is a key determinant of the company’s health. TECHNOE’s has produced operating cash levels of 3.18x total debt over the past year, which implies that TECHNOE’s management has put its borrowings into good use by generating enough cash to cover a sufficient portion of borrowings.

Next Steps:

For Techno Electric & Engineering, I’ve put together three pertinent aspects you should look at:

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

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

3. Other Attractive Alternatives : Are there other well-rounded stocks you could be holding instead of TECHNOE? 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 past 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. For errors that warrant correction please contact the editor at editorial-team@simplywallst.com.