LT Foods Limited (NSE:DAAWAT): The Best Of Both Worlds

I’ve been keeping an eye on LT Foods Limited (NSE:DAAWAT) because I’m attracted to its fundamentals. Looking at the company as a whole, as a potential stock investment, I believe DAAWAT has a lot to offer. Basically, it is a company with an optimistic future outlook, which has not yet been priced into the stock. 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 LT Foods here.

Good value with reasonable growth potential

Investors in search for stocks with room to flourish should look no further than DAAWAT, with its expected earinngs growth of 30%, made up of high-quality, operational cash from its core business, which is expected to more than double over the next year. This indicates a high-quality bottom-line expansion, as opposed to those driven by unsustainable cost-cutting activities. DAAWAT’s share price is trading below its true value according to its price-to-earnings ratio of 9.37x compared to its industry as well as the wider stock market, so potential investors can purchase the stock below its value.

NSEI:DAAWAT Future Profit December 1st 18
NSEI:DAAWAT Future Profit December 1st 18

Next Steps:

For LT Foods, I’ve compiled three essential aspects you should look at:

  1. Historical Performance: What has DAAWAT’s returns been like over the past? Go into more detail in the past track record analysis and take a look at the free visual representations of our analysis for more clarity.

  2. Financial Health: Does it have a healthy balance sheet? Take a look at our free balance sheet analysis with six simple checks on key factors like leverage and risk.

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

Advertisement