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Attractive stocks have exceptional fundamentals. In the case of Equity Commonwealth (NYSE:EQC), there’s is a company with great financial health as well as a an impressive 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 Equity Commonwealth here.
Flawless balance sheet with proven track record
EQC delivered a bottom-line expansion of 55% in the prior year, with its most recent earnings level surpassing its average level over the last five years. In addition to beating its historical values, EQC also outperformed its industry, which delivered a growth of 16%. This is an notable feat for the company. EQC is financially robust, with ample cash on hand and short-term investments to meet upcoming liabilities. This suggests prudent control over cash and cost by management, which is a crucial insight into the health of the company. EQC appears to have made good use of debt, producing operating cash levels of 0.37x total debt in the prior year. This is a strong indication that debt is reasonably met with cash generated.
For Equity Commonwealth, I’ve compiled three pertinent factors you should further examine:
- Future Outlook: What are well-informed industry analysts predicting for EQC’s future growth? Take a look at our free research report of analyst consensus for EQC’s outlook.
- Valuation: What is EQC 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 EQC is currently mispriced by the market.
- Other Attractive Alternatives : Are there other well-rounded stocks you could be holding instead of EQC? 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 firstname.lastname@example.org. 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.