Stock Analysis

How Premium Brands Holdings Corporation (TSE:PBH) Could Add Value To Your Portfolio

TSX:PBH
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Attractive stocks have exceptional fundamentals. In the case of Premium Brands Holdings Corporation (TSE:PBH), there's is a company with a a great history of dividend payments as well as a buoyant future outlook. 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 Premium Brands Holdings here.

Established dividend payer with reasonable growth potential

One reason why investors are attracted to PBH is its earnings growth potential in the near future of 28%, bolstered by its impressive cash-generating ability, as analysts predict its operating cash flows will rise by 77% over the same time period. This is a sustainable driver of high-quality earnings, as opposed to pure cost-cutting activities.

TSX:PBH Past and Future Earnings, April 8th 2019
TSX:PBH Past and Future Earnings, April 8th 2019

PBH is also a dividend company, with ample net income to cover its dividend payout, which has been consistently growing over the past decade, keeping income investors happy.

TSX:PBH Historical Dividend Yield, April 8th 2019
TSX:PBH Historical Dividend Yield, April 8th 2019

Next Steps:

For Premium Brands Holdings, I've put together three relevant factors you should further research:

  1. Historical Performance: What has PBH'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. Valuation: What is PBH 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 PBH is currently mispriced by the market.
  3. Other Attractive Alternatives : Are there other well-rounded stocks you could be holding instead of PBH? 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.