Power Corporation of Canada (TSE:POW) 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 POW, it is a well-regarded dividend payer that has been able to sustain great financial health over the past. Below is a brief commentary on these key aspects. For those interested in digger a bit deeper into my commentary, read the full report on Power of Canada here.
Established dividend payer with adequate balance sheet
POW’s ability to maintain an adequate level of cash to meet upcoming liabilities is a good sign for its financial health. This indicates that POW has sufficient cash flows and proper cash management in place, which is an important determinant of the company’s health. POW appears to have made good use of debt, producing operating cash levels of 0.45x total debt in the prior year. This is a strong indication that debt is reasonably met with cash generated.
Income investors would also be happy to know that POW is a great dividend company, with a current yield standing at 6.0%. POW has also been regularly increasing its dividend payments to shareholders over the past decade.
For Power of Canada, I’ve compiled three important aspects you should look at:
- Future Outlook: What are well-informed industry analysts predicting for POW’s future growth? Take a look at our free research report of analyst consensus for POW’s outlook.
- Historical Performance: What has POW’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.
- Other Attractive Alternatives : Are there other well-rounded stocks you could be holding instead of POW? 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 firstname.lastname@example.org.