Does The Data Make Progress-Werk Oberkirch AG (FRA:PWO) An Attractive Investment?

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Attractive stocks have exceptional fundamentals. In the case of Progress-Werk Oberkirch AG (FRA:PWO), there’s is a notable dividend payer that has been a rockstar for income investors, currently trading at an attractive share price. In the following section, I expand a bit more on these key aspects. For those interested in digger a bit deeper into my commentary, take a look at the report on Progress-Werk Oberkirch here.

Very undervalued average dividend payer

PWO’s shares are now trading at a price below its true value based on its discounted cash flows, indicating a relatively pessimistic market sentiment. This mispricing gives investors the opportunity to buy into the stock at a cheap price compared to the value they will be receiving, should analysts’ consensus forecast growth be correct. Also, relative to the rest of its peers with similar levels of earnings, PWO’s share price is trading below the group’s average. This further reaffirms that PWO is potentially undervalued.

DB:PWO Intrinsic value, June 10th 2019
DB:PWO Intrinsic value, June 10th 2019

PWO is considered one of the top dividend payers in the market, and it has also been able to maintain it at a level in which net income is able to cover dividend payments.

DB:PWO Historical Dividend Yield, June 10th 2019
DB:PWO Historical Dividend Yield, June 10th 2019

Next Steps:

For Progress-Werk Oberkirch, I’ve compiled three pertinent aspects you should further research:

  1. Future Outlook: What are well-informed industry analysts predicting for PWO’s future growth? Take a look at our free research report of analyst consensus for PWO’s outlook.
  2. Historical Performance: What has PWO’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.
  3. Other Attractive Alternatives : Are there other well-rounded stocks you could be holding instead of PWO? 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.