A Look At Jersey Electricity plc’s (LON:JEL) Exceptional Fundamentals

Jersey Electricity plc (LON:JEL) is a stock with outstanding fundamental characteristics. When we build an investment case, we need to look at the stock with a holistic perspective. In the case of JEL, it is a notable dividend-paying company that has been able to sustain great financial health over the past. Below, I’ve touched on some key aspects you should know on a high level. For those interested in understanding where the figures come from and want to see the analysis, take a look at the report on Jersey Electricity here.

Adequate balance sheet average dividend payer

JEL’s ability to maintain an adequate level of cash to meet upcoming liabilities is a good sign for its financial health. This implies that JEL manages its cash and cost levels well, which is an important determinant of the company’s health. JEL’s has produced operating cash levels of 0.94x total debt over the past year, which implies that JEL’s management has put its borrowings into good use by generating enough cash to cover a sufficient portion of borrowings.

LSE:JEL Historical Debt August 22nd 18
LSE:JEL Historical Debt August 22nd 18

For those seeking income streams from their portfolio, JEL is a robust dividend payer as well. Over the past decade, the company has consistently increased its dividend payout, reaching a yield of 3.74%.

LSE:JEL Historical Dividend Yield August 22nd 18
LSE:JEL Historical Dividend Yield August 22nd 18

Next Steps:

For Jersey Electricity, I’ve put together three relevant aspects you should look at:

  1. Future Outlook: What are well-informed industry analysts predicting for JEL’s future growth? Take a look at our free research report of analyst consensus for JEL’s outlook.
  2. Historical Performance: What has JEL’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 JEL? 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.