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Building up an investment case requires looking at a stock holistically. Today I’ve chosen to put the spotlight on TriMas Corporation (NASDAQ:TRS) due to its excellent fundamentals in more than one area. TRS is a company with great financial health as well as a a great history of performance. 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 TriMas here.
Solid track record with excellent balance sheet
In the previous year, TRS has ramped up its bottom line by 62%, with its latest earnings level surpassing its average level over the last five years. In addition to beating its historical values, TRS also outperformed its industry, which delivered a growth of 28%. This is what investors like to see! TRS’s ability to maintain an adequate level of cash to meet upcoming liabilities is a good sign for its financial health. This suggests prudent control over cash and cost by management, which is an important determinant of the company’s health. TRS’s has produced operating cash levels of 0.41x total debt over the past year, which implies that TRS’s management has put its borrowings into good use by generating enough cash to cover a sufficient portion of borrowings.
For TriMas, I’ve compiled three essential aspects you should further examine:
- Future Outlook: What are well-informed industry analysts predicting for TRS’s future growth? Take a look at our free research report of analyst consensus for TRS’s outlook.
- Valuation: What is TRS 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 TRS is currently mispriced by the market.
- Other Attractive Alternatives : Are there other well-rounded stocks you could be holding instead of TRS? 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.