Taitron Components Incorporated (NASDAQ:TAIT) 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 TAIT, it is a highly-regarded 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 Taitron Components here.
Flawless balance sheet average dividend payer
TAIT’s strong financial health means that all of its upcoming liability payments are able to be met by its current cash and short-term investment holdings. This indicates that TAIT has sufficient cash flows and proper cash management in place, which is a key determinant of the company’s health. Looking at TAIT’s capital structure, the company has no debt on its balance sheet. This means it is running its business only on equity capital funding, which is typically normal for a small-cap company. Investors’ risk associated with debt is virtually non-existent and the company has plenty of headroom to grow debt in the future, should the need arise.
Income investors would also be happy to know that TAIT is one of the highest dividend payers in the market, with current dividend yield standing at 5.5%. TAIT has also been regularly increasing its dividend payments to shareholders over the past decade.
Next Steps:
For Taitron Components, there are three pertinent factors you should further examine:
- Future Outlook: What are well-informed industry analysts predicting for TAIT’s future growth? Take a look at our free research report of analyst consensus for TAIT’s outlook.
- Historical Performance: What has TAIT’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 TAIT? 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.