Yahoo Finance AUB Group Limited (ASX:AUB): A Fundamentally Attractive Investment
I’ve been keeping an eye on AUB Group Limited (ASX:AUB) because I’m attracted to its fundamentals. Looking at the company as a whole, as a potential stock investment, I believe AUB has a lot to offer. Basically, it is a financially-sound , dividend-paying company with a a strong history of performance. In the following section, I expand a bit more on these key aspects. If you’re interested in understanding beyond my high-level commentary, take a look at the report on AUB Group here.
Established dividend payer with excellent balance sheet
AUB delivered a bottom-line expansion of 44.8% in the prior year, with its most recent earnings level surpassing its average level over the last five years. Not only did AUB outperformed its past performance, its growth also exceeded the Insurance industry expansion, which generated a 5.4% earnings growth. This is an optimistic signal for the future. AUB’s ability to maintain an adequate level of cash to meet upcoming liabilities is a good sign for its financial health. This indicates that AUB has sufficient cash flows and proper cash management in place, which is an important determinant of the company’s health. AUB appears to have made good use of debt, producing operating cash levels of 0.59x total debt in the prior year. This is a strong indication that debt is reasonably met with cash generated.
AUB is also a dividend company, with ample net income to cover its dividend payout, which has been consistently growing over the past decade, keeping income investors happy.
Next Steps:
For AUB Group, I’ve put together three pertinent aspects you should further research:
Future Outlook: What are well-informed industry analysts predicting for AUB’s future growth? Take a look at our free research report of analyst consensus for AUB’s outlook.
Valuation: What is AUB 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 AUB is currently mispriced by the market.
Other Attractive Alternatives : Are there other well-rounded stocks you could be holding instead of AUB? 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.
