Yahoo Finance Why The Citadel Group Limited (ASX:CGL) Is An Attractive Investment To Consider
The Citadel Group Limited (ASX:CGL) is a company with exceptional fundamental characteristics. Upon building up an investment case for a stock, we should look at various aspects. In the case of CGL, it is a company with great financial health as well as a a great track record of performance. 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 Citadel Group here.
Excellent balance sheet with solid track record
In the previous year, CGL has ramped up its bottom line by 32%, with its latest earnings level surpassing its average level over the last five years. This illustrates a strong track record, leading to a satisfying return on equity of 23%. which is what investors like to see! CGL'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 CGL has sufficient cash flows and proper cash management in place, which is a crucial insight into the health of the company. CGL appears to have made good use of debt, producing operating cash levels of 1.37x total debt in the prior year. This is a strong indication that debt is reasonably met with cash generated.
Next Steps:
For Citadel Group, there are three pertinent aspects you should further research:
Future Outlook: What are well-informed industry analysts predicting for CGL’s future growth? Take a look at our free research report of analyst consensus for CGL’s outlook.
Valuation: What is CGL 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 CGL is currently mispriced by the market.
Other Attractive Alternatives : Are there other well-rounded stocks you could be holding instead of CGL? 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.
