Yahoo Finance Why I Like Noni B Limited (ASX:NBL)
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Noni B Limited (ASX:NBL) 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 NBL, it is a company with impressive financial health as well as a excellent future outlook. In the following section, I expand a bit more on these key aspects. If you're interested in understanding beyond my broad commentary, take a look at the report on Noni B here.
High growth potential with adequate balance sheet
Investors in search for stocks with room to flourish should look no further than NBL, with its expected earnings growth of 27% which is expected to flow into an impressive return on equity of 29% over the next couple of years. With a debt-to-equity ratio of 19%, NBL’s debt level is reasonable. This implies that NBL has a healthy balance between taking advantage of low cost debt funding as well as sufficient financial flexibility without succumbing to the strict terms of debt. NBL seems to have put its debt to good use, generating operating cash levels of 2.1x total debt in the most recent year. This is also a good indication as to whether debt is properly covered by the company’s cash flows.
Next Steps:
For Noni B, I've compiled three essential aspects you should look at:
Historical Performance: What has NBL'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.
Valuation: What is NBL 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 NBL is currently mispriced by the market.
Other Attractive Alternatives : Are there other well-rounded stocks you could be holding instead of NBL? 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.
