Should You Consider Manaksia Limited (NSE:MANAKSIA)?
Want to participate in a short research study? Help shape the future of investing tools and you could win a $250 gift card!
Manaksia Limited (NSE:MANAKSIA) 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 MANAKSIA, it is a financially-healthy company with a a strong track record high-grade dividend payments, trading at a great value. In the following section, I expand a bit more on these key aspects. If you're interested in understanding beyond my broad commentary, read the full report on Manaksia here.
Flawless balance sheet, undervalued and pays a dividend
MANAKSIA is financially robust, with ample cash on hand and short-term investments to meet upcoming liabilities. This suggests prudent control over cash and cost by management, which is a crucial insight into the health of the company. MANAKSIA's has produced operating cash levels of 7.39x total debt over the past year, which implies that MANAKSIA's management has put its borrowings into good use by generating enough cash to cover a sufficient portion of borrowings. MANAKSIA's shares are now trading at a price below its true value based on its discounted cash flows, indicating a relatively pessimistic market sentiment. According to my intrinsic value of the stock, which is driven by analyst consensus forecast of MANAKSIA's earnings, investors now have the opportunity to buy into the stock to reap capital gains. Compared to the rest of the metals and mining industry, MANAKSIA is also trading below its peers, relative to earnings generated. This further reaffirms that MANAKSIA is potentially undervalued.
MANAKSIA’s reputation for being one of the best dividend payers in the market is supported by the fact that it has been steadily growing its dividend payments over the past ten years and currently is one of the top yielding companies on the markets, at 7.9%.
Next Steps:
For Manaksia, I've compiled three fundamental factors you should further research:
Future Outlook: What are well-informed industry analysts predicting for MANAKSIA’s future growth? Take a look at our free research report of analyst consensus for MANAKSIA’s outlook.
Historical Performance: What has MANAKSIA'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 MANAKSIA? 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.
