IG Group Holdings plc (LON:IGG) 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 IGG, it is a financially-robust , dividend-paying company with a a great history of performance. Below, I’ve touched on some key aspects you should know on a high level. If you’re interested in understanding beyond my broad commentary, take a look at the report on IG Group Holdings here.

Flawless balance sheet 6 star dividend payer

In the previous year, IGG has ramped up its bottom line by 34%, with its latest earnings level surpassing its average level over the last five years. The strong earnings growth is reflected in impressive double-digit 27% return to shareholders, which is an optimistic signal for the future. IGG’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 IGG has sufficient cash flows and proper cash management in place, which is a crucial insight into the health of the company. Investors should not worry about IGG’s debt levels because the company has none! It has only utilized funding from its equity capital to run the business, which is rather impressive for a UK£2.2b market cap company. Therefore the company has plenty of headroom to grow, and the ability to raise debt should it need to in the future.

IGG’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 6.9%.

Next Steps:

For IG Group Holdings, there are three pertinent factors you should look at:

1. Future Outlook: What are well-informed industry analysts predicting for IGG’s future growth? Take a look at our free research report of analyst consensus for IGG’s outlook.

2. Valuation: What is IGG 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 IGG is currently mispriced by the market.

3. Other Attractive Alternatives : Are there other well-rounded stocks you could be holding instead of IGG? 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.