Why W. R. Grace & Co. (NYSE:GRA) Is An Attractive Investment To Consider

I've been keeping an eye on W. R. Grace & Co. (NYSE:GRA) because I'm attracted to its fundamentals. Looking at the company as a whole, as a potential stock investment, I believe GRA has a lot to offer. Basically, it has a a strong track record of performance as well as an optimistic future outlook going forward. Below is a brief commentary on these key aspects. For those interested in digging a bit deeper into my commentary, take a look at the report on W. R. Grace here.

Proven track record with reasonable growth potential

GRA is an attractive stock for growth-seeking investors, with an expected earnings growth of 24% in the upcoming year underlying the notable 62% return on equity over the next few years leading up to 2022. GRA delivered a triple-digit bottom-line expansion over the past couple of years, with its most recent earnings level surpassing its average level over the last five years. Not only did GRA outperformed its past performance, its growth also surpassed the Chemicals industry expansion, which generated a -2.4% earnings growth. This paints a buoyant picture for the company.

NYSE:GRA Past and Future Earnings, September 16th 2019
NYSE:GRA Past and Future Earnings, September 16th 2019

Next Steps:

For W. R. Grace, I've put together three essential factors you should further research:

  1. Financial Health: Does it have a healthy balance sheet? Take a look at our free balance sheet analysis with six simple checks on key factors like leverage and risk.

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

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

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