In This Article:
Want to participate in a short research study? Help shape the future of investing tools and you could win a $250 gift card!
Kerry Properties Limited (HKG:683) 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 683, it is a financially-robust company with a a great history high-quality 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, take a look at the report on Kerry Properties here.
Excellent balance sheet established dividend payer
683'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 suggests prudent control over cash and cost by management, which is an important determinant of the company’s health. 683's has produced operating cash levels of 0.45x total debt over the past year, which implies that 683's management has put its borrowings into good use by generating enough cash to cover a sufficient portion of borrowings. 683 is currently trading below its true value, which means the market is undervaluing the company's expected cash flow going forward. Investors have the opportunity to buy into the stock to reap capital gains, if 683's projected earnings trajectory does follow analyst consensus growth, which determines my intrinsic value of the company. Compared to the rest of the real estate industry, 683 is also trading below its peers, relative to earnings generated. This bolsters the proposition that 683's price is currently discounted.
Income investors would also be happy to know that 683 is a great dividend company, with a current yield standing at 4.5%. 683 has also been regularly increasing its dividend payments to shareholders over the past decade.
Next Steps:
For Kerry Properties, I've put together three important aspects you should further examine:
-
Future Outlook: What are well-informed industry analysts predicting for 683’s future growth? Take a look at our free research report of analyst consensus for 683’s outlook.
-
Historical Performance: What has 683'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 683? 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.