In This Article:
Mastek Limited (NSE:MASTEK) 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 MASTEK, it is a company with great financial health as well as a a strong track record of performance. Below, I've touched on some key aspects you should know on a high level. For those interested in digging a bit deeper into my commentary, read the full report on Mastek here.
Solid track record with excellent balance sheet
In the previous year, MASTEK has ramped up its bottom line by 33%, with its latest earnings level surpassing its average level over the last five years. Not only did MASTEK outperformed its past performance, its growth also exceeded the IT industry expansion, which generated a 21% earnings growth. This is what investors like to see! MASTEK is financially robust, with ample cash on hand and short-term investments to meet upcoming liabilities. This indicates that MASTEK has sufficient cash flows and proper cash management in place, which is a key determinant of the company’s health. MASTEK seems to have put its debt to good use, generating operating cash levels of 1.08x 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 Mastek, I've compiled three important factors you should further research:
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Future Outlook: What are well-informed industry analysts predicting for MASTEK’s future growth? Take a look at our free research report of analyst consensus for MASTEK’s outlook.
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Valuation: What is MASTEK 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 MASTEK is currently mispriced by the market.
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Other Attractive Alternatives : Are there other well-rounded stocks you could be holding instead of MASTEK? 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.