Why Bhageria Industries Limited (NSE:BHAGIL) Is An Attractive Investment To Consider

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Bhageria Industries Limited (NSE:BHAGIL) 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 BHAGIL, it is a company with great financial health as well as a an impressive history of performance. Below is a brief commentary on these key aspects. For those interested in digger a bit deeper into my commentary, take a look at the report on Bhageria Industries here.

Flawless balance sheet with outstanding track record

Over the past year, BHAGIL has grown its earnings by 77%, with its most recent figure exceeding its annual average over the past five years. This illustrates a strong track record, leading to a satisfying return on equity of 21%. which is an notable feat for the company. BHAGIL'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 a key determinant of the company’s health. BHAGIL appears to have made good use of debt, producing operating cash levels of 1.68x total debt in the prior year. This is a strong indication that debt is reasonably met with cash generated.

NSEI:BHAGIL Income Statement, June 3rd 2019
NSEI:BHAGIL Income Statement, June 3rd 2019

Next Steps:

For Bhageria Industries, I've compiled three key aspects you should further examine:

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

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

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