These Factors Make FDM Group (Holdings) PLC (LON:FDM) A Great Investment

I’ve been keeping an eye on FDM Group (Holdings) PLC (LON:FDM) because I’m attracted to its fundamentals. Looking at the company as a whole, as a potential stock investment, I believe FDM has a lot to offer. Basically, it is a company with great financial health as well as a a great 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 FDM Group (Holdings) here.

Flawless balance sheet with outstanding track record

Over the past year, FDM has grown its earnings by 22.27%, 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 49.72%. which is an optimistic signal for the future. FDM is financially robust, with ample cash on hand and short-term investments to meet upcoming liabilities. This suggests prudent control over cash and cost by management, which is a crucial insight into the health of the company. Looking at FDM’s capital structure, the company has no debt on its balance sheet. It has only utilized funding from its equity capital to run the business, which is typically normal for a small-cap company. Therefore the company has plenty of headroom to grow, and the ability to raise debt should it need to in the future.

LSE:FDM Income Statement June 22nd 18

Next Steps:

For FDM Group (Holdings), I’ve compiled three important aspects you should look at:

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

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

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