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Strix Group Plc (LON:KETL): A Fundamentally Attractive Investment

Building up an investment case requires looking at a stock holistically. Today I’ve chosen to put the spotlight on Strix Group Plc (LON:KETL) due to its excellent fundamentals in more than one area. KETL is a notable dividend payer that has been a rockstar for income investors, currently trading at an attractive share price. Below is a brief commentary on these key aspects. If you’re interested in understanding beyond my high-level commentary, take a look at the report on Strix Group here.

Good value average dividend payer

KETL’s share price is trading at below its true value, meaning that the market sentiment for the stock is currently bearish. Investors have the opportunity to buy into the stock to reap capital gains, if KETL’s projected earnings trajectory does follow analyst consensus growth, which determines my intrinsic value of the company. Also, relative to the rest of its peers with similar levels of earnings, KETL’s share price is trading below the group’s average. This supports the theory that KETL is potentially underpriced.

AIM:KETL Intrinsic Value Export November 21st 18
AIM:KETL Intrinsic Value Export November 21st 18

KETL is considered one of the top dividend payers in the market, and it has also been able to maintain it at a level in which net income is able to cover dividend payments.

AIM:KETL Historical Dividend Yield November 21st 18
AIM:KETL Historical Dividend Yield November 21st 18

Next Steps:

For Strix Group, I’ve compiled three fundamental factors you should further examine:

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

  2. Historical Performance: What has KETL’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.

  3. Other Attractive Alternatives : Are there other well-rounded stocks you could be holding instead of KETL? 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 past 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. For errors that warrant correction please contact the editor at editorial-team@simplywallst.com.