Why Abertis Infraestructuras SA. (BME:ABE) Is Truly A Standout Investment

Abertis Infraestructuras SA. (BME:ABE) 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 ABE, it is a well-regarded dividend payer with a an impressive history of performance, trading at a discount. Below is a brief commentary on these key aspects. If you’re interested in understanding beyond my high-level commentary, read the full report on Abertis Infraestructuras here.

Solid track record, good value and pays a dividend

In the previous year, ABE has ramped up its bottom line by 64.52%, with its latest earnings level surpassing its average level over the last five years. This illustrates a strong track record, leading to a satisfying return on equity of 21.10%. which paints a buoyant picture for the company. ABE’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 ABE’s projected earnings trajectory does follow analyst consensus growth, which determines my intrinsic value of the company. Compared to the rest of the infrastructure industry, ABE is also trading below its peers, relative to earnings generated. This bolsters the proposition that ABE’s price is currently discounted.

BME:ABE Income Statement Jun 19th 18

ABE is also a dividend company, with ample net income to cover its dividend payout, which has been consistently growing over the past decade, keeping income investors happy.

BME:ABE Historical Dividend Yield Jun 19th 18

Next Steps:

For Abertis Infraestructuras, I’ve compiled three pertinent factors you should look at:

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

2. Financial Health: Is ABE’s operations financially sustainable? Balance sheets can be hard to analyze, which is why we’ve done it for you. Check out our financial health checks here.

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