Advertisement
UK markets closed
  • FTSE 100

    8,146.86
    -16.81 (-0.21%)
     
  • FTSE 250

    20,120.36
    -75.59 (-0.37%)
     
  • AIM

    776.04
    -4.39 (-0.56%)
     
  • GBP/EUR

    1.1845
    -0.0034 (-0.29%)
     
  • GBP/USD

    1.2686
    -0.0074 (-0.58%)
     
  • Bitcoin GBP

    52,632.13
    +262.97 (+0.50%)
     
  • CMC Crypto 200

    1,383.19
    -34.68 (-2.45%)
     
  • S&P 500

    5,431.60
    -2.14 (-0.04%)
     
  • DOW

    38,589.16
    -57.94 (-0.15%)
     
  • CRUDE OIL

    78.49
    -0.13 (-0.17%)
     
  • GOLD FUTURES

    2,348.40
    +30.40 (+1.31%)
     
  • NIKKEI 225

    38,814.56
    +94.09 (+0.24%)
     
  • HANG SENG

    17,941.78
    -170.85 (-0.94%)
     
  • DAX

    18,002.02
    -263.66 (-1.44%)
     
  • CAC 40

    7,503.27
    -204.75 (-2.66%)
     

Zacks.com featured highlights include Adtalem Global, HNI, Diebold and GigaCloud

For Immediate Release

Chicago, IL – May 23, 2024 – Stocks in this week’s article are Adtalem Global Education Inc. ATGE, HNI Corp. HNI, Diebold Nixdorf, Inc. DBD and GigaCloud Technology Inc. GCT.

Solid Cash Flow Growth Makes These 4 Stocks Worth Buying Now

Cash is the lifeblood of any business. It offers strength, vitality and flexibility to make investment decisions, as well as the fuel to run its growth engine. Moreover, cash shields a company from market turmoil and indicates that profits are being channelized in the right direction.

In this regard, stocks like Adtalem Global Education Inc., HNI Corp. , Diebold Nixdorf, Inc. and GigaCloud Technology Inc. are worth buying.

ADVERTISEMENT

In fact, one must go beyond profit numbers and look at a company’s efficiency in generating cash flows to invest in the right stocks. This is because even a profit-making company can face a dearth of cash flow and fail to meet its obligations. However, a company’s resiliency can be fairly judged when its efficacy in generating cash flows is assessed.

Moreover, amid uncertainties in the global economy, market disruptions and dislocations, as well as liquidity concerns resulting from geopolitical tensions, analyzing a company’s cash-generating efficiency holds more relevance in the current context.

To figure out this efficiency, one needs to consider a company’s net cash flow. While in any business, cash moves in and out, it is net cash flow that explains how much money a company is actually generating.

If a company is experiencing a positive cash flow, it denotes an increase in its liquid assets, which gives it the means to meet debt obligations, shell out for expenses, reinvest in the business, endure downturns and finally return wealth to shareholders. On the other hand, a negative cash flow indicates a decline in the company’s liquidity, which in turn lowers its flexibility to support these moves.

However, having a positive cash flow merely does not secure a company’s future growth. To ride on the growth curve, a company must have its cash flow increasing because that indicates management’s efficiency in regulating its cash movements and less dependency on outside financing for running its business.

Therefore, keep yourself abreast with the following screen to bet on stocks with rising cash flows.

Here are our four picks out of the eight stocks that qualified the screening:

Adtalem Global Education, based in Chicago, IL, is a leading healthcare education provider and workforce solutions innovator. The institutions of the company offer a wide array of programs across medical and healthcare services.

The Zacks Consensus Estimate for Adtalem Global’s fiscal 2024 sales and EPS suggests growth of 8.3% and 16.4%, respectively, from the year-ago period. ATGE has a VGM Score of A.

HNI Corp. provides products and solutions for home and workplace environments. HNI, headquartered in Muscatine, IA, is a leading global provider and designer of office furniture, and the leading manufacturer and marketer of hearth products.

The Zacks Consensus Estimate for HNI Corp.’s 2024 earnings per share has been revised 5.8% upward to $3.10 in the past month. HNI has a VGM Score of A.

Diebold Nixdorf, based in North Canton, OH, is engaged in automating, digitizing and transforming the way people bank and shop worldwide. DBD operates through two segments — Banking and Retail.

Diebold Nixdorf’s 2024 earnings estimates have jumped 47% upward over the past month. DBD has a VGM Score of A.

GigaCloud, headquartered in El Monte, CA, is a pioneer of global end-to-end B2B e-commerce solutions for large parcel merchandise. Its platform integrates various aspects of e-commerce, including product discovery, payment processing and logistics, to streamline the buying and selling process for large items.

The Zacks Consensus Estimate for GCT’s 2024 earnings per share has moved up 9.1% over the past week to $3.25. GigaCloud has a VGM Score of A.

Get the rest of the stocks on the list and start putting this and other ideas to the test. It can all be done with the Research Wizard stock picking and back-testing software.

The Research Wizard is a great place to begin. It's easy to use. Everything is in plain language. And it's very intuitive. Start your Research Wizard trial today. And the next time you read an economic report, open up the Research Wizard, plug your finds in, and see what gems come out.

Click here to sign up for a free trial to the Research Wizard today.

For the rest of this Screen of the Week article please visit Zacks.com at: https://www.zacks.com/stock/news/2277133/solid-cash-flow-growth-makes-these-4-stocks-worth-buying-now

Join us on Facebook:  https://www.facebook.com/ZacksInvestmentResearch

Zacks Investment Research is under common control with affiliated entities (including a broker-dealer and an investment adviser), which may engage in transactions involving the foregoing securities for the clients of such affiliates.

Contact: Jim Giaquinto

Company: Zacks.com

Phone: 312-265-9268

Email: pr@zacks.com

Visit: https://www.zacks.com/

Zacks.com provides investment resources and informs you of these resources, which you may choose to use in making your own investment decisions. Zacks is providing information on this resource to you subject to the Zacks "Terms and Conditions of Service" disclaimer. www.zacks.com/disclaimer.

Past performance is no guarantee of future results. Inherent in any investment is the potential for loss. This material is being provided for informational purposes only and nothing herein constitutes investment, legal, accounting or tax advice, or a recommendation to buy, sell or hold a security. No recommendation or advice is being given as to whether any investment is suitable for a particular investor. It should not be assumed that any investments in securities, companies, sectors or markets identified and described were or will be profitable. All information is current as of the date of herein and is subject to change without notice. Any views or opinions expressed may not reflect those of the firm as a whole. Zacks Investment Research does not engage in investment banking, market making or asset management activities of any securities. These returns are from hypothetical portfolios consisting of stocks with Zacks Rank = 1 that were rebalanced monthly with zero transaction costs. These are not the returns of actual portfolios of stocks. The S&P 500 is an unmanaged index. Visit https://www.zacks.com/performance for information about the performance numbers displayed in this press release.

Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report

Diebold Nixdorf, Incorporated (DBD) : Free Stock Analysis Report

HNI Corporation (HNI) : Free Stock Analysis Report

Adtalem Global Education Inc. (ATGE) : Free Stock Analysis Report

GigaCloud Technology Inc. (GCT) : Free Stock Analysis Report

To read this article on Zacks.com click here.

Zacks Investment Research