Stock picks to buy: 17 cash-rich companies built for coronavirus recession - Business Insider

  • 📰 BusinessInsider
  • ⏱ Reading Time:
  • 59 sec. here
  • 2 min. at publisher
  • 📊 Quality Score:
  • News: 27%
  • Publisher: 51%

日本 ニュース ニュース

日本 最新ニュース,日本 見出し

'If you're going to dip a toe, start here': Citi says these 17 cash-rich stocks are perfect for traders seeking cheap opportunities in a coronavirus-hit market

But just because equities have been pulverized doesn't mean you should just scoop up issues indiscriminately. , thinks he knows exactly where to start the search — and he's putting a strong emphasis on quality, value, and leverage.

"As explained by Citi's Global Strategy team, companies with high FCF [free cash flow] typically have higher margins and lower capex, thereby maximizing profitability," he penned in a recent note to clients. "If you're going to dip a toe, start here." To Jullier, companies with high free cash flow have a leg up on the competition. The optionality that comes hand-in-hand with robust cash flows makes these firms especially enticing during times of turmoil. They can deploy their capital in a multitude of ways.

But Jullier's analysis doesn't stop there. In total, he studies a confluence of four metrics to arrive at his recommendations."Screen for companies with a pre-tax FCF/EV yield of greater than UST+300bps. This filters for companies that have been able to maximize profitability.""Companies that rank in the bottom 60th percentile in terms of leverage, as measured by net debt/EBITDA, total debt/EV, and quick ratio.

With all of that under consideration, here are 17 stocks identified by Citi as having exceptional high pre-tax free cash flow yield. They're listed in increasing order.

このニュースをすぐに読めるように要約しました。ニュースに興味がある場合は、ここで全文を読むことができます。 続きを読む:

 /  🏆 729. in JP
 

コメントありがとうございます。コメントは審査後に公開されます。

日本 最新ニュース, 日本 見出し

Similar News:他のニュース ソースから収集した、これに似たニュース記事を読むこともできます。

17 DevOps startups that will thrive in 2020, according to VCs - Business InsiderDevOps startups that help developers be more productive will fare well in an economic downturn, VCs say. Here are 17 they think will thrive in 2020.
ソース: BusinessInsider - 🏆 729. / 51 続きを読む »

Stock picks to buy as recession hits, 15 cheap cash-rich companies: GS - Business InsiderThe companies with the best balance sheets look cheap after a full decade out of the limelight, says David Kostin of Goldman Sachs.
ソース: BusinessInsider - 🏆 729. / 51 続きを読む »