A Robust Business Model Translates into Strong Financials - Chart Of The Day 8 August 2018 - Equitymaster

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A Robust Business Model Translates into Strong Financials
Aug 8, 2018

As I mentioned earlier, the company boasts of sound financials. This includes high profitability (RoE consistently above 20%), a debt-free balance sheet, and consistently positive free cash flow. Going forward, I believe it will remain just as strong as it is today.

You can see why in today's chart.

Net sales and net profit grew at 15% and 13% annually in the last decade. Free cash flow grew at 22% annually. The strong cash flow generation gives us greater confidence in the business.

Such a strong financial position provides the company with a lot of flexibility to expand its operations.

It's not surprising that such a stock is part of Tanushree's Permanent Wealth Blueprint.

Just click here to access the Permanent Wealth Blueprint.

Data Source: Ace Equity

This Chart Of The Day was published in The 5 Minute WrapUp - This is a Must-Have Stock for Your Portfolio

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