We Ran A Stock Scan For Earnings Growth And Assured Guaranty (NYSE:AGO) Passed With Ease
We Ran A Stock Scan For Earnings Growth And Assured Guaranty (NYSE:AGO) Passed With Ease
The excitement of investing in a company that can reverse its fortunes is a big draw for some speculators, so even companies that have no revenue, no profit, and a record of falling short, can manage to find investors. But as Peter Lynch said in One Up On Wall Street, 'Long shots almost never pay off.' Loss making companies can act like a sponge for capital - so investors should be cautious that they're not throwing good money after bad.
Despite being in the age of tech-stock blue-sky investing, many investors still adopt a more traditional strategy; buying shares in profitable companies like Assured Guaranty (NYSE:AGO). While this doesn't necessarily speak to whether it's undervalued, the profitability of the business is enough to warrant some appreciation - especially if its growing.
Assured Guaranty's Earnings Per Share Are Growing
If you believe that markets are even vaguely efficient, then over the long term you'd expect a company's share price to follow its earnings per share (EPS) outcomes. Therefore, there are plenty of investors who like to buy shares in companies that are growing EPS. Assured Guaranty's shareholders have have plenty to be happy about as their annual EPS growth for the last 3 years was 46%. Growth that fast may well be fleeting, but it should be more than enough to pique the interest of the wary stock pickers.
Careful consideration of revenue growth and earnings before interest and taxation (EBIT) margins can help inform a view on the sustainability of the recent profit growth. It's noted that Assured Guaranty's revenue from operations was lower than its revenue in the last twelve months, so that could distort our analysis of its margins. On the one hand, Assured Guaranty's EBIT margins fell over the last year, but on the other hand, revenue grew. If EBIT margins are able to stay balanced and this revenue growth continues, then we should see brighter days ahead.
You can take a look at the company's revenue and earnings growth trend, in the chart below. Click on the chart to see the exact numbers.
NYSE:AGO Earnings and Revenue History April 16th 2024
In investing, as in life, the future matters more than the past. So why not check out this free interactive visualization of Assured Guaranty's forecast profits?
Are Assured Guaranty Insiders Aligned With All Shareholders?
It's a necessity that company leaders act in the best interest of shareholders and so insider investment always comes as a reassurance to the market. Assured Guaranty followers will find comfort in knowing that insiders have a significant amount of capital that aligns their best interests with the wider shareholder group. We note that their impressive stake in the company is worth US$236m. Investors will appreciate management having this amount of skin in the game as it shows their commitment to the company's future.
Is Assured Guaranty Worth Keeping An Eye On?
Assured Guaranty's earnings per share growth have been climbing higher at an appreciable rate. That sort of growth is nothing short of eye-catching, and the large investment held by insiders should certainly brighten the view of the company. The hope is, of course, that the strong growth marks a fundamental improvement in the business economics. Based on the sum of its parts, we definitely think its worth watching Assured Guaranty very closely. You should always think about risks though. Case in point, we've spotted 3 warning signs for Assured Guaranty you should be aware of, and 1 of them shouldn't be ignored.
While opting for stocks without growing earnings and absent insider buying can yield results, for investors valuing these key metrics, here is a carefully selected list of companies in the US with promising growth potential and insider confidence.
Please note the insider transactions discussed in this article refer to reportable transactions in the relevant jurisdiction.
Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team (at) simplywallst.com.
This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.
對一些投機者來說,投資一家能夠扭轉命運的公司是一件令人興奮的事,因此,即使是沒有收入、沒有利潤、有過虧損記錄的公司,也能設法找到投資者。 但是,正如彼得·林奇在 One Up On Wall Street 中所說的那樣,“遠射幾乎永遠不會得到回報。”虧損公司可以像資本海綿一樣行事,因此投資者應謹慎行事,不要浪費好錢。
儘管處於科技股藍天投資時代,但許多投資者仍然採用更傳統的策略:購買Assured Guaranty(紐約證券交易所代碼:AGO)等盈利公司的股票。儘管這並不一定說明其估值是否被低估,但該業務的盈利能力足以保證一定的升值——尤其是在其增長的情況下。
Assured Guaranty的每股收益正在增長
如果你認爲市場的效率甚至含糊不清,那麼從長遠來看,你預計公司的股價將遵循其每股收益(EPS)的結果。因此,有很多投資者喜歡購買每股收益不斷增長的公司的股票。Assured Guaranty的股東有很多值得高興的地方,因爲他們過去三年的每股收益增長了46%。如此之快的增長很可能轉瞬即逝,但應該足以激起謹慎的選股者的興趣。
仔細考慮收入增長和息稅前收益(EBIT)利潤率有助於爲近期利潤增長的可持續性提供信息。值得注意的是,Assured Guaranty的運營收入低於過去十二個月的收入,因此這可能會扭曲我們對其利潤率的分析。一方面,Assured Guaranty的息稅前利潤率在去年有所下降,但另一方面,收入有所增長。如果息稅前利潤率能夠保持平衡並且這種收入持續增長,那麼我們應該會看到更光明的未來。
您可以在下表中查看該公司的收入和收益增長趨勢。點擊圖表查看確切的數字。
紐約證券交易所:AGO 2024 年 4 月 16 日的收益和收入記錄
在投資中,就像在生活中一樣,未來比過去更重要。那麼,爲什麼不看看Assured Guaranty預測利潤的免費交互式可視化效果呢?
有保證的擔保內部人士是否與所有股東保持一致?
公司領導必須爲股東的最大利益行事,因此內部投資始終是市場的保證。放心,Guaranty的追隨者知道內部人士擁有大量資本,可以使他們的最大利益與更廣泛的股東群體保持一致,他們會感到安慰。我們注意到,他們在該公司的可觀股份價值2.36億美元。投資者會感謝管理層擁有如此數量的風險股份,因爲這表明了他們對公司未來的承諾。
有保障的擔保值得關注嗎?
Assured Guaranty的每股收益一直在以可觀的速度增長。這種增長簡直引人注目,內部人士持有的巨額投資肯定會照亮公司的視野。當然,希望強勁的增長標誌着商業經濟的根本改善。綜上所述,我們絕對認爲值得密切關注《Assured Guaranty》。但是,你應該時刻考慮風險。舉個例子,我們發現了你應該注意的 3 個 Assured Guaranty 警告信號,其中一個不容忽視。
雖然選擇收益不增長且沒有內幕買盤的股票可以產生業績,但對於估值這些關鍵指標的投資者來說,以下是精心挑選的具有良好增長潛力和內部信心的美國公司名單。
請注意,本文中討論的內幕交易是指相關司法管轄區內應報告的交易。
對這篇文章有反饋嗎?對內容感到擔憂嗎?請直接聯繫我們。或者,也可以發送電子郵件至編輯團隊 (at) simplywallst.com。
Simply Wall St的這篇文章本質上是籠統的。我們僅使用公正的方法根據歷史數據和分析師的預測提供評論,我們的文章無意作爲財務建議。它不構成買入或賣出任何股票的建議,也沒有考慮到您的目標或財務狀況。我們的目標是爲您提供由基本數據驅動的長期重點分析。請注意,我們的分析可能不考慮最新的價格敏感型公司公告或定性材料。簡而言之,華爾街沒有持有任何上述股票的頭寸。
譯文內容由第三人軟體翻譯。
風險及免責聲明
- 分享到weixin
- 分享到qq
- 分享到facebook
- 分享到twitter
- 分享到微博
- 粘贴板
使用瀏覽器的分享功能,分享給你的好友吧