3 Top-Rated Cash Kings (LLTC, PM, WU)
4:48 pm in Stocks by Jawahar Buddhavarapu
Stocktrader’s Note:
Companies generating great cashflow are a great investment. It means they are managing their business well, and capacity to grow their business. Use technical analysis to decide on an entry point.
LLTC, PM, and WU have been enjoying great cashflow.
From Fool.com:
Welcome back to the world of the Cash Kings, where we highlight businesses that generate a healthy dose of free cash flow. Why is cash flow so important? Because it gives management the opportunity to boost shareholder value through actions like:
Paying dynasty-building dividends,
Buying back shares at attractive prices, and
Growing business organically without having to borrow money or sell shares.
A Fool.com’s guide to free cash
Investing, after all, is about putting money up front today in order to get more of it in return tomorrow. Here at the Fool, we’re firm believers that free cash flow, as opposed to traditional accounting earnings, is the best gauge of a firm’s health and profitability (or lack thereof).
So, with these cash flow lessons deeply engrained in your Foolish subconscious — or maybe just bookmarked as a “favorites” page — I’ll highlight three more cash-flow rulers of our Motley Fool CAPS kingdom.