Maxim Integrated Products, Inc. (NASDAQ:MXIM) is a stock with outstanding fundamental characteristics. When we build an investment case, we need to look at the stock with a holistic perspective. In the case of MXIM, it is a financially-sound , dividend-paying company with an impressive history of performance. Below, I've touched on some key aspects you should know on a high level. If you're interested in understanding beyond my broad commentary, take a look at the report on Maxim Integrated Products here.
Outstanding track record established dividend payer
Over the past year, MXIM has grown its earnings by 77%, with its most recent figure exceeding its annual average over the past five years. This strong performance generated a robust double-digit return on equity of 45%, which is an notable feat for the company. MXIM's ability to maintain an adequate level of cash to meet upcoming liabilities is a good sign for its financial health. This suggests prudent control over cash and cost by management, which is an important determinant of the company’s health. MXIM appears to have made good use of debt, producing operating cash levels of 0.88x total debt in the prior year. This is a strong indication that debt is reasonably met with cash generated.
MXIM is also a dividend company, with ample net income to cover its dividend payout, which has been consistently growing over the past decade, keeping income investors happy.
For Maxim Integrated Products, I've compiled three important factors you should further research:
- Future Outlook: What are well-informed industry analysts predicting for MXIM’s future growth? Take a look at our free research report of analyst consensus for MXIM’s outlook.
- Valuation: What is MXIM worth today? Is the stock undervalued, even when its growth outlook is factored into its intrinsic value? The intrinsic value infographic in our free research report helps visualize whether MXIM is currently mispriced by the market.
- Other Attractive Alternatives : Are there other well-rounded stocks you could be holding instead of MXIM? Explore our interactive list of stocks with large potential to get an idea of what else is out there you may be missing!
We aim to bring you long-term focused research analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material.
If you spot an error that warrants correction, please contact the editor at firstname.lastname@example.org. This article by Simply Wall St is general in nature. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. Simply Wall St has no position in the stocks mentioned. Thank you for reading.