Seven U.S. cash cows with strong balance sheets
The article identifies seven U.S. companies with strong balance sheets and exceptional free cash flow. These companies are less reliant on external financing, making them more resilient in volatile markets. Palantir Technologies and Arista Networks are highlighted as top performers in this category.
- ▪The S&P 500 Index has gained 9.2 percent year to date, but risks remain from geopolitical conflicts and rising bond yields.
- ▪Palantir Technologies ranked first with a free cash flow margin of 51.5 percent and a conversion rate of 114.4 percent.
- ▪Arista Networks ranked second with a free cash flow margin of 54.4 percent and zero debt against $12.4 billion in cash.
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ShareSave for laterPlease log in to bookmark this story.Log InCreate Free AccountWhat are we looking for?U.S. companies that generate exceptional free cash flow and that maintain strong balance sheets.The screenThe S&P 500 Index has gained 9.2 per cent year to date, fuelled by a sharp rally since late March. Risks, however, remain elevated from the conflict in Iran and rising U.S. Treasury bond yields. Companies that generate substantial free cash flow and carry little to no debt tend to offer greater downside protection in volatile markets, as their operations are self-funding and less dependent on external financing.This screen prioritizes two cash flow metrics alongside traditional filters.
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Excerpt limited to ~120 words for fair-use compliance. The full article is at The Globe and Mail.