Friday, July 6, 2012

6 Profitable Mid-Cap Stocks Armed With Strong Reserves


Company liquidity is an important consideration in any stock analysis.Having cash on hand gives a company the power to make large acquisitions if it sees investment opportunities, a buffer for future dips in demand, and most importantly, it keeps a company open for business. For mid-cap companies, cash on hand can lead to future growth. With this idea in mind, we focus today on mid-caps that have plenty of cash to make big plays, due to strong sources of profitability. Here are some interesting ideas that explain our screen.Return on Assets (ROA) illustrates how much a company is generating in earnings from its assets alone. This metric gives investors a picture of how profitable the company is relative to the assets in current possession. As well, it lets investors see how efficient and effective management is at generating earnings from the company's assets. While most management teams can probably
... Read the rest at SeekingAlpha.com

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