Monday, May 14, 2012

3 Cash-Heavy Mid Cap Consumer Stocks With Disciplined Debt Ratios


Are you looking for mid-sized companies that still have room to grow? Interested in gaining exposure to consumer companies? Interested in companies with minimal debt? Interested in companies with minimal long term debt? Do you feel better knowing your favorite companies have enough cash to cover their operating expenses for a very long time? We ran a screen you might find helpful.The Debt/Equity Ratio illustrates how aggressively a company is financing its growth via debt. The more debt financing that is used in a capital structure, the more volatile earnings can become due to the additional interest expense. Should a company's potentially enhanced earnings fail to exceed the cost associated with debt financing over time, this can lead the company toward substantial trouble.The Long Term Debt/Equity Ratio is a variation of the traditional debt-to-equity ratio; this value computes the proportion of a company's long-term debt compared to its
... Read the rest at SeekingAlpha.com

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