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Zacks.com featured highlights include: Peugeot, Synnex, Aviat Networks, Polymetal International and G4S

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For Immediate Release

Chicago, IL – October 9, 2020 – Stocks in this week’s article are Peugeot S.A. , SYNNEX Corporation (SNX - Free Report) , Aviat Networks, Inc. (AVNW - Free Report) , Polymetal International plc (AUCOY - Free Report) and G4S plc .

5 Stocks to Buy with Increasing Cash Flows Ahead of Q3 Earnings

Crunching profit numbers and evaluating surprises might be a popular method for scooping big gains in the third-quarter earnings season. However, looking beyond profit and assessing a company’s cash position, which reveals its true financial health, can be far more rewarding.

Even a profitable business can fail, if its cash flow is uneven, and eventually file for bankruptcy. However, a company can navigate any market mayhem and still be on its growth curve if it has sufficient cash flow. This is because cash gives a company the flexibility to make decisions, the means to make potential investments and the fuel to run its growth engine. It indeed holds the key for its existence, development and success.

Moreover, analyzing a company’s generating efficiency cash holds more relevance in the current context as the coronavirus pandemic is giving rise to uncertainties in the global economy, market disruptions and dislocations, and liquidity concerns.

To figure out this efficiency, one needs to consider a company’s net cash flow. While in any business cash moves in and out, it is net cash flow that explains how much money a company is actually generating.

If a company is experiencing a positive cash flow then it denotes an increase in its liquid assets, which gives it the means to meet debt obligations, shell out for expenses, reinvest in business, endure downturns and finally return wealth to shareholders. On the other hand, a negative cash flow indicates a decline in the company’s liquidity, which in turn lowers its flexibility to support these moves.

However, having a positive cash flow merely does not secure a company’s future growth. To ride on the growth curve, a company must have its cash flow increasing because that indicates management’s efficiency in regulating its cash movements and less dependency on outside financing for running its business.

Therefore, keep yourself abreast with the following screen to bet on stocks with rising cash flows.

For the rest of this Screen of the Week article please visit Zacks.com at: https://www.zacks.com/stock/news/1072896/5-stocks-to-buy-with-increasing-cash-flows-ahead-of-q3-earnings

Disclosure: Officers, directors and/or employees of Zacks Investment Research may own or have sold short securities and/or hold long and/or short positions in options that are mentioned in this material. An affiliated investment advisory firm may own or have sold short securities and/or hold long and/or short positions in options that are mentioned in this material.

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Strong Stocks that Should Be in the News

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Past performance is no guarantee of future results. Inherent in any investment is the potential for loss. This material is being provided for informational purposes only and nothing herein constitutes investment, legal, accounting or tax advice, or a recommendation to buy, sell or hold a security. No recommendation or advice is being given as to whether any investment is suitable for a particular investor. It should not be assumed that any investments in securities, companies, sectors or markets identified and described were or will be profitable. All information is current as of the date of herein and is subject to change without notice. Any views or opinions expressed may not reflect those of the firm as a whole. Zacks Investment Research does not engage in investment banking, market making or asset management activities of any securities. These returns are from hypothetical portfolios consisting of stocks with Zacks Rank = 1 that were rebalanced monthly with zero transaction costs. These are not the returns of actual portfolios of stocks. The S&P 500 is an unmanaged index. Visit https://www.zacks.com/performance for information about the performance numbers displayed in this press release.


In-Depth Zacks Research for the Tickers Above


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Aviat Networks, Inc. (AVNW) - free report >>

SYNNEX Corporation (SNX) - free report >>

Polymetal International PLC Sponsored ADR (AUCOY) - free report >>