(VIANEWS) – Cadence Design Systems (CDNS), Nelnet (NNI), Eltek Ltd. (ELTK) are the highest sales growth and return on equity stocks on this list.
Here is a list of stocks with an above 5% expected next quarter sales growth, and a 3% or higher return on equity. May these stocks be a good medium-term investment option?
1. Cadence Design Systems (CDNS)
16.7% sales growth and 32.17% return on equity
Cadence Design Systems, Inc. provides software, hardware, services, and reusable integrated circuit (IC) design blocks worldwide. The company offers functional verification services, including emulation and prototyping hardware. Its functional verification offering consists of JasperGold, a formal verification platform; Xcelium, a parallel logic simulation platform; Palladium, an enterprise emulation platform; and Protium, a prototyping platform for chip verification. The company also provides digital IC design and sign off products, including Genus synthesis and Joules RTL power solutions, as well as Modus DFT software solution to reduce systems-on-chip design-for-test time; physical implementation tools, such as place and route, optimization, and multiple patterning preparation; and Innovus implementation system, a physical implementation system. In addition, it offers custom IC design and simulation products to create schematic and physical representations of circuits down to the transistor level for analog, mixed-signal, custom digital, memory, and radio frequency designs; and system design and analysis products to develop printed circuit boards and IC packages, as well as to analyze electromagnetic, electro-thermal, and other multi-physics effects. Further, the company provides intellectual property (IP) products comprising pre-verified and customizable functional blocks to integrate into customer's ICs; and verification IP with memory models to emulate and model the expected behavior and interaction of standard industry system interface protocols. Additionally, it offers services related to methodology, education, and hosted design solutions, as well as technical support and maintenance services. The company serves consumer, hyperscale computing, 5G communications, mobile, automotive, aerospace and defense, industrial, and life science industries. Cadence Design Systems, Inc. was incorporated in 1987 and is headquartered in San Jose, California.
Earnings Per Share
As for profitability, Cadence Design Systems has a trailing twelve months EPS of $3.81.
PE Ratio
Cadence Design Systems has a trailing twelve months price to earnings ratio of 80.28. Meaning, the purchaser of the share is investing $80.28 for every dollar of annual earnings.
The company’s return on equity, which measures the profitability of a business relative to shareholder’s equity, for the twelve trailing months is 32.17%.
Yearly Top and Bottom Value
Cadence Design Systems’s stock is valued at $305.85 at 16:22 EST, under its 52-week high of $328.99 and way higher than its 52-week low of $217.77.
Sales Growth
Cadence Design Systems’s sales growth is 6.9% for the present quarter and 16.7% for the next.
Revenue Growth
Year-on-year quarterly revenue growth declined by 1.2%, now sitting on 4.08B for the twelve trailing months.
Previous days news about Cadence Design Systems(CDNS)
- According to Zacks on Monday, 24 June, "Its recently launched next-generation GDDR7 graphics memory, which features the highest bit density in the industry, is being tested by Advanced Micro Devices (AMD Quick QuoteAMD – Free Report) and Cadence Design Systems (CDNS Quick QuoteCDNS – Free Report) ."
2. Nelnet (NNI)
10.5% sales growth and 3.16% return on equity
Nelnet, Inc. engages in loan servicing, communications, education technology, services, and payment processing businesses worldwide. Its Loan Servicing and Systems segment provides loan conversion, application processing, borrower updates, customer service, payment processing, due diligence procedures, funds management reconciliation, and claim processing services. This segment also offers student loan servicing software; business process outsourcing services specialized in contact center management, such as inbound calls, outreach campaigns and sales, and interacting with customers through multi-channels. The company's Education Technology, Services, and Payment Processing segment provides financial management services; school information system software; website design and cost effective admissions software; FACTS Giving, a donation platform; and customized professional development and coaching services, educational instruction services, and technology products that aid in teacher and student evaluations. It also offers tuition payment plans, and service and technology for student billings, payments, and refunds; solutions for in-person, online, and mobile payment experiences on campus; payment processing services, such as credit card and electronic transfer; faith community, giving, and learning management services and technologies; and an integrated commerce payment platform, financial management, and tuition payment plan services, as well as a school management platform that provides administrative, information and financial management, and communication functions for K-12 schools. Its Communications segment provides fiber optic service to homes and businesses for internet, television, and telephone services. The Company's Asset Generation and Management segment acquires, manages, and owns loan assets. Its Nelnet Bank segment operates as an internet industrial bank. The company was founded in 1978 and is headquartered in Lincoln, Nebraska.
Earnings Per Share
As for profitability, Nelnet has a trailing twelve months EPS of $3.71.
PE Ratio
Nelnet has a trailing twelve months price to earnings ratio of 26.36. Meaning, the purchaser of the share is investing $26.36 for every dollar of annual earnings.
The company’s return on equity, which measures the profitability of a business relative to shareholder’s equity, for the twelve trailing months is 3.16%.
Dividend Yield
As maintained by Morningstar, Inc., the next dividend payment is on May 31, 2024, the estimated forward annual dividend rate is 1.12 and the estimated forward annual dividend yield is 1.15%.
Revenue Growth
Year-on-year quarterly revenue growth grew by 25.8%, now sitting on 1.25B for the twelve trailing months.
Moving Average
Nelnet’s worth is below its 50-day moving average of $99.72 and higher than its 200-day moving average of $90.90.
3. Eltek Ltd. (ELTK)
9.6% sales growth and 21.83% return on equity
Eltek Ltd. manufactures, markets, and sells printed circuit boards (PCBs) in Israel, Europe, North America, India, the Netherlands, and internationally. The company offers a range of custom designed PCBs, including rigid, double-sided, and multi-layer PCBs, and flexible circuitry boards. It also offers high density interconnect, flex-rigid, and multi-layered boards. It primarily serves manufacturers of defense and aerospace, medical, industrial, telecom, and networking equipment, as well as contract electronic manufacturers and others. The company markets and sells its products primarily through direct sales personnel, sales representatives, and PCB trading and manufacturing companies. Eltek Ltd. was incorporated in 1970 and is headquartered in Petach Tikva, Israel. Eltek Ltd. is a subsidiary of Nistec Golan Ltd.
Earnings Per Share
As for profitability, Eltek Ltd. has a trailing twelve months EPS of $1.07.
PE Ratio
Eltek Ltd. has a trailing twelve months price to earnings ratio of 9.32. Meaning, the purchaser of the share is investing $9.32 for every dollar of annual earnings.
The company’s return on equity, which measures the profitability of a business relative to shareholder’s equity, for the twelve trailing months is 21.83%.
4. Federal Signal Corporation (FSS)
9.1% sales growth and 18.85% return on equity
Federal Signal Corporation, together with its subsidiaries, designs, manufactures, and supplies a suite of products and integrated solutions for municipal, governmental, industrial, and commercial customers in the United States, Canada, Europe, and internationally. It operates through Environmental Solutions Group, and Safety and Security Systems Group. The Environmental Solutions Group segment offers a range of street sweepers, safe-digging trucks ,sewer cleaners, industrial vacuum loaders, vacuum, and hydro-excavation trucks; road-marking, line-removal and waterblasting equipment, dump truck bodies, trailers, and metal extraction support equipment under the Elgin, Vactor, Guzzler, TRUVAC, Westech, Jetstream, Mark Rite Lines, Ox Bodies, Crysteel, J-Craft, Duraclass, Rugby, Travis, OSW, NTE, WTB, Ground Force, Bucks, and Switch-N-Go brand names. It also offers refuse and recycling collection vehicles, camera systems, ice resurfacing equipment, and snow-removal equipment, as well as safety, and security systems. In addition, this segment engages in the sale of parts, service and repair, equipment rental, and training activities. The Safety and Security Systems Group segment provides systems and products for community alerting, emergency vehicles, first responder interoperable communications, and industrial communications. Its products include vehicle lightbars and sirens, industrial signaling equipment, public warning systems, general alarm systems, and public address systems. This segment sells its products under the Federal Signal, Federal Signal VAMA, and Victor brand names. The company sells its products through wholesaler, distributor, independent manufacturer representative, original equipment manufacturer, and direct sales force, as well as independent foreign distributor. Federal Signal Corporation was founded in 1901 and is headquartered in Oak Brook, Illinois.
Earnings Per Share
As for profitability, Federal Signal Corporation has a trailing twelve months EPS of $2.95.
PE Ratio
Federal Signal Corporation has a trailing twelve months price to earnings ratio of 28.41. Meaning, the purchaser of the share is investing $28.41 for every dollar of annual earnings.
The company’s return on equity, which measures the profitability of a business relative to shareholder’s equity, for the twelve trailing months is 18.85%.
Growth Estimates Quarters
The company’s growth estimates for the ongoing quarter and the next is 25.4% and 12.7%, respectively.
Dividend Yield
As claimed by Morningstar, Inc., the next dividend payment is on May 16, 2024, the estimated forward annual dividend rate is 0.48 and the estimated forward annual dividend yield is 0.57%.
Moving Average
Federal Signal Corporation’s worth is below its 50-day moving average of $85.09 and way above its 200-day moving average of $74.35.
5. Main Street Capital Corporation (MAIN)
7.4% sales growth and 19.45% return on equity
Main Street Capital Corporation is a principal investment firm that primarily provides equity capital to lower middle market companies and debt capital to middle market companies. Main Street's portfolio investments are typically made to support management buyouts, recapitalizations, growth financings, refinancings and acquisitions of companies that operate in diverse industry sectors. Main Street seeks to partner with entrepreneurs, business owners and management teams and generally provides "one stop" financing alternatives within its lower middle market portfolio. Main Street's lower middle market companies generally have annual revenues between $10 million and $150 million. Main Street's middle market debt investments are made in businesses that are generally larger in size than its lower middle market portfolio companies.
Earnings Per Share
As for profitability, Main Street Capital Corporation has a trailing twelve months EPS of $5.49.
PE Ratio
Main Street Capital Corporation has a trailing twelve months price to earnings ratio of 8.99. Meaning, the purchaser of the share is investing $8.99 for every dollar of annual earnings.
The company’s return on equity, which measures the profitability of a business relative to shareholder’s equity, for the twelve trailing months is 19.45%.
