Workflow
3 Reasons Why Growth Investors Shouldn't Overlook Alexander & Baldwin Holdings (ALEX)
ALEXAlexander & Baldwin(ALEX) ZACKS·2024-12-16 18:45

Core Viewpoint - Investors are increasingly seeking growth stocks that demonstrate above-average growth potential, with Alexander & Baldwin Holdings, Inc. identified as a strong candidate due to its favorable growth metrics and Zacks Rank [1][2]. Group 1: Earnings Growth - Earnings growth is a critical factor for investors, with double-digit growth being particularly attractive as it signals strong future prospects [5]. - Alexander & Baldwin Holdings has a historical EPS growth rate of 15.3%, with projected EPS growth of 15.1% this year, significantly outperforming the industry average of 1.2% [6]. Group 2: Cash Flow Growth - Higher-than-average cash flow growth is essential for growth-oriented companies, allowing them to expand without relying on external funding [7]. - The year-over-year cash flow growth for Alexander & Baldwin Holdings is currently 0.5%, compared to an industry average of -4.7% [7]. - The company's annualized cash flow growth rate over the past 3-5 years stands at 35.7%, well above the industry average of 2.3% [8]. Group 3: Earnings Estimate Revisions - Positive trends in earnings estimate revisions are correlated with stock price movements, making them an important consideration for investors [9]. - There has been a 1.8% upward revision in the current-year earnings estimates for Alexander & Baldwin Holdings over the past month [9]. Group 4: Overall Assessment - Alexander & Baldwin Holdings has achieved a Growth Score of B and a Zacks Rank of 2, indicating its potential as a solid choice for growth investors [10][12].