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Why The Buckle, Inc. (NYSE:BKE) Could Have A Place In Your Portfolio

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The Buckle, Inc. (NYSE:BKE) is a stock with outstanding fundamental characteristics. When we build an investment case, we need to look at the stock with a holistic perspective. In the case of BKE, it is a notable dividend payer that has been able to sustain great financial health over the past. In the following section, I expand a bit more on these key aspects. If you're interested in understanding beyond my broad commentary, take a look at the report on Buckle here.

Excellent balance sheet average dividend payer

BKE's ability to maintain an adequate level of cash to meet upcoming liabilities is a good sign for its financial health. This suggests prudent control over cash and cost by management, which is a key determinant of the company’s health. Looking at BKE's capital structure, the company has no debt on its balance sheet. It has only utilized funding from its equity capital to run the business, which is typically normal for a small-cap company. Investors’ risk associated with debt is virtually non-existent and the company has plenty of headroom to grow debt in the future, should the need arise.

NYSE:BKE Historical Debt, July 8th 2019
NYSE:BKE Historical Debt, July 8th 2019

For those seeking income streams from their portfolio, BKE is a robust dividend payer as well. Over the past decade, the company has consistently increased its dividend payout, reaching a yield of 12%, making it one of the best dividend companies in the market.

NYSE:BKE Historical Dividend Yield, July 8th 2019
NYSE:BKE Historical Dividend Yield, July 8th 2019

Next Steps:

For Buckle, there are three fundamental aspects you should look at:

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  1. Future Outlook: What are well-informed industry analysts predicting for BKE’s future growth? Take a look at our free research report of analyst consensus for BKE’s outlook.

  2. Historical Performance: What has BKE's returns been like over the past? Go into more detail in the past track record analysis and take a look at the free visual representations of our analysis for more clarity.

  3. Other Attractive Alternatives : Are there other well-rounded stocks you could be holding instead of BKE? Explore our interactive list of stocks with large potential to get an idea of what else is out there you may be missing!

We aim to bring you long-term focused research analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material.

If you spot an error that warrants correction, please contact the editor at editorial-team@simplywallst.com. This article by Simply Wall St is general in nature. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. Simply Wall St has no position in the stocks mentioned. Thank you for reading.