4 Stocks With Increasing Cash Flows to Enrich Your Portfolio

Core Insights - Healthy cash flow is essential for a company's existence, development, and success, providing strength and flexibility for investment decisions [1] - Companies with irregular cash flow, even if profitable, risk bankruptcy, making cash flow a critical measure of resilience [1][2] - Amid global economic uncertainties, analyzing cash-generating efficiency has become increasingly relevant [2] Cash Flow Analysis - Net cash flow is crucial as it indicates the actual money a company generates, impacting its ability to meet obligations and reinvest [2] - Positive cash flow signifies an increase in liquid assets, while negative cash flow indicates declining liquidity and reduced operational flexibility [2] Growth and Management Efficiency - A company must not only have positive cash flow but also increasing cash flow to demonstrate management efficiency and reduced dependency on external financing [3] Screening Parameters - Stocks were screened for those with cash flow in the latest quarter at least equal to the 5-year average, indicating a positive trend [4] - Additional criteria included Zacks Rank 1, Average Broker Rating 1, current price greater than or equal to $5, and a VGM Score of B or better [4] Stock Picks - Griffon Corporation (GFF): A diversified management and holding company with a revised earnings estimate of $4.80 for fiscal 2024, up 3.9% [5] - HNI Corporation (HNI): A leading provider of office furniture with a revised earnings estimate of $2.93 for 2024, up 6.5% [6] - ADMA Biologics (ADMA): A biopharmaceutical company with a revised earnings estimate of $0.25 for the current year, up 13.6% [6] - First Bank (FRBA): A state-chartered bank with an expected earnings growth rate of 7.9% for 2024 and a revised earnings estimate up 5.4% [7]