Investors looking for opportunities to invest in U.S.-listed stocks may want to consider companies whose free cash flow has increased significantly in recent years, as these companies should have the flexibility to continue supporting the development of projects and returning cash to shareholders.
The following stocks meet the above criteria. Additionally, Wall Street sell-side analysts have issued positive recommendation ratings for these stocks, meaning their share prices are expected to rise in the coming months.
Malibu Boats
The first company investors may want to consider is Malibu Boats Inc. (MBUU, Financial), a Loudon, Tennessee-based designer and manufacturer of recreational boats.
The company's free cash flow per share has grown 9.20% over the past year, 26.60% over the past five years and 15.20% over the past decade.
Analysts estimate that the company will grow its earnings per share by 15% annually for the next five years.
The stock has a medium buy recommendation rating on Wall Street in September. The average price target is $79.71 per share.
The share price ($59.22 as of regular trading on Sept. 2) is down 19.96% over the past year with a market cap of $1.22 billion and a 52-week range of $48.31 to $78.10.
Heidrick & Struggles International
The second company to consider is Heidrick & Struggles International Inc. (HSII, Financial), a Chicago-based provider of talent and highly skilled staffing and employment placement services to businesses in every sector of the economy.
The company's free cash flow per share has grown 42.30% over the past year, 31.50% over the past five years and 18% over the past decade.
Analysts estimate the company will grow its earnings per share by 10% annually over the next five years.
The stock has a medium recommendation rating of overweight on Wall Street as of September. The average price target is $44 per share.
The share price ($28.52 at regular trading on Sept. 2) is down 33.78% year over year, yielding a market cap of $563.70 million. The 52-week range is $27.75 to $50.03.
Korn Ferry
The third company investors may want to consider is Korn Ferry (KFY, Financial), a Los Angeles-based provider of personnel and employment consulting services to companies and organizations around the world.
The company's free cash flow per share has grown 105.30% over the past year, 38.90% over the past five years and 20.40% over the past decade.
Analysts estimate the company's earnings per share will increase by 15% annually over the next five years.
The stock has a medium buy recommendation rating on Wall Street in September. The average price target is $81.50 per share.
The share price ($60.13 as of regular trading on Sept. 2) has declined 16.24% over the past year, determining a market capitalization of $3.28 billion and a 52-week range of $51.08 to $84.68.
Cavco Industries
The fourth company to consider is Cavco Industries Inc. (CVCO, Financial), a Phoenix-based designer, manufacturer and retailer of prefabricated residential buildings in the U.S.
The company's free cash flow per share has grown 81.40% over the past year, 27.40% over the past five years and 16.10% over the past decade.
Analysts estimate the company's earnings per share will increase by 30% annually over the next five years.
The stock has a medium buy rating on Wall Street as of September. The average price target is $373.33 per share.
The share price ($220.57 as of regular trading on Sept. 2) is down 12.64% year over year, yielding a market cap of $1.97 billion. The 52-week range is $179.47 to $327.24.
