A clean balance sheet can signal disciplined management and stability. It also means a company can expand and thrive without relying on borrowed capital.
Not all companies with sound capital structures are created equal, and StockStory is here to help you find the best. Keeping that in mind, here are three companies with net cash positions that can continue growing sustainably.
Cloudflare (NET)
Net Cash Position: $497.6 million (0.7% of Market Cap)
With a massive network spanning more than 310 cities in over 120 countries, Cloudflare (NYSE: NET) provides a global network that delivers security, performance and reliability services to protect websites, applications, and corporate networks.
Why Should You Buy NET?
- Winning new contracts that can potentially increase in value as its billings growth has averaged 30.3% over the last year
- Notable projected revenue growth of 26.3% for the next 12 months hints at market share gains
- User-friendly software enables clients to ramp up spending quickly, leading to the speedy recovery of customer acquisition costs
At $221.41 per share, Cloudflare trades at 31.3x forward price-to-sales. Is now a good time to buy? Find out in our full research report, it’s free for active Edge members.
Semrush (SEMR)
Net Cash Position: $245.7 million (23.4% of Market Cap)
Born from the need to make sense of the complex digital marketing landscape, Semrush (NYSE: SEMR) is a software-as-a-service platform that helps companies improve their online visibility, analyze digital marketing efforts, and optimize content across search engines and social media.
Why Does SEMR Stand Out?
- Average billings growth of 23% over the last year enhances its liquidity and shows there is steady demand for its products
- Software is difficult to replicate at scale and results in a premier gross margin of 81.4%
- Free cash flow margin is anticipated to expand by 7.1 percentage points over the next year, providing additional flexibility for investments and share buybacks/dividends
Semrush is trading at $7.08 per share, or 2.2x forward price-to-sales. Is now the time to initiate a position? See for yourself in our full research report, it’s free for active Edge members.
UMB Financial (UMBF)
Net Cash Position: $8.26 billion (96.3% of Market Cap)
With roots dating back to 1913 and a name derived from "United Missouri Bank," UMB Financial (NASDAQ: UMBF) is a financial holding company that provides banking, asset management, and fund services to commercial, institutional, and individual customers.
Why Could UMBF Be a Winner?
- Impressive 19.7% annual net interest income growth over the last five years indicates it’s winning market share this cycle
- Productivity and efficiency ratio profits are expected to increase next year as some fixed cost leverage kicks in
- Earnings per share have massively outperformed its peers over the last two years, increasing by 15.3% annually
UMB Financial’s stock price of $115.63 implies a valuation ratio of 1.2x forward P/B. Is now the right time to buy? Find out in our full research report, it’s free for active Edge members.
Stocks We Like Even More
Donald Trump’s April 2025 "Liberation Day" tariffs sent markets into a tailspin, but stocks have since rebounded strongly, proving that knee-jerk reactions often create the best buying opportunities.
The smart money is already positioning for the next leg up. Don’t miss out on the recovery - check out our Top 5 Strong Momentum Stocks for this week. This is a curated list of our High Quality stocks that have generated a market-beating return of 183% over the last five years (as of March 31st 2025).
Stocks that made our list in 2020 include now familiar names such as Nvidia (+1,545% between March 2020 and March 2025) as well as under-the-radar businesses like the once-small-cap company Comfort Systems (+782% five-year return). Find your next big winner with StockStory today for free. Find your next big winner with StockStory today. Find your next big winner with StockStory today
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