I like companies that have a track record of:
- Growing top line sales or revenue growth.
- Improving their operating margin.
- Growing profits.
- Growing earnings per share.
- Increasing dividends.
- Strong cash flow, conservative gearing and prudent financial management.
- Delivering a high return on invested capital.
- Market/category leadership.
Throw in a first class management team, and a share price that is trading on a respectable multiple below the ASX average.
Retailer JB Hi-Fi fits this to a tee.