--- title: "3 High ROE Stocks With Solid Balance Sheets And Hidden Upside" type: "News" locale: "en" url: "https://longbridge.com/en/news/289626327.md" description: "The article highlights three stocks with high return on equity and solid balance sheets: Fonix, a UK fintech platform; Rightmove, a dominant UK property portal; and Foresight Group Holdings, an infrastructure asset manager. These companies are selected for their financial strength, efficient capital use, and potential upside despite macroeconomic headwinds like inflation and rising interest rates." datetime: "2026-06-12T17:27:46.000Z" locales: - [zh-CN](https://longbridge.com/zh-CN/news/289626327.md) - [en](https://longbridge.com/en/news/289626327.md) - [zh-HK](https://longbridge.com/zh-HK/news/289626327.md) --- # 3 High ROE Stocks With Solid Balance Sheets And Hidden Upside With inflation, interest rates and geopolitics all pulling at markets, it can help to focus on companies with solid finances and efficient use of shareholder capital. That is exactly what a solid balance sheet and fundamentals screener aims to highlight, by filtering for stocks with high return on equity, robust past performance and cleaner debt profiles. This type of filter does not depend on any single sector or story; it simply prioritises financial strength and discipline. In this article, you will see three stocks from this screener that illustrate how this quality focused approach can look in practice. **Wall Street's queuing for one rocket.** While SpaceX counts down to its IPO, other companies tied to the new space race are already in orbit. → 20 Compelling Space Companies watchlist · Global Space Race Investing Ideas screener · Scan the sector by valuation on Rocket Lab's valuation page. ## Fonix (AIM:FNX) **Overview:** Fonix is a London based fintech platform that helps media groups, charities, gaming providers and other digital businesses collect payments and run messaging and verification services through mobile phones across the UK and Europe. **Operations:** Fonix generates all of its £76.36m revenue from facilitating mobile payments and messaging, with £62.20m coming from the United Kingdom and £14.17m from the rest of Europe. **Market Cap:** £145.34m Fonix sits at an interesting junction of quality and valuation, combining very high return on equity with earnings and revenue growth projections that outpace the wider UK market, while still trading at a P/E below many peers. Earnings margins are steady and the company pays a high ordinary dividend tied directly to adjusted EPS. However, the balance sheet relies fully on external borrowing, which lifts financial risk. A sizeable share buyback program adds another layer of capital return, but analyst coverage is thin and the stock has lagged the market over the past year. For investors who prefer cash generative platforms with shareholder friendly policies, the full picture may merit closer examination. High return on equity, a high ordinary dividend and a below peer P/E can look like a powerful mix, but the reliance on external borrowing changes the equation. Review the DCF valuation analysis for Fonix FNX Discounted Cash Flow as at Jun 2026 ## Rightmove (LSE:RMV) **Overview:** Rightmove is a UK based online property platform where estate agents, developers and other property professionals advertise homes for sale and rent, alongside related services such as mortgages, tenant referencing and insurance. This gives users a central place to search and research property. **Operations:** Rightmove generates most of its £425.13m revenue from UK property advertising, with £304.74m from Agency listings, £75.33m from New Homes developers and £45.06m from other services. **Market Cap:** £3.14b Rightmove combines a highly profitable UK property portal business with very high returns on equity and net margins above 50%, supported by strong user engagement and a growing range of premium services for agents. At the same time, the stock trades on a P/E below sector averages and below some fair value estimates. However, almost all revenue still depends on the UK housing market, alongside rising competition from other portals and ongoing pressure to keep innovating for agents and consumers. Rightmove’s rich margins and below sector P/E raise a sharp question: is the UK housing reliance a brake or a springboard for the stock’s next chapter? Scan the 4 key rewards and 1 important warning sign LSE:RMV P/E Ratio as at Jun 2026 ## Foresight Group Holdings (LSE:FSG) **Overview:** Foresight Group Holdings is a London based asset manager that runs infrastructure, private equity, venture capital and listed funds, giving institutions and retail investors access to renewable energy projects, social and digital infrastructure, and growth focused smaller companies across the UK, Europe and Australia. **Operations:** Foresight generates most of its revenue from Real Assets at £105.67m, alongside £47.43m from Private Equity and £9.22m from Foresight Capital Management, with the United Kingdom contributing £126.34m of its geographically disclosed income. **Market Cap:** £472.36m Foresight Group Holdings combines a high return on equity of 44.3%, predominantly recurring fee income and exposure to long term themes such as decarbonisation and energy security. This is accompanied by a 60% dividend payout policy and ongoing buybacks. At the same time, the business is expanding into more complex real assets and cross border growth, where higher interest rates, tighter ESG rules and competition from larger managers could affect margins and fund flows. The balance of these factors may be a key consideration for long term shareholders who are seeking both income and growth from an infrastructure focused manager. Foresight’s 44.3% return on equity, fee based model and 60% payout policy suggest a story investors may not have fully priced in yet, especially once you see the analyst forecasts for Foresight Group Holdings that could reshape how this stock is viewed. LSE:FSG Earnings & Revenue Growth as at Jun 2026 The three stocks in this article are only a starting point, with the full screener surfacing 15 more companies that pair solid balance sheets with high return on equity and strong past performance narratives through the Solid Balance Sheet and Fundamentals screener. Use Simply Wall St to identify and analyze the specific catalysts, capital allocation traits and balance sheet profiles that matter most so you can focus on the highest-conviction ideas from this group. ## Take Control of Your Investment Journey If Fonix or any of these companies have caught your attention, register for FREE with Simply Wall St and add your companies to a Watchlist to monitor the share price against the fair value and track any new developments as they happen. Once you've made your move, manage your holdings with our Portfolio Command Center that filters out the noise to deliver only the most critical, actionable updates. Throughout your journey, our Community allows you to filter the best ideas from thousands of investor perspectives. By uncovering hidden catalysts and risks early, you'll accelerate your decision-making and stay one step ahead of the market. ## Seeking Fresh Alternatives Before They Fly? New ideas can move from quiet to breakout quickly, and the strongest stories rarely stay under the radar for long. Scan these fresh stock lists before the crowd and consider whether they fit your approach. - Explore income opportunities that aim to balance yield and resilience with a curated set of 5 dividend fortresses that may help steady a portfolio when others are declining. - Consider structural tech themes by checking 48 AI infrastructure stocks that support the build out of data centers and compute capacity while this area is still developing. - Review 28 best rare earth metal stocks tied to critical materials for EVs and electronics if you are evaluating potential changes in resource demand. _This article by Simply Wall St is general in nature. **We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice.** It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned._ ### **New:** AI Stock Screener & Alerts Our new AI Stock Screener scans the market every day to uncover opportunities. • Dividend Powerhouses (3%+ Yield) • Undervalued Small Caps with Insider Buying • High growth Tech and AI Companies Or build your own from over 50 metrics. 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