In addition to adding customers, they are expanding into other markets too. These include lodging, travel booking and building supplies. The possibilities in these industries are unlimited and adds a lot of potential income to the bottom line.

Finally, the company announced that 33% of its earnings come from overseas business and this area is growing rapidly. I can see how in the coming years international business will make up a bulk of Fleetcor Technologies business.

As these economies continue to grow and develop, the need will be there for Fleetcor’s services.
And don’t think for a minute that driverless cars will have a negative impact on the bottom line either. Quite the opposite in fact. This is because its cards are accepted at charging stations in Europe. In fact, most of the revenue in Netherlands comes from charging stations.

Earnings And Outlook

When the company recently announced earnings, they beat on both earnings per share and revenues. Revenues were up over 17% compared to the prior year. With all of the great points about Fleetcor, there is one negative. The company is experiencing weak cash flows. The result is a stock price that has been having trouble pushing past its 52 week high.

But weak cash flows shouldn’t be a reason to avoid this stock. The company and the business have a lot of momentum and a bright future.

At the end of the day, smart investors are putting their money into Fleetcor Technologies. With a solid balance sheet and strong earnings, the stock price is only expected to go higher. As a result, smart money is getting into this stock now, before it breaks through its 52 week high. In fact, this might be the best buying opportunity for the stock for some time.

This article has been republished with permission from Modest Money.