Why the quality investor may take a look at NYSE:AIT.

Quality investors are looking for the best of the best. Companies which are growing steadily and consistently, but are also in excellent financial condition. We will have a look here to see if APPLIED INDUSTRIAL TECH INC (NYSE:AIT) is suited for quality investing. Investors should of course do their own research, but we spotted APPLIED INDUSTRIAL TECH INC showing up in our Caviar Cruise quality screen, so it may be worth spending some more time on it.

Looking into the quality metrics of APPLIED INDUSTRIAL TECH INC

• The 5-year revenue growth of APPLIED INDUSTRIAL TECH INC has been remarkable, with 5.22% increase. This showcases the company's strong performance in driving revenue growth and indicates its competitiveness within the market.
• APPLIED INDUSTRIAL TECH INC demonstrates impressive performance in terms of ROIC excluding cash and goodwill, with a 34.05% ratio. This highlights the company's efficient utilization of capital and its focus on maximizing returns for investors.
• With a favorable Debt/Free Cash Flow Ratio of 1.72, APPLIED INDUSTRIAL TECH INC showcases its sound financial discipline and cash flow management. This ratio indicates the company's ability to service its debt obligations while maintaining sufficient free cash flow for future investments or operational needs.
• APPLIED INDUSTRIAL TECH INC exhibits impressive Profit Quality (5-year) with a 311.0% ratio, reflecting its consistent ability to generate high-quality profits. This metric underscores the company's strong financial performance and commitment to delivering sustainable earnings.
• APPLIED INDUSTRIAL TECH INC has demonstrated consistent growth in EBIT over the past 5 years, with a strong 13.12%. This signifies the company's ability to generate sustainable earnings and reflects its positive financial trajectory.
• APPLIED INDUSTRIAL TECH INC demonstrates a remarkable trend where its EBIT 5-year growth exceeds its Revenue 5-year growth. This indicates the company's ability to enhance its profitability through improved cost control and operational efficiency.

How does the complete fundamental picture look for NYSE:AIT?

ChartMill assigns a Fundamental Rating to every stock. This score, ranging from 0 to 10, is updated daily and is determined by evaluating multiple fundamental indicators and properties.

We assign a fundamental rating of 7 out of 10 to AIT. AIT was compared to 51 industry peers in the Trading Companies & Distributors industry. AIT has outstanding health and profitabily ratings, belonging to the best of the industry. This is a solid base for any company. AIT is valied quite expensively at the moment, while it does show a decent growth rate.

Check the latest full fundamental report of AIT for a complete fundamental analysis.

More ideas for quality investing can be found on ChartMill in our Caviar Cruise screen.

Disclaimer

This is not investing advice! The article highlights some of the observations at the time of writing, but you should always make your own analysis and invest based on your own insights.