In this article we will dive into AMETEK INC (NYSE:AME) as a possible candidate for quality investing. Investors should always do their own research, but we noticed AMETEK INC showing up in our Caviar Cruise quality screen, which makes it worth to investigate a bit more.
Some of the quality metrics of NYSE:AME highlighted
The 5-year revenue growth of AMETEK INC has been remarkable, with 6.36% increase. This showcases the company's strong performance in driving revenue growth and indicates its competitiveness within the market.
With a robust ROIC excluding cash and goodwill at 76.38%, AMETEK INC showcases its effective allocation of capital and operational excellence. This metric signifies the company's ability to generate attractive returns and supports its long-term financial performance.
The Debt/Free Cash Flow Ratio of AMETEK INC stands at 1.39, reflecting the company's prudent capital structure and cash flow dynamics. This ratio highlights the company's ability to generate robust free cash flow relative to its debt obligations.
AMETEK INC demonstrates consistent Profit Quality over the past 5 years, with a strong 114.0%. This indicates the company's ability to generate sustainable and reliable profits, showcasing its long-term profitability and financial stability.
AMETEK INC has experienced impressive EBIT growth over the past 5 years, with 9.69% increase. This reflects the company's effective operational performance and highlights its potential for long-term financial success.
AMETEK INC has achieved impressive EBIT 5-year growth, surpassing its Revenue 5-year growth. This indicates the company's ability to improve its profitability and operational efficiency, highlighting its strong financial performance.
What is the full fundamental picture of NYSE:AME telling us.
ChartMill assigns a proprietary Fundamental Rating to each stock. The score is computed daily by evaluating various fundamental indicators and properties. The score ranges from 0 to 10.
AME gets a fundamental rating of 6 out of 10. The analysis compared the fundamentals against 91 industry peers in the Electrical Equipment industry. AME scores excellent on profitability, but there are some minor concerns on its financial health. AME has a decent growth rate and is not valued too expensively. Finally AME also has an excellent dividend rating. These ratings would make AME suitable for dividend investing!
Important Note: The content of this article is not intended as trading advice. It is essential to perform your own analysis and exercise caution when making trading decisions. The article presents observations created by automated analysis but does not guarantee any trading or investment outcomes. Always trade responsibly and make independent judgments.