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Exploring NYSE:APH's quality characteristics.

By Mill Chart

Last update: Aug 14, 2023

In this article we will dive into AMPHENOL CORP-CL A (NYSE:APH) as a possible candidate for quality investing. Investors should always do their own research, but we noticed AMPHENOL CORP-CL A showing up in our Caviar Cruise quality screen, which makes it worth to investigate a bit more.

Why NYSE:APH may be interesting for quality investors.

  • Over the past 5 years, AMPHENOL CORP-CL A has experienced impressive revenue growth, with 12.48% increase. This demonstrates the company's ability to effectively expand its top line and suggests a positive outlook for future revenue generation.
  • With a robust ROIC excluding cash and goodwill at 53.78%, AMPHENOL CORP-CL A 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 AMPHENOL CORP-CL A stands at 2.22, 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.
  • With a robust Profit Quality (5-year) ratio of 89.74%, AMPHENOL CORP-CL A highlights its ability to consistently generate high-quality profits. This metric reflects the company's effective management and operational excellence in delivering reliable earnings over the long term.
  • AMPHENOL CORP-CL A has demonstrated consistent growth in EBIT over the past 5 years, with a strong 12.74%. This signifies the company's ability to generate sustainable earnings and reflects its positive financial trajectory.
  • AMPHENOL CORP-CL A 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.

Fundamental analysis of NYSE:APH

At ChartMill, a crucial aspect of their analysis is the assignment of a Fundamental Rating to each stock. This rating, ranging from 0 to 10, is calculated daily by considering numerous fundamental indicators and properties.

APH gets a fundamental rating of 6 out of 10. The analysis compared the fundamentals against 128 industry peers in the Electronic Equipment, Instruments & Components industry. APH has outstanding health and profitabily ratings, belonging to the best of the industry. This is a solid base for any company. While showing a medium growth rate, APH is valued expensive at the moment.

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

More quality stocks can be found 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.

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