Is ASTRAZENECA PLC-SPONS ADR (NASDAQ:AZN) suited for quality investing?

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 ASTRAZENECA PLC-SPONS ADR (NASDAQ:AZN) is suited for quality investing. Investors should of course do their own research, but we spotted ASTRAZENECA PLC-SPONS ADR showing up in our Caviar Cruise quality screen, so it may be worth spending some more time on it.

Some of the quality metrics of NASDAQ:AZN highlighted

• ASTRAZENECA PLC-SPONS ADR has achieved substantial revenue growth over the past 5 years, with a 17.27% increase. This signifies the company's ability to successfully capture market opportunities and generate sustained revenue growth.
• ASTRAZENECA PLC-SPONS ADR demonstrates impressive performance in terms of ROIC excluding cash and goodwill, with a 84.63% ratio. This highlights the company's efficient utilization of capital and its focus on maximizing returns for investors.
• ASTRAZENECA PLC-SPONS ADR demonstrates a well-balanced Debt/Free Cash Flow Ratio of 4.16, indicating effective debt management and strong cash flow generation. This ratio suggests the company has a sustainable financial position and the capacity to allocate capital efficiently.
• ASTRAZENECA PLC-SPONS ADR exhibits impressive Profit Quality (5-year) with a 772.0% 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.
• The 5-year EBIT growth of ASTRAZENECA PLC-SPONS ADR has been remarkable, with 27.35% increase. This demonstrates the company's ability to improve its operational efficiency and indicates its competitiveness within the market.
• The EBIT 5-year growth of ASTRAZENECA PLC-SPONS ADR has outpaced its Revenue 5-year growth, reflecting the company's focus on optimizing its profitability and generating sustainable earnings. This trend underscores its strong financial management.

Fundamental Analysis Observations

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.

AZN gets a fundamental rating of 6 out of 10. The analysis compared the fundamentals against 192 industry peers in the Pharmaceuticals industry. AZN scores excellent on profitability, but there are some minor concerns on its financial health. AZN may be a bit undervalued, certainly considering the very reasonable score on growth

For an up to date full fundamental analysis you can check the fundamental report of AZN

More quality stocks can be found in our Caviar Cruise screen.

Disclaimer

This article should in no way be interpreted as advice. The article is based on the observed metrics at the time of writing, but you should always make your own analysis and trade or invest at your own responsibility.