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 BJ'S WHOLESALE CLUB HOLDINGS (NYSE:BJ) is suited for quality investing. Investors should of course do their own research, but we spotted BJ'S WHOLESALE CLUB HOLDINGS showing up in our Caviar Cruise quality screen, so it may be worth spending some more time on it.
Highlighting Notable Quality Metrics of NYSE:BJ.
Over the past 5 years, BJ'S WHOLESALE CLUB HOLDINGS has experienced impressive revenue growth, with 8.95% increase. This demonstrates the company's ability to effectively expand its top line and suggests a positive outlook for future revenue generation.
BJ'S WHOLESALE CLUB HOLDINGS demonstrates impressive performance in terms of ROIC excluding cash and goodwill, with a 19.07% 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 2.85, BJ'S WHOLESALE CLUB HOLDINGS 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.
BJ'S WHOLESALE CLUB HOLDINGS exhibits impressive Profit Quality (5-year) with a 96.44% 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.
BJ'S WHOLESALE CLUB HOLDINGS has experienced impressive EBIT growth over the past 5 years, with 21.86% increase. This reflects the company's effective operational performance and highlights its potential for long-term financial success.
BJ'S WHOLESALE CLUB HOLDINGS 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.
Fundamental Analysis Observations
Every day, ChartMill assigns a Fundamental Rating to each stock, providing a score ranging from 0 to 10. This rating is determined by evaluating various fundamental indicators and properties.
BJ gets a fundamental rating of 5 out of 10. The analysis compared the fundamentals against 40 industry peers in the Consumer Staples Distribution & Retail industry. BJ has an excellent profitability rating, but there are some minor concerns on its financial health. BJ is valied quite expensively at the moment, while it does show a decent growth rate.
This article should in no way be interpreted as advice in any way. 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.