In this article we will dive into BUCKLE INC/THE (NYSE:BKE) as a possible candidate for quality investing. Investors should always do their own research, but we noticed BUCKLE INC/THE showing up in our Caviar Cruise quality screen, which makes it worth to investigate a bit more.
Exploring Why NYSE:BKE Holds Appeal for Quality Investors.
The 5-year revenue growth of BUCKLE INC/THE has been remarkable, with 7.33% 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 48.13%, BUCKLE INC/THE 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.
BUCKLE INC/THE demonstrates a well-balanced Debt/Free Cash Flow Ratio of 0.0, 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.
With a favorable Profit Quality (5-year) ratio of 117.0%, BUCKLE INC/THE showcases its ability to consistently deliver high-quality profits. This metric signifies the company's financial strength and its capacity to generate sustainable earnings over an extended period.
BUCKLE INC/THE has consistently achieved strong EBIT growth over the past 5 years, with a 17.52% increase. This underscores the company's effective management of its operating income and suggests a positive outlook for future profitability.
BUCKLE INC/THE 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.
What else is there to say on the fundamentals of NYSE:BKE?
ChartMill assigns a Fundamental Rating to every stock. This score ranges from 0 to 10 and is updated daily. The score is determined by evaluating multiple fundamental indicators and properties.
Taking everything into account, BKE scores 7 out of 10 in our fundamental rating. BKE was compared to 124 industry peers in the Specialty Retail industry. BKE has outstanding health and profitabily ratings, belonging to the best of the industry. This is a solid base for any company. BKE is cheap, but on the other hand it scores bad on growth. These ratings would make BKE suitable for value investing!
More ideas for quality investing can be found on ChartMill 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.