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Why NYSE:BMI qualifies as a quality stock.

By Mill Chart

Last update: Aug 11, 2023

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 BADGER METER INC (NYSE:BMI) is suited for quality investing. Investors should of couse do their own research, but we spotted BADGER METER INC showing up in our Caviar Cruise quality screen, so it may be worth spending some more time on it.

What matters for quality investors.

  • Over the past 5 years, BADGER METER INC has experienced impressive revenue growth, with 7.04% increase. This demonstrates the company's ability to effectively expand its top line and suggests a positive outlook for future revenue generation.
  • BADGER METER INC exhibits a strong ROIC excluding cash and goodwill, indicating efficient capital utilization and profitable operations. The 34.02% reflects the company's ability to generate returns on invested capital and underscores its commitment to delivering value to shareholders.
  • With a favorable Debt/Free Cash Flow Ratio of 0.0, BADGER METER INC 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.
  • BADGER METER INC exhibits impressive Profit Quality (5-year) with a 150.0% 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 BADGER METER INC has been remarkable, with 9.05% 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 BADGER METER INC 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.

Zooming in on the fundamentals.

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.

We assign a fundamental rating of 7 out of 10 to BMI. BMI was compared to 129 industry peers in the Electronic Equipment, Instruments & Components industry. BMI has outstanding health and profitabily ratings, belonging to the best of the industry. This is a solid base for any company. BMI is quite expensive at the moment. It does show a decent growth rate. With these ratings, BMI could be worth investigating further for quality investing!.

Our latest full fundamental report of BMI contains the most current fundamental analsysis.

More ideas for quality investing can be found on ChartMill in our Caviar Cruise screen.

Keep in mind

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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