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 CSW INDUSTRIALS INC (NASDAQ:CSWI) is suited for quality investing. Investors should of course do their own research, but we spotted CSW INDUSTRIALS INC showing up in our Caviar Cruise quality screen, so it may be worth spending some more time on it.
A Deep Dive into CSW INDUSTRIALS INC's Quality Metrics.
Over the past 5 years, CSW INDUSTRIALS INC has experienced impressive revenue growth, with 17.75% increase. This demonstrates the company's ability to effectively expand its top line and suggests a positive outlook for future revenue generation.
With a notable ROIC excluding cash and goodwill at 39.89%, CSW INDUSTRIALS INC demonstrates its commitment to generating sustainable returns for shareholders. This metric emphasizes the company's effective use of capital and its ability to deliver long-term value.
CSW INDUSTRIALS INC maintains a healthy Debt/Free Cash Flow Ratio of 0.0, indicating a strong financial position and prudent debt management. This ratio suggests the company has sufficient free cash flow to cover its debt obligations and highlights its ability to generate cash from operations.
With a robust Profit Quality (5-year) ratio of 122.0%, CSW INDUSTRIALS INC 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.
With a robust 5-year EBIT growth of 21.38%, CSW INDUSTRIALS INC showcases its ability to consistently expand its operating profitability. This trend indicates the company's effective cost management and revenue generation strategies.
CSW INDUSTRIALS INC 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 is the full fundamental picture of NASDAQ:CSWI telling us.
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.
Taking everything into account, CSWI scores 6 out of 10 in our fundamental rating. CSWI was compared to 41 industry peers in the Building Products industry. CSWI has outstanding health and profitabily ratings, belonging to the best of the industry. This is a solid base for any company. CSWI is quite expensive at the moment. It does show a decent growth rate. With these ratings, CSWI could be worth investigating further for quality investing!.
Important Note: The content of this article is not intended as trading advice. It is essential to perform your own analysis and exercise caution when making trading decisions. The article presents observations created by automated analysis but does not guarantee any trading or investment outcomes. Always trade responsibly and make independent judgments.