Why NYSE:DECK qualifies as a quality stock.

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 DECKERS OUTDOOR CORP (NYSE:DECK) is suited for quality investing. Investors should of course do their own research, but we spotted DECKERS OUTDOOR CORP showing up in our Caviar Cruise quality screen, so it may be worth spending some more time on it.

Looking into the quality metrics of DECKERS OUTDOOR CORP

• Over the past 5 years, DECKERS OUTDOOR CORP has experienced impressive revenue growth, with 16.24% increase. This demonstrates the company's ability to effectively expand its top line and suggests a positive outlook for future revenue generation.
• The ROIC excluding cash and goodwill of DECKERS OUTDOOR CORP stands at 83.21%, reflecting the company's strong financial management and profitability. This metric underscores its ability to generate favorable returns on the capital invested in its core operations.
• DECKERS OUTDOOR CORP 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 95.75%, DECKERS OUTDOOR CORP 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.
• DECKERS OUTDOOR CORP has demonstrated consistent growth in EBIT over the past 5 years, with a strong 23.42%. This signifies the company's ability to generate sustainable earnings and reflects its positive financial trajectory.
• DECKERS OUTDOOR CORP 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.

What is the full fundamental picture of NYSE:DECK telling us.

ChartMill utilizes a proprietary algorithm to assign a Fundamental Rating to every stock. This rating, ranging from 0 to 10, is computed daily by analyzing a variety of fundamental indicators and properties.

Overall DECK gets a fundamental rating of 7 out of 10. We evaluated DECK against 51 industry peers in the Textiles, Apparel & Luxury Goods industry. DECK has outstanding health and profitabily ratings, belonging to the best of the industry. This is a solid base for any company. DECK is valued quite expensive, but it does show an excellent growth. This makes DECK very considerable for growth and quality investing!

Check the latest full fundamental report of DECK for a complete fundamental analysis.

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

Keep in mind

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.