Why NASDAQ:FAST Stands Out as a Quality Stock.

In this article we will dive into FASTENAL CO (NASDAQ:FAST) as a possible candidate for quality investing. Investors should always do their own research, but we noticed FASTENAL CO showing up in our Caviar Cruise quality screen, which makes it worth to investigate a bit more.

Some of the quality metrics of NASDAQ:FAST highlighted

• The 5-year revenue growth of FASTENAL CO has been remarkable, with 8.15% 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 31.63%, FASTENAL CO 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.
• FASTENAL CO maintains a healthy Debt/Free Cash Flow Ratio of 0.21, 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 favorable Profit Quality (5-year) ratio of 86.01%, FASTENAL CO 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.
• FASTENAL CO has experienced impressive EBIT growth over the past 5 years, with 8.89% increase. This reflects the company's effective operational performance and highlights its potential for long-term financial success.
• The EBIT 5-year growth of FASTENAL CO 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.

How does the complete fundamental picture look for NASDAQ:FAST?

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.

We assign a fundamental rating of 7 out of 10 to FAST. FAST was compared to 51 industry peers in the Trading Companies & Distributors industry. Both the health and profitability get an excellent rating, making FAST a very profitable company, without any liquidiy or solvency issues. FAST is valied quite expensively at the moment, while it does show a decent growth rate. With these ratings, FAST could be worth investigating further for quality investing!.

For an up to date full fundamental analysis you can check the fundamental report of FAST

Our Caviar Cruise screen will find you more ideas suited for quality investing.

Disclaimer

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.