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 FERGUSON PLC (NYSE:FERG) is suited for quality investing. Investors should of course do their own research, but we spotted FERGUSON PLC showing up in our Caviar Cruise quality screen, so it may be worth spending some more time on it.
Highlighting Notable Quality Metrics of NYSE:FERG.
FERGUSON PLC has demonstrated significant revenue growth over the past 5 years, with a 7.46% increase. This underscores the company's ability to adapt to market dynamics and capitalize on growth opportunities.
The ROIC excluding cash and goodwill of FERGUSON PLC stands at 26.28%, 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.
With a favorable Debt/Free Cash Flow Ratio of 1.56, FERGUSON PLC 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.
With a robust Profit Quality (5-year) ratio of 89.76%, FERGUSON PLC 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 15.07%, FERGUSON PLC showcases its ability to consistently expand its operating profitability. This trend indicates the company's effective cost management and revenue generation strategies.
FERGUSON PLC has achieved superior EBIT 5-year growth compared to its Revenue 5-year growth. This demonstrates the company's ability to maximize its profitability through effective cost management and operational strategies.
A complete fundamental analysis of NYSE:FERG
ChartMill assigns a Fundamental Rating to every stock. This score, ranging from 0 to 10, is updated daily and is determined by evaluating multiple fundamental indicators and properties.
Overall FERG gets a fundamental rating of 5 out of 10. We evaluated FERG against 52 industry peers in the Trading Companies & Distributors industry. FERG scores excellent on profitability, but there are some minor concerns on its financial health. FERG has a expensive valuation and it also scores bad on growth.
More ideas for quality investing can be found on ChartMill in our Caviar Cruise screen.
Disclaimer
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.