Reasonable Growth, Debt Levels, and a High ROIC Make COMFORT SYSTEMS USA INC (NYSE:FIX) Appealing to Quality Investors.

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

Looking into the quality metrics of COMFORT SYSTEMS USA INC

• COMFORT SYSTEMS USA INC has demonstrated significant revenue growth over the past 5 years, with a 18.99% increase. This underscores the company's ability to adapt to market dynamics and capitalize on growth opportunities.
• The ROIC excluding cash and goodwill of COMFORT SYSTEMS USA INC stands at 147.0%, 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.
• COMFORT SYSTEMS USA INC demonstrates a well-balanced Debt/Free Cash Flow Ratio of 0.15, indicating effective debt management and strong cash flow generation. This ratio suggests the company has a sustainable financial position and the capacity to allocate capital efficiently.
• With a favorable Profit Quality (5-year) ratio of 131.0%, COMFORT SYSTEMS USA INC 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.
• With a robust 5-year EBIT growth of 22.75%, COMFORT SYSTEMS USA INC showcases its ability to consistently expand its operating profitability. This trend indicates the company's effective cost management and revenue generation strategies.
• With EBIT 5-year growth outpacing its Revenue 5-year growth, COMFORT SYSTEMS USA INC showcases its effective cost management and enhanced operational performance. This suggests the company's ability to generate higher earnings from its revenue streams.

Fundamental Analysis Observations

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.

Taking everything into account, FIX scores 8 out of 10 in our fundamental rating. FIX was compared to 43 industry peers in the Construction & Engineering industry. FIX has outstanding health and profitabily ratings, belonging to the best of the industry. This is a solid base for any company. FIX is showing excellent growth while it is valued at reasonable prices. Keep and eye on this one! Finally FIX also has an excellent dividend rating. With these ratings, FIX could be worth investigating further for dividend and growth and quality investing!.

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

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

Keep in mind

This article should in no way be interpreted as advice. The article is based on the observed metrics at the time of writing, but you should always make your own analysis and trade or invest at your own responsibility.