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Why Quality Investors Should Delve into WW GRAINGER INC (NYSE:GWW) for Investment Opportunities.

By Mill Chart

Last update: Sep 19, 2024

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


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Some of the quality metrics of NYSE:GWW highlighted

  • WW GRAINGER INC has shown strong performance in revenue growth over the past 5 years, with a 7.99% increase. This indicates the company's ability to generate consistent revenue growth and reflects its potential for long-term success.
  • With a robust ROIC excluding cash and goodwill at 42.33%, WW GRAINGER INC 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.
  • WW GRAINGER INC demonstrates a well-balanced Debt/Free Cash Flow Ratio of 1.31, 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 90.33%, WW GRAINGER 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.
  • WW GRAINGER INC has experienced impressive EBIT growth over the past 5 years, with 14.03% increase. This reflects the company's effective operational performance and highlights its potential for long-term financial success.
  • WW GRAINGER 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.

A complete fundamental analysis of NYSE:GWW

Every day, ChartMill assigns a Fundamental Rating to each stock, providing a score ranging from 0 to 10. This rating is determined by evaluating various fundamental indicators and properties.

GWW gets a fundamental rating of 6 out of 10. The analysis compared the fundamentals against 51 industry peers in the Trading Companies & Distributors industry. GWW scores excellent points on both the profitability and health parts. This is a solid base for a good stock. While showing a medium growth rate, GWW is valued expensive at the moment.

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

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.

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