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Is NASDAQ:HWKN a Suitable Choice for Quality Investing?

By Mill Chart

Last update: Nov 15, 2023

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

Exploring Why NASDAQ:HWKN Holds Appeal for Quality Investors.

  • HAWKINS INC has demonstrated significant revenue growth over the past 5 years, with a 13.15% increase. This underscores the company's ability to adapt to market dynamics and capitalize on growth opportunities.
  • HAWKINS INC exhibits a strong ROIC excluding cash and goodwill, indicating efficient capital utilization and profitable operations. The 21.97% reflects the company's ability to generate returns on invested capital and underscores its commitment to delivering value to shareholders.
  • HAWKINS INC maintains a healthy Debt/Free Cash Flow Ratio of 0.56, 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.
  • HAWKINS INC exhibits impressive Profit Quality (5-year) with a 79.66% ratio, reflecting its consistent ability to generate high-quality profits. This metric underscores the company's strong financial performance and commitment to delivering sustainable earnings.
  • HAWKINS INC has demonstrated consistent growth in EBIT over the past 5 years, with a strong 25.56%. This signifies the company's ability to generate sustainable earnings and reflects its positive financial trajectory.
  • The EBIT 5-year growth of HAWKINS INC 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.

What else is there to say on the fundamentals of NASDAQ:HWKN?

ChartMill assigns a proprietary Fundamental Rating to each stock. The score is computed daily by evaluating various fundamental indicators and properties. The score ranges from 0 to 10.

HWKN gets a fundamental rating of 6 out of 10. The analysis compared the fundamentals against 86 industry peers in the Chemicals industry. HWKN gets an excellent profitability rating and is at the same time showing great financial health properties. HWKN is not valued too expensively and it also shows a decent growth rate.

Our latest full fundamental report of HWKN contains the most current fundamental analsysis.

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

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.

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