Analyzing the Quality Characteristics of STRIDE INC (NYSE:LRN).

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

A Deep Dive into STRIDE INC's Quality Metrics.

• The 5-year revenue growth of STRIDE INC has been remarkable, with 14.89% 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 21.37%, STRIDE 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.
• With a favorable Debt/Free Cash Flow Ratio of 3.38, STRIDE INC 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 favorable Profit Quality (5-year) ratio of 149.0%, STRIDE 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.
• STRIDE INC has consistently achieved strong EBIT growth over the past 5 years, with a 45.36% increase. This underscores the company's effective management of its operating income and suggests a positive outlook for future profitability.
• STRIDE INC 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.

Zooming in on the fundamentals.

ChartMill assigns a Fundamental Rating to every stock. This score ranges from 0 to 10 and is updated daily. The score is determined by evaluating multiple fundamental indicators and properties.

We assign a fundamental rating of 7 out of 10 to LRN. LRN was compared to 66 industry peers in the Diversified Consumer Services industry. Both the health and profitability get an excellent rating, making LRN a very profitable company, without any liquidiy or solvency issues. An interesting combination arises when we look at growth and value: LRN is growing strongly while it also seems undervalued. These ratings would make LRN suitable for value and growth and quality investing!

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

More ideas for quality investing can be found on ChartMill in our Caviar Cruise screen.

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.