Why quality investors should have a look at MURPHY USA INC (NYSE:MUSA).

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

What matters for quality investors.

• Over the past 5 years, MURPHY USA INC has experienced impressive revenue growth, with 8.43% increase. This demonstrates the company's ability to effectively expand its top line and suggests a positive outlook for future revenue generation.
• The ROIC excluding cash and goodwill of MURPHY USA INC stands at 20.19%, 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.
• MURPHY USA INC maintains a healthy Debt/Free Cash Flow Ratio of 4.17, 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.
• With a robust Profit Quality (5-year) ratio of 91.16%, MURPHY USA INC 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.
• MURPHY USA INC has demonstrated consistent growth in EBIT over the past 5 years, with a strong 24.54%. This signifies the company's ability to generate sustainable earnings and reflects its positive financial trajectory.
• The EBIT 5-year growth of MURPHY USA 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.

Zooming in on the fundamentals.

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.

MUSA gets a fundamental rating of 5 out of 10. The analysis compared the fundamentals against 125 industry peers in the Specialty Retail industry. MUSA scores excellent on profitability, but there are some minor concerns on its financial health. MUSA has a correct valuation and a medium growth rate.

Our latest full fundamental report of MUSA 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.