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Why NYSE:MUSA qualifies as a quality stock.

By Mill Chart

Last update: Aug 27, 2024

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.


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Exploring Why NYSE:MUSA Holds Appeal for Quality Investors.

  • MURPHY USA INC has shown strong performance in revenue growth over the past 5 years, with a 8.43% increase. This indicates the company's ability to generate consistent revenue growth and reflects its potential for long-term success.
  • MURPHY USA INC exhibits a strong ROIC excluding cash and goodwill, indicating efficient capital utilization and profitable operations. The 20.61% reflects the company's ability to generate returns on invested capital and underscores its commitment to delivering value to shareholders.
  • With a favorable Debt/Free Cash Flow Ratio of 3.78, MURPHY USA 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 91.16%, MURPHY 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 24.54%, MURPHY USA INC showcases its ability to consistently expand its operating profitability. This trend indicates the company's effective cost management and revenue generation strategies.
  • MURPHY USA 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.

What else is there to say on the fundamentals of NYSE:MUSA?

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.

We assign a fundamental rating of 5 out of 10 to MUSA. MUSA was compared to 124 industry peers in the Specialty Retail industry. MUSA has an excellent profitability rating, but there are some minor concerns on its financial health. MUSA has a decent growth rate and is not valued too expensively.

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

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

Keep in mind

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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