Why the quality investor may take a look at NYSE:NVR.

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

Looking into the quality metrics of NVR INC

• Over the past 5 years, NVR INC has experienced impressive revenue growth, with 10.85% increase. This demonstrates the company's ability to effectively expand its top line and suggests a positive outlook for future revenue generation.
• NVR INC demonstrates impressive performance in terms of ROIC excluding cash and goodwill, with a 144.0% ratio. This highlights the company's efficient utilization of capital and its focus on maximizing returns for investors.
• NVR INC demonstrates a well-balanced Debt/Free Cash Flow Ratio of 0.52, 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.
• NVR INC exhibits impressive Profit Quality (5-year) with a 98.3% 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.
• NVR INC has consistently achieved strong EBIT growth over the past 5 years, with a 21.35% increase. This underscores the company's effective management of its operating income and suggests a positive outlook for future profitability.
• NVR 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.

How does the complete fundamental picture look for NYSE:NVR?

At ChartMill, a crucial aspect of their analysis is the assignment of a Fundamental Rating to each stock. This rating, ranging from 0 to 10, is calculated daily by considering numerous fundamental indicators and properties.

NVR gets a fundamental rating of 7 out of 10. The analysis compared the fundamentals against 67 industry peers in the Household Durables industry. NVR has outstanding health and profitabily ratings, belonging to the best of the industry. This is a solid base for any company. NVR is not valued too expensively and it also shows a decent growth rate.

For an up to date full fundamental analysis you can check the fundamental report of NVR

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

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.