News Image

Is NYSE:PHM suited for quality investing?

By Mill Chart

Last update: Jan 31, 2024

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

A Deep Dive into PULTEGROUP INC's Quality Metrics.

  • PULTEGROUP INC has shown strong performance in revenue growth over the past 5 years, with a 13.61% increase. This indicates the company's ability to generate consistent revenue growth and reflects its potential for long-term success.
  • PULTEGROUP INC demonstrates impressive performance in terms of ROIC excluding cash and goodwill, with a 29.46% ratio. This highlights the company's efficient utilization of capital and its focus on maximizing returns for investors.
  • With a favorable Debt/Free Cash Flow Ratio of 0.86, PULTEGROUP 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.
  • PULTEGROUP INC exhibits impressive Profit Quality (5-year) with a 86.41% 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.
  • The 5-year EBIT growth of PULTEGROUP INC has been remarkable, with 29.38% increase. This demonstrates the company's ability to improve its operational efficiency and indicates its competitiveness within the market.
  • PULTEGROUP INC has achieved impressive EBIT 5-year growth, surpassing its Revenue 5-year growth. This indicates the company's ability to improve its profitability and operational efficiency, highlighting its strong financial performance.

Fundamental Analysis Observations

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.

Overall PHM gets a fundamental rating of 7 out of 10. We evaluated PHM against 68 industry peers in the Household Durables industry. PHM has outstanding health and profitabily ratings, belonging to the best of the industry. This is a solid base for any company. PHM may be a bit undervalued, certainly considering the very reasonable score on growth With these ratings, PHM could be worth investigating further for value and quality investing!.

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

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 in any way. 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.

Back