Quality investors are looking for the best of the best. Companies which are growing steadily and consistently, but are also in excellent financial condition. We will have a look here to see if PULTEGROUP INC (NYSE:PHM) is suited for quality investing. Investors should of course do their own research, but we spotted PULTEGROUP INC showing up in our Caviar Cruise quality screen, so it may be worth spending some more time on it.
Highlighting Notable Quality Metrics of NYSE:PHM.
The 5-year revenue growth of PULTEGROUP INC has been remarkable, with 9.53% increase. This showcases the company's strong performance in driving revenue growth and indicates its competitiveness within the market.
The ROIC excluding cash and goodwill of PULTEGROUP INC stands at 26.31%, 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.
With a favorable Debt/Free Cash Flow Ratio of 1.17, 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 75.16% 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.
PULTEGROUP INC has consistently achieved strong EBIT growth over the past 5 years, with a 20.38% increase. This underscores the company's effective management of its operating income and suggests a positive outlook for future profitability.
The EBIT 5-year growth of PULTEGROUP 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.
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.
Taking everything into account, PHM scores 7 out of 10 in our fundamental rating. PHM was compared to 68 industry peers in the Household Durables industry. PHM gets an excellent profitability rating and is at the same time showing great financial health properties. PHM is not valued too expensively and it also shows a decent growth rate.
More ideas for quality investing can be found on ChartMill in our Caviar Cruise screen.
Keep in mind
Important Note: The content of this article is not intended as trading advice. It is essential to perform your own analysis and exercise caution when making trading decisions. The article presents observations created by automated analysis but does not guarantee any trading or investment outcomes. Always trade responsibly and make independent judgments.