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Examining the Quality Attributes of NYSE:PHM.

By Mill Chart

Last update: Aug 9, 2024

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.


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What matters for quality investors.

  • 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.
  • PULTEGROUP INC exhibits a strong ROIC excluding cash and goodwill, indicating efficient capital utilization and profitable operations. The 26.08% reflects the company's ability to generate returns on invested capital and underscores its commitment to delivering value to shareholders.
  • PULTEGROUP INC maintains a healthy Debt/Free Cash Flow Ratio of 1.67, 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.
  • PULTEGROUP INC demonstrates consistent Profit Quality over the past 5 years, with a strong 75.16%. This indicates the company's ability to generate sustainable and reliable profits, showcasing its long-term profitability and financial stability.
  • PULTEGROUP INC has demonstrated consistent growth in EBIT over the past 5 years, with a strong 20.38%. This signifies the company's ability to generate sustainable earnings and reflects its positive financial trajectory.
  • With EBIT 5-year growth outpacing its Revenue 5-year growth, PULTEGROUP INC showcases its effective cost management and enhanced operational performance. This suggests the company's ability to generate higher earnings from its revenue streams.

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

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.

PHM gets a fundamental rating of 7 out of 10. The analysis compared the fundamentals against 67 industry peers in the Household Durables industry. PHM scores excellent points on both the profitability and health parts. This is a solid base for a good stock. 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!.

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

More quality stocks can be found in our Caviar Cruise screen.

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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