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PARSONS CORP (NYSE:PSN) Exhibits Quality Stock Traits. Here's Why.

By Mill Chart

Last update: Dec 5, 2023

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

Exploring Why NYSE:PSN Holds Appeal for Quality Investors.

  • The 5-year revenue growth of PARSONS CORP has been remarkable, with 6.82% increase. This showcases the company's strong performance in driving revenue growth and indicates its competitiveness within the market.
  • With a notable ROIC excluding cash and goodwill at 18.65%, PARSONS CORP demonstrates its commitment to generating sustainable returns for shareholders. This metric emphasizes the company's effective use of capital and its ability to deliver long-term value.
  • With a Debt/Free Cash Flow Ratio of 3.12, PARSONS CORP exhibits solid financial health and responsible debt management practices. This ratio indicates the company's ability to generate ample free cash flow to meet its debt obligations and pursue growth opportunities.
  • PARSONS CORP demonstrates consistent Profit Quality over the past 5 years, with a strong 200.0%. This indicates the company's ability to generate sustainable and reliable profits, showcasing its long-term profitability and financial stability.
  • PARSONS CORP has consistently achieved strong EBIT growth over the past 5 years, with a 8.84% increase. This underscores the company's effective management of its operating income and suggests a positive outlook for future profitability.
  • PARSONS CORP 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.

Fundamental Analysis Observations

Every day ChartMill assigns a Fundamental Rating to every stock. The score ranges from 0 to 10 and is determined by evaluating multiple fundamental indicators and properties.

PSN gets a fundamental rating of 4 out of 10. The analysis compared the fundamentals against 79 industry peers in the Professional Services industry. PSN has an average financial health and profitability rating. PSN is valied quite expensively at the moment, while it does show a decent growth rate.

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

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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