Why PARSONS CORP (NYSE:PSN) should be investigated by quality investors.

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 PARSONS CORP (NYSE:PSN) is suited for quality investing. Investors should of course do their own research, but we spotted PARSONS CORP showing up in our Caviar Cruise quality screen, so it may be worth spending some more time on it.

What matters for quality investors.

• The 5-year revenue growth of PARSONS CORP has been remarkable, with 9.2% 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 23.37%, 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.
• PARSONS CORP maintains a healthy Debt/Free Cash Flow Ratio of 4.03, 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.
• With a favorable Profit Quality (5-year) ratio of 223.0%, PARSONS CORP showcases its ability to consistently deliver high-quality profits. This metric signifies the company's financial strength and its capacity to generate sustainable earnings over an extended period.
• The 5-year EBIT growth of PARSONS CORP has been remarkable, with 23.04% increase. This demonstrates the company's ability to improve its operational efficiency and indicates its competitiveness within the market.
• PARSONS CORP demonstrates a remarkable trend where its EBIT 5-year growth exceeds its Revenue 5-year growth. This indicates the company's ability to enhance its profitability through improved cost control and operational efficiency.

Zooming in on the fundamentals.

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

Overall PSN gets a fundamental rating of 4 out of 10. We evaluated PSN against 80 industry peers in the Professional Services industry. PSN has only an average score on both its financial health and profitability. PSN is valued quite expensively, but it does show have an excellent growth rating.

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 article should in no way be interpreted as advice. 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.