Reasonable Growth, Debt Levels, and a High ROIC Make PARSONS CORP (NYSE:PSN) Appealing to Quality Investors.

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.

Some of the quality metrics of NYSE:PSN highlighted

• PARSONS CORP has achieved substantial revenue growth over the past 5 years, with a 9.2% increase. This signifies the company's ability to successfully capture market opportunities and generate sustained revenue growth.
• With a notable ROIC excluding cash and goodwill at 27.06%, 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.
• The Debt/Free Cash Flow Ratio of PARSONS CORP stands at 2.79, reflecting the company's prudent capital structure and cash flow dynamics. This ratio highlights the company's ability to generate robust free cash flow relative to its debt obligations.
• The Profit Quality (5-year) of PARSONS CORP stands at 223.0%, highlighting its ability to consistently generate reliable profits. This metric underscores the company's strong business fundamentals and reinforces its position as a financially stable entity.
• PARSONS CORP has demonstrated consistent growth in EBIT over the past 5 years, with a strong 23.04%. This signifies the company's ability to generate sustainable earnings and reflects its positive financial trajectory.
• PARSONS CORP 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.

What else is there to say on the fundamentals of NYSE:PSN?

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

We assign a fundamental rating of 5 out of 10 to PSN. PSN was compared to 80 industry peers in the Professional Services industry. PSN has an average financial health and profitability rating. PSN is valued quite expensive, but it does show an excellent growth. These ratings would make PSN suitable for growth investing!

Check the latest full fundamental report of PSN for a complete fundamental analysis.

Our Caviar Cruise screen will find you more ideas suited for quality investing.

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.