In this article we will dive into TETRA TECH INC (NASDAQ:TTEK) as a possible candidate for quality investing. Investors should always do their own research, but we noticed TETRA TECH INC showing up in our Caviar Cruise quality screen, which makes it worth to investigate a bit more.
Highlighting Notable Quality Metrics of NASDAQ:TTEK.
TETRA TECH INC has achieved substantial revenue growth over the past 5 years, with a 11.25% increase. This signifies the company's ability to successfully capture market opportunities and generate sustained revenue growth.
With a robust ROIC excluding cash and goodwill at 60.77%, TETRA TECH INC showcases its effective allocation of capital and operational excellence. This metric signifies the company's ability to generate attractive returns and supports its long-term financial performance.
TETRA TECH INC maintains a healthy Debt/Free Cash Flow Ratio of 2.89, 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.
The Profit Quality (5-year) of TETRA TECH INC stands at 128.0%, 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.
TETRA TECH INC has consistently achieved strong EBIT growth over the past 5 years, with a 16.48% increase. This underscores the company's effective management of its operating income and suggests a positive outlook for future profitability.
TETRA TECH INC 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.
What is the full fundamental picture of NASDAQ:TTEK telling us.
As part of its analysis, ChartMill provides a comprehensive Fundamental Rating for each stock. This rating, ranging from 0 to 10, is updated on a daily basis and is based on the evaluation of various fundamental indicators and properties.
We assign a fundamental rating of 5 out of 10 to TTEK. TTEK was compared to 84 industry peers in the Commercial Services & Supplies industry. While TTEK belongs to the best of the industry regarding profitability, there are some minor concerns on its financial health. TTEK is quite expensive at the moment. It does show a decent growth rate.
This article should in no way be interpreted as advice in any way. 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.