Should you consider NASDAQ:TTEK for quality investing?

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.

Some of the quality metrics of NASDAQ:TTEK highlighted

• TETRA TECH INC has demonstrated significant revenue growth over the past 5 years, with a 11.25% increase. This underscores the company's ability to adapt to market dynamics and capitalize on growth opportunities.
• With a robust ROIC excluding cash and goodwill at 64.36%, 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 demonstrates a well-balanced Debt/Free Cash Flow Ratio of 2.77, indicating effective debt management and strong cash flow generation. This ratio suggests the company has a sustainable financial position and the capacity to allocate capital efficiently.
• TETRA TECH INC demonstrates consistent Profit Quality over the past 5 years, with a strong 128.0%. This indicates the company's ability to generate sustainable and reliable profits, showcasing its long-term profitability and financial stability.
• TETRA TECH INC has demonstrated consistent growth in EBIT over the past 5 years, with a strong 16.48%. This signifies the company's ability to generate sustainable earnings and reflects its positive financial trajectory.
• TETRA TECH INC 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.

Zooming in on the fundamentals.

Every day, ChartMill assigns a Fundamental Rating to each stock, providing a score ranging from 0 to 10. This rating is determined by evaluating various fundamental indicators and properties.

Taking everything into account, TTEK scores 6 out of 10 in our fundamental rating. TTEK was compared to 85 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 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 TTEK

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

Keep in mind

Important Note: The content of this article is not intended as trading advice. It is essential to perform your own analysis and exercise caution when making trading decisions. The article presents observations created by automated analysis but does not guarantee any trading or investment outcomes. Always trade responsibly and make independent judgments.