Is NASDAQ:UFPT suited for quality investing?

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

What matters for quality investors.

• UFP TECHNOLOGIES INC has demonstrated significant revenue growth over the past 5 years, with a 16.0% increase. This underscores the company's ability to adapt to market dynamics and capitalize on growth opportunities.
• The ROIC excluding cash and goodwill of UFP TECHNOLOGIES INC stands at 29.46%, reflecting the company's strong financial management and profitability. This metric underscores its ability to generate favorable returns on the capital invested in its core operations.
• With a favorable Debt/Free Cash Flow Ratio of 0.85, UFP TECHNOLOGIES INC showcases its sound financial discipline and cash flow management. This ratio indicates the company's ability to service its debt obligations while maintaining sufficient free cash flow for future investments or operational needs.
• The Profit Quality (5-year) of UFP TECHNOLOGIES INC stands at 83.37%, 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.
• The 5-year EBIT growth of UFP TECHNOLOGIES INC has been remarkable, with 22.92% increase. This demonstrates the company's ability to improve its operational efficiency and indicates its competitiveness within the market.
• UFP TECHNOLOGIES INC 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.

How does the complete fundamental picture look for NASDAQ:UFPT?

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 6 out of 10 to UFPT. UFPT was compared to 191 industry peers in the Health Care Equipment & Supplies industry. UFPT scores excellent points on both the profitability and health parts. This is a solid base for a good stock. UFPT has a decent growth rate and is not valued too expensively. These ratings could make UFPT a good candidate for quality investing.

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

More ideas for quality investing can be found on ChartMill 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.