Why the quality investor may take a look at BADGER METER INC (NYSE:BMI).

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

Looking into the quality metrics of BADGER METER INC

• BADGER METER INC has demonstrated significant revenue growth over the past 5 years, with a 7.04% increase. This underscores the company's ability to adapt to market dynamics and capitalize on growth opportunities.
• With a notable ROIC excluding cash and goodwill at 34.02%, BADGER METER INC 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.
• With a Debt/Free Cash Flow Ratio of 0.0, BADGER METER INC exhibits solid financial health and responsible debt management practices. This ratio indicates the company's ability to generate ample free cash flow to meet its debt obligations and pursue growth opportunities.
• BADGER METER INC exhibits impressive Profit Quality (5-year) with a 150.0% ratio, reflecting its consistent ability to generate high-quality profits. This metric underscores the company's strong financial performance and commitment to delivering sustainable earnings.
• BADGER METER INC has demonstrated consistent growth in EBIT over the past 5 years, with a strong 9.05%. This signifies the company's ability to generate sustainable earnings and reflects its positive financial trajectory.
• The EBIT 5-year growth of BADGER METER INC has outpaced its Revenue 5-year growth, reflecting the company's focus on optimizing its profitability and generating sustainable earnings. This trend underscores its strong financial management.

Zooming in on the fundamentals.

ChartMill assigns a proprietary Fundamental Rating to each stock. The score is computed daily by evaluating various fundamental indicators and properties. The score ranges from 0 to 10.

We assign a fundamental rating of 7 out of 10 to BMI. BMI was compared to 127 industry peers in the Electronic Equipment, Instruments & Components industry. BMI gets an excellent profitability rating and is at the same time showing great financial health properties. BMI is valied quite expensively at the moment, while it does show a decent growth rate. This makes BMI very considerable for quality investing!

Our latest full fundamental report of BMI contains the most current fundamental analsysis.

More quality stocks can be found in our Caviar Cruise screen.

Keep in mind

This is not investing advice! The article highlights some of the observations at the time of writing, but you should always make your own analysis and invest based on your own insights.