News Image

CECO ENVIRONMENTAL CORP (NASDAQ:CECO) can be considered a quality stock. Here's why.

By Mill Chart

Last update: Apr 11, 2024

In this article we will dive into CECO ENVIRONMENTAL CORP (NASDAQ:CECO) as a possible candidate for quality investing. Investors should always do their own research, but we noticed CECO ENVIRONMENTAL CORP showing up in our Caviar Cruise quality screen, which makes it worth to investigate a bit more.

Looking into the quality metrics of CECO ENVIRONMENTAL CORP

  • Over the past 5 years, CECO ENVIRONMENTAL CORP has experienced impressive revenue growth, with 10.07% increase. This demonstrates the company's ability to effectively expand its top line and suggests a positive outlook for future revenue generation.
  • The ROIC excluding cash and goodwill of CECO ENVIRONMENTAL CORP stands at 39.05%, 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 3.85, CECO ENVIRONMENTAL CORP 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.
  • CECO ENVIRONMENTAL CORP exhibits impressive Profit Quality (5-year) with a 245.0% 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.
  • CECO ENVIRONMENTAL CORP has consistently achieved strong EBIT growth over the past 5 years, with a 23.1% increase. This underscores the company's effective management of its operating income and suggests a positive outlook for future profitability.
  • CECO ENVIRONMENTAL CORP 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.

What else is there to say on the fundamentals of NASDAQ:CECO?

At ChartMill, a crucial aspect of their analysis is the assignment of a Fundamental Rating to each stock. This rating, ranging from 0 to 10, is calculated daily by considering numerous fundamental indicators and properties.

We assign a fundamental rating of 5 out of 10 to CECO. CECO was compared to 84 industry peers in the Commercial Services & Supplies industry. CECO has only an average score on both its financial health and profitability. CECO is not overvalued while it is showing excellent growth. This is an interesting combination.

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

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

Keep in mind

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.

Back

CECO ENVIRONMENTAL CORP

NASDAQ:CECO (5/29/2024, 7:00:00 PM)

After market: 25.14 0 (0%)

25.14

-0.41 (-1.6%)

CECO News

News Image3 hours ago - ChartmillShould Quality-Oriented Investors Explore CECO ENVIRONMENTAL CORP (NASDAQ:CECO)?

Reasonable Growth, Debt Levels, and a High ROIC Make CECO ENVIRONMENTAL CORP (NASDAQ:CECO) Appealing to Quality Investors.

News Image17 days ago - CECO Environmental Corp.CECO Environmental Announces Upcoming Investor Conferences
News Image17 days ago - CECO Environmental Corp.CECO Environmental Announces Upcoming Investor Conferences

CECO presenting at May & June 2024 investor conferences....

News Imagea month ago - Market News VideoThursday 5/2 Insider Buying Report: CECO, AXR
News Imagea month ago - InvestorPlaceCECO Stock Earnings: CECO Environmental Meets EPS, Misses Revenue for Q1 2024

CECO stock results show that CECO Environmental met analyst estimates for earnings per share but missed on revenue for the first quarter of 2024.

News Imagea month ago - BusinessInsiderCECO Stock Earnings: CECO Environmental Meets EPS, Misses Revenue for Q1 2024

InvestorPlace - Stock Market News, Stock Advice & Trading Tips CECO Environmental (NASDAQ:CECO) just reported results for the first quarter of...

News Imagea month ago - CECO Environmental Corp.CECO Environmental Reports First Quarter 2024 Results
News Imagea month ago - CECO Environmental Corp.CECO Environmental Reports First Quarter 2024 Results

Q1 2024 Earnings Release...

News Imagea month ago - CECO Environmental Corp.CECO Environmental to Release First Quarter Earnings and Host Conference Call on April 30
News Imagea month ago - CECO Environmental Corp.CECO Environmental to Release First Quarter Earnings and Host Conference Call on April 30

Announcing Q1'24 release date and teleconference....

News Image2 months ago - InvestorPlace7 Small-Cap Stocks for the Thinking Speculator

While these small-cap stocks may be miles away from Wall Street’s spotlight, they’re compelling enough to deliver some big surprises.

News Image3 months ago - CECO Environmental Corp.Ceco Environmental to Participate in the 36th Annual Roth Conference on March 18

DALLAS, March 11, 2024 (GLOBE NEWSWIRE) -- CECO Environmental Corp. (Nasdaq: CECO), a leading environmentally focused, diversified industrial company...

CECO Links
Follow us for more