Is IDEXX LABORATORIES INC (NASDAQ:IDXX) 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 IDEXX LABORATORIES INC (NASDAQ:IDXX) is suited for quality investing. Investors should of course do their own research, but we spotted IDEXX LABORATORIES 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.

• IDXX has demonstrated significant revenue growth over the past 5 years, with a 10.12% increase. This underscores the company's ability to adapt to market dynamics and capitalize on growth opportunities.
• The ROIC excluding cash and goodwill of IDXX stands at 53.23%, 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.
• IDXX demonstrates a well-balanced Debt/Free Cash Flow Ratio of 1.12, 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.
• IDXX demonstrates consistent Profit Quality over the past 5 years, with a strong 83.23%. This indicates the company's ability to generate sustainable and reliable profits, showcasing its long-term profitability and financial stability.
• With a robust 5-year EBIT growth of 15.38%, IDXX showcases its ability to consistently expand its operating profitability. This trend indicates the company's effective cost management and revenue generation strategies.
• IDXX 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.

What else is there to say on the fundamentals of IDXX?

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.

Overall IDXX gets a fundamental rating of 7 out of 10. We evaluated IDXX against 189 industry peers in the Health Care Equipment & Supplies industry. IDXX scores excellent points on both the profitability and health parts. This is a solid base for a good stock. IDXX has a correct valuation and a medium growth rate. These ratings could make IDXX a good candidate for quality investing.

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

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.