Analyzing the Quality Characteristics of KFORCE INC (NASDAQ:KFRC).

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 KFORCE INC (NASDAQ:KFRC) is suited for quality investing. Investors should of course do their own research, but we spotted KFORCE 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 KFORCE INC

• Over the past 5 years, KFORCE INC has experienced impressive revenue growth, with 6.42% 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 KFORCE INC stands at 31.85%, 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.
• KFORCE INC demonstrates a well-balanced Debt/Free Cash Flow Ratio of 0.3, 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.
• The Profit Quality (5-year) of KFORCE INC stands at 113.0%, 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.
• KFORCE INC has experienced impressive EBIT growth over the past 5 years, with 14.27% increase. This reflects the company's effective operational performance and highlights its potential for long-term financial success.
• KFORCE 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.

Fundamental analysis of NASDAQ:KFRC

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.

Taking everything into account, KFRC scores 6 out of 10 in our fundamental rating. KFRC was compared to 78 industry peers in the Professional Services industry. KFRC gets an excellent profitability rating and is at the same time showing great financial health properties. KFRC has a valuation in line with the averages, but on the other hand it scores bad on growth.

Check the latest full fundamental report of KFRC for a complete fundamental analysis.

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

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.