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Why MUELLER INDUSTRIES INC (NYSE:MLI) should be investigated by quality investors.

By Mill Chart

Last update: May 15, 2024

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

What matters for quality investors.

  • The 5-year revenue growth of MUELLER INDUSTRIES INC has been remarkable, with 6.4% increase. This showcases the company's strong performance in driving revenue growth and indicates its competitiveness within the market.
  • With a notable ROIC excluding cash and goodwill at 52.4%, MUELLER INDUSTRIES 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.
  • The Debt/Free Cash Flow Ratio of MUELLER INDUSTRIES INC stands at 0.0, reflecting the company's prudent capital structure and cash flow dynamics. This ratio highlights the company's ability to generate robust free cash flow relative to its debt obligations.
  • MUELLER INDUSTRIES INC exhibits impressive Profit Quality (5-year) with a 116.0% 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.
  • The 5-year EBIT growth of MUELLER INDUSTRIES INC has been remarkable, with 34.39% increase. This demonstrates the company's ability to improve its operational efficiency and indicates its competitiveness within the market.
  • MUELLER INDUSTRIES 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.

Zooming in on the fundamentals.

Every day ChartMill assigns a Fundamental Rating to every stock. The score ranges from 0 to 10 and is determined by evaluating multiple fundamental indicators and properties.

MLI gets a fundamental rating of 7 out of 10. The analysis compared the fundamentals against 132 industry peers in the Machinery industry. MLI scores excellent points on both the profitability and health parts. This is a solid base for a good stock. MLI has a valuation in line with the averages, but it does not seem to be growing.

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

More ideas for quality investing can be found on ChartMill 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.

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