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Why NYSE:MUSA qualifies as a quality stock.

By Mill Chart

Last update: Apr 17, 2024

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

Highlighting Notable Quality Metrics of NYSE:MUSA.

  • The 5-year revenue growth of MURPHY USA INC has been remarkable, with 8.43% increase. This showcases the company's strong performance in driving revenue growth and indicates its competitiveness within the market.
  • MURPHY USA INC exhibits a strong ROIC excluding cash and goodwill, indicating efficient capital utilization and profitable operations. The 21.85% reflects the company's ability to generate returns on invested capital and underscores its commitment to delivering value to shareholders.
  • MURPHY USA INC maintains a healthy Debt/Free Cash Flow Ratio of 4.01, indicating a strong financial position and prudent debt management. This ratio suggests the company has sufficient free cash flow to cover its debt obligations and highlights its ability to generate cash from operations.
  • With a robust Profit Quality (5-year) ratio of 91.16%, MURPHY USA INC highlights its ability to consistently generate high-quality profits. This metric reflects the company's effective management and operational excellence in delivering reliable earnings over the long term.
  • MURPHY USA INC has consistently achieved strong EBIT growth over the past 5 years, with a 24.54% increase. This underscores the company's effective management of its operating income and suggests a positive outlook for future profitability.
  • MURPHY USA INC 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 is the full fundamental picture of NYSE:MUSA telling us.

ChartMill assigns a Fundamental Rating to every stock. This score, ranging from 0 to 10, is updated daily and is determined by evaluating multiple fundamental indicators and properties.

MUSA gets a fundamental rating of 5 out of 10. The analysis compared the fundamentals against 125 industry peers in the Specialty Retail industry. While MUSA belongs to the best of the industry regarding profitability, there are some minor concerns on its financial health. MUSA has a correct valuation and a medium growth rate.

Check the latest full fundamental report of MUSA 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.

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