Why quality investors should have a look at STELLANTIS NV (NYSE:STLA).

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 STELLANTIS NV (NYSE:STLA) is suited for quality investing. Investors should of course do their own research, but we spotted STELLANTIS NV showing up in our Caviar Cruise quality screen, so it may be worth spending some more time on it.

Key Considerations for Quality Investors.

• The 5-year revenue growth of STELLANTIS NV has been remarkable, with 11.18% increase. This showcases the company's strong performance in driving revenue growth and indicates its competitiveness within the market.
• The ROIC excluding cash and goodwill of STELLANTIS NV stands at 94.07%, 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.
• The Debt/Free Cash Flow Ratio of STELLANTIS NV stands at 2.04, 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.
• With a favorable Profit Quality (5-year) ratio of 457.0%, STELLANTIS NV showcases its ability to consistently deliver high-quality profits. This metric signifies the company's financial strength and its capacity to generate sustainable earnings over an extended period.
• With a robust 5-year EBIT growth of 28.9%, STELLANTIS NV showcases its ability to consistently expand its operating profitability. This trend indicates the company's effective cost management and revenue generation strategies.
• The EBIT 5-year growth of STELLANTIS NV has outpaced its Revenue 5-year growth, reflecting the company's focus on optimizing its profitability and generating sustainable earnings. This trend underscores its strong financial management.

Zooming in on the fundamentals.

ChartMill employs a sophisticated system to assign a Fundamental Rating to every stock in its analysis. This rating, which ranges from 0 to 10, is determined by carefully assessing multiple fundamental indicators and properties.

Overall STLA gets a fundamental rating of 7 out of 10. We evaluated STLA against 39 industry peers in the Automobiles industry. STLA has an excellent profitability rating, but there are some minor concerns on its financial health. STLA is valued quite cheap, while showing a decent growth score. This is a good combination! This makes STLA very considerable for value investing!

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

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

Disclaimer

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.