Why STELLANTIS NV (NYSE:STLA) should be investigated by quality investors.

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.

Why NYSE:STLA may be interesting for quality investors.

• Over the past 5 years, STELLANTIS NV has experienced impressive revenue growth, with 11.18% 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 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.
• With a favorable Debt/Free Cash Flow Ratio of 2.04, STELLANTIS NV showcases its sound financial discipline and cash flow management. This ratio indicates the company's ability to service its debt obligations while maintaining sufficient free cash flow for future investments or operational needs.
• With a robust Profit Quality (5-year) ratio of 457.0%, STELLANTIS NV 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.
• STELLANTIS NV has experienced impressive EBIT growth over the past 5 years, with 28.9% increase. This reflects the company's effective operational performance and highlights its potential for long-term financial success.
• STELLANTIS NV has achieved superior EBIT 5-year growth compared to its Revenue 5-year growth. This demonstrates the company's ability to maximize its profitability through effective cost management and operational strategies.

Fundamental Analysis Observations

Every day, ChartMill assigns a Fundamental Rating to each stock, providing a score ranging from 0 to 10. This rating is determined by evaluating various fundamental indicators and properties.

We assign a fundamental rating of 7 out of 10 to STLA. STLA was compared to 41 industry peers in the Automobiles industry. Both the health and profitability get an excellent rating, making STLA a very profitable company, without any liquidiy or solvency issues. A decent growth rate in combination with a cheap valuation! Better keep an eye on STLA. This makes STLA very considerable for value and quality investing!

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

More quality stocks can be found in our Caviar Cruise screen.

Disclaimer

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.