Reasonable Growth, Debt Levels, and a High ROIC Make STELLANTIS NV (NYSE:STLA) Appealing to 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.

Looking into the quality metrics of STELLANTIS NV

• STELLANTIS NV has shown strong performance in revenue growth over the past 5 years, with a 11.41% increase. This indicates the company's ability to generate consistent revenue growth and reflects its potential for long-term success.
• With a robust ROIC excluding cash and goodwill at 74.86%, STELLANTIS NV showcases its effective allocation of capital and operational excellence. This metric signifies the company's ability to generate attractive returns and supports its long-term financial performance.
• With a Debt/Free Cash Flow Ratio of 2.43, STELLANTIS NV exhibits solid financial health and responsible debt management practices. This ratio indicates the company's ability to generate ample free cash flow to meet its debt obligations and pursue growth opportunities.
• STELLANTIS NV exhibits impressive Profit Quality (5-year) with a 449.0% 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.
• STELLANTIS NV has demonstrated consistent growth in EBIT over the past 5 years, with a strong 31.28%. This signifies the company's ability to generate sustainable earnings and reflects its positive financial trajectory.
• STELLANTIS NV 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.

Fundamental Analysis Observations

As part of its analysis, ChartMill provides a comprehensive Fundamental Rating for each stock. This rating, ranging from 0 to 10, is updated on a daily basis and is based on the evaluation of various fundamental indicators and properties.

We assign a fundamental rating of 7 out of 10 to STLA. STLA was compared to 40 industry peers in the Automobiles industry. STLA has outstanding health and profitabily ratings, belonging to the best of the industry. This is a solid base for any company. A decent growth rate in combination with a cheap valuation! Better keep an eye on STLA. STLA also has an excellent dividend rating. This makes STLA very considerable for value and dividend investing!

Our latest full fundamental report of STLA contains the most current fundamental analsysis.

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

Disclaimer

Important Note: The content of this article is not intended as trading advice. It is essential to perform your own analysis and exercise caution when making trading decisions. The article presents observations created by automated analysis but does not guarantee any trading or investment outcomes. Always trade responsibly and make independent judgments.