Why NYSE:TMHC qualifies as a quality stock.

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

Why NYSE:TMHC may be interesting for quality investors.

• Over the past 5 years, TAYLOR MORRISON HOME CORP has experienced impressive revenue growth, with 16.18% increase. This demonstrates the company's ability to effectively expand its top line and suggests a positive outlook for future revenue generation.
• With a notable ROIC excluding cash and goodwill at 18.24%, TAYLOR MORRISON HOME CORP 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.
• TAYLOR MORRISON HOME CORP demonstrates a well-balanced Debt/Free Cash Flow Ratio of 1.62, indicating effective debt management and strong cash flow generation. This ratio suggests the company has a sustainable financial position and the capacity to allocate capital efficiently.
• With a robust Profit Quality (5-year) ratio of 160.0%, TAYLOR MORRISON HOME CORP 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.
• TAYLOR MORRISON HOME CORP has experienced impressive EBIT growth over the past 5 years, with 32.43% increase. This reflects the company's effective operational performance and highlights its potential for long-term financial success.
• With EBIT 5-year growth outpacing its Revenue 5-year growth, TAYLOR MORRISON HOME CORP showcases its effective cost management and enhanced operational performance. This suggests the company's ability to generate higher earnings from its revenue streams.

What else is there to say on the fundamentals of NYSE:TMHC?

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.

TMHC gets a fundamental rating of 6 out of 10. The analysis compared the fundamentals against 67 industry peers in the Household Durables industry. TMHC has outstanding health and profitabily ratings, belonging to the best of the industry. This is a solid base for any company. TMHC scores decently on growth, while it is valued quite cheap. This could make an interesting combination. With these ratings, TMHC could be worth investigating further for value investing!.

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

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

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.