From 2024 to the first quarter of 2025, the U.S. Treasury yield curve reflects a broad decline in short-term yields, while longer-term yields remain stable or see slight increases. The most significant drops occurred in the 1-month, 3-month, and 6-month Treasury rates, which fell by 1.19, 1.12, and 1.07 percentage points, respectively. This pattern suggests expectations of monetary policy easing or a more cautious economic outlook in the near term. The 1-year and 2-year yields also decreased, reinforcing sentiment that interest rates may trend lower over the short horizon. In contrast, longer-term yields such as the 10-year, 20-year, and 30-year either remained steady or rose slightly—by 0.02, 0.04, and 0.08 percentage points, respectively—potentially indicating anchored long-term inflation expectations or increased term premiums. The money supply data also signals notable expansion. M1 money supply increased from 17,943.3 billion USD to 18,531.3 billion USD, representing a 3.28% growth. M2 money supply rose from 20,773.3 billion USD to 21,671.0 billion USD, an increase of approximately 4.32%. This steady rise in liquidity may reflect a more accommodative monetary environment, possibly intended to support economic activity or ensure sufficient credit availability amid macroeconomic uncertainty. Overall, the data points to a shift in policy stance and market expectations, with falling short-term yields and rising money supply supporting a more stimulative approach in early 2025. Between January 1, 2024, and April 14, 2025, the U.S. labor market showed resilience and moderate growth. Payroll employment increased by 228,000 in March 2025, reflecting steady job creation. The unemployment rate remained relatively stable at 4.2%, indicating a balanced labor market. Real average hourly earnings saw a slight rise of 0.3% in March 2025, suggesting gradual improvement in wage growth. However, jobless rates increased in 255 out of 387 metropolitan areas over the year, highlighting regional disparities. Overall, the data suggests a labor market that is recovering steadily, with challenges in certain areas. Gold prices have shown significant movement between January 1, 2024, and April 14, 2025. 2024: Gold prices started the year strong, driven by global economic uncertainties and geopolitical tensions. By the end of 2024, gold had risen approximately 28.7%, reaching a closing price of $2,656.35. 2025: The upward trend continued into 2025, with gold prices increasing by 13.95% year-to-date as of April 2025. The price reached $3,000 per ounce in early April, reflecting heightened demand for safe-haven assets amid ongoing trade disputes and inflation concerns.

Between early 2024 and April 2025, key economic indicators—the CPI, Commodities Index, and S&P 500—revealed important trends in inflation, market demand, and investor sentiment. The Consumer Price Index (CPI) showed steady growth, rising by approximately 3.69%, signaling ongoing inflationary pressure. The Commodities Index experienced slower growth, increasing just 1.73%, which may point to modest demand for raw materials during the period. In contrast, the S&P 500 saw notable volatility: it surged by nearly 24% by the end of 2024 before correcting in early 2025, resulting in a net gain of about 13.08% from January 2024. Together, these movements highlight evolving economic conditions and shifting market dynamics over the 15-month span.

And the U.S. gross domestic product (GDP) is still growing.

Identified companies 2025 Q1.

This time a diverse group of companies with lasting growth potential was identified (by the algorithm) that spans a broad range of industries, showcasing the strength and versatility of the U.S. and global economies. Technology and software are well represented with leaders like Adobe Inc., Mastercard Inc., PayPal Holdings, Inc., and Check Point Software Technologies Ltd, offering everything from cybersecurity to digital payments and creative software. The healthcare and life sciences sector includes powerhouses like IDEXX Laboratories, Zoetis Inc., IQVIA Holdings Inc., Medpace Holdings, and Neurocrine Biosciences, while energy and utilities are covered by firms like Xcel Energy Inc., Ameren Corp, Southern Co, and Duke Energy. The industrial and manufacturing space includes AMETEK Inc, Hubbell Inc, Trane Technologies, and Howmet Aerospace, along with specialized firms like Westinghouse Air Brake Technologies and Curtiss-Wright. Financial services range from insurance (Assurant, Brown & Brown, Skyward Specialty) and banking (BancFirst Corp, Stock Yards Bancorp) to investment platforms like CME Group, Cboe Global Markets, and Interactive Brokers. Consumer-facing companies such as Texas Roadhouse, Cheesecake Factory, Lululemon Athletica, and Burlington Stores highlight strength in retail and dining, while niche players like Ollie’s Bargain Outlet, Acushnet (golf products), and Inter Parfums (fragrances) show sectoral depth. Real estate and infrastructure are present through firms like Gaming & Leisure Properties and EastGroup Properties. Environmental and water-related services are handled by companies like Waste Management, American Water Works, Ecolab, and Xylem. This list collectively reflects innovation, reliability, and growth across industries including aerospace, construction, defense, semiconductors, logistics, education, and telecommunications, with companies like L3Harris Technologies, BWX Technologies, ARMSTRONG, Eaton, and T-Mobile US pushing boundaries in their respective fields. This list is not exhaustive.

Check Point Software Technologies Ltd. 

Company Summary

Check Point Software Technologies Ltd. is a global leader in cybersecurity solutions, offering a comprehensive range of products and services to protect organizations from cyber threats. Their portfolio includes network security, endpoint security, cloud security, mobile security, data security, and security management. With a strong focus on innovation, Check Point continues to address the evolving challenges of the cybersecurity landscape, ensuring robust protection for its clients worldwide.

Performance

Check Point’s financial performance reflects its solid market position and has a Price-to-Earnings (PE) ratio of 29. Insider activity shows confidence in the company’s growth, supported by strategic repurchases Return on assets 10 % and return on equity 30 % further highlight efficient resource utilization and shareholder value creation.

Quality of Earnings

The quality of earnings at Check Point Software Technologies Ltd. is of high-quality.
Quality of revenue can be self checked with this questionnaire:
Quality of Revenue
Conclusions were based on an annual report:
FORM 20-F

IDACORP, Inc.

Company Summary

IDACORP Inc. is a diversified energy company providing reliable and sustainable services across various sectors. Some of insiders are acquiring company stock likely as a compensation (routine insider activity). With its primary focus on electric utility operations, IDACORP Inc. serves numerous customers through innovative energy solutions, balancing environmental responsibility with operational efficiency. The company remains dedicated to delivering long-term value to its stakeholders. The main shortcomings at this point of this company are limited growth potential, no clear repurchase strategy (to some extent compensated with dividends), critical audit matter in financial statements, and off-balance sheet arrangements.

Performance

IDACORP remains committed to delivering competitive total returns and long-term value to its shareholders, with a strategic focus on Idaho Power as its core business and primary contributor to operating results. In 2024, IDACORP achieved its seventeenth consecutive year of net income growth, while Idaho Power experienced significant customer and sales growth, setting new records for retail electricity sales and peak demand. Regulatory successes included rate increases approved by both the Idaho and Oregon public utility commissions, expected to generate additional annual revenues of $50.1 million and $6.7 million, respectively. Idaho Power continued to provide reliable service, maintaining 99.96 percent uninterrupted delivery, and achieved strong third-party ratings in customer satisfaction for both residential and business segments. Reflecting confidence in its financial strength, IDACORP’s board approved a dividend increase in September 2024, raising the quarterly cash dividend from $0.83 to $0.86 per share—part of a 187 percent total increase over the past thirteen years. IDACORP Inc.’s has a Price-to-Earnings (PE) ratio of 21, reflecting a solid market position and investor confidence. The return on assets (ROA) is 2 %, indicating efficient utilization of resources, while the return on equity (ROE) at 9 % reflects strong value creation for shareholders. Moreover, the trailing PE ratio is 21, with the price-to-book ratio at 1.90. IDACORP did not repurchase any shares of its common stock during the fourth quarter of 2024.

Quality of Earnings

The company demonstrates adherence to General Accounting Principles, with financial reports that conform to GAAP, are decision-useful, sustainable, and offer returns exceeding the cost of capital. There have been no recent changes to accounting policies, and all required financial reports are submitted on time. Revenue quality is also robust, marked by high predictability. Additionally, there are no significant financial report warning signs: earnings contain minimal accrual components, do not narrowly beat benchmarks in a suspicious pattern, and revenue is not recognized prematurely. Expenses are not misrepresented, audit opinions are unqualified, goodwill is properly assessed, and the company does not rely on aggressive accounting tactics such as related-party transactions. Operating cash flows align with net income, earnings are recurring and persistent. The Auditor issued a critical audit matter: “communicated below is a matter arising from the current-period audit of the financial statements that was communicated or required to be communicated to the audit committee and that (1) relates to accounts or disclosures that are material to the financial statements and (2) involved our especially challenging, subjective, or complex judgments. The communication of critical audit matters does not alter in any way our opinion on the financial statements, taken as a whole, and we are not, by communicating the critical audit matter below, providing a separate opinion on the critical audit matter or on the accounts or disclosures to which it relates”. IDACORP’s and Idaho Power’s off-balance sheet arrangements as of December 31, 2024, include guarantees of Idaho Power’s portion of reclamation activities and obligations at BCC, of which IERCo owns a one-third interest.
Quality of revenue can be self checked with this questionnaire:
Quality of Revenue
Conclusions were based on an annual report:
FORM 10-K

IDEXX LABORATORIES INC /DE

Company Summary

IDEXX Laboratories, founded in Delaware in 1983, develops and delivers diagnostic products and services primarily for the veterinary, livestock, poultry, dairy, and water testing industries, with additional offerings in human medical diagnostics. Its key products include veterinary diagnostic instruments and test kits, reference lab services, practice management systems, and health monitoring tools for animals and water quality. IDEXX aims to create long-term value by promoting the health and well-being of pets, people, and livestock.

Performance

IDEXX Laboratories Inc. (IDEXX) demonstrates strong financial performance, with a price-to-earnings (P/E) ratio of 38, indicating investor confidence and growth expectations. The company reports a robust trailing earnings per share (EPS) of 10.67. Although it does not currently offer a dividend yield, IDEXX shows impressive profitability metrics, with a return on assets (ROA) of 23% and a return on equity (ROE) of 58%, reflecting efficient use of assets and strong shareholder returns. As of December 31, 2024, the Board of Directors had authorized the repurchase of up to 78 million shares of the Company’s common stock through open market transactions. Routine insider activity.

Quality of Earnings

The company demonstrates adherence to General Accounting Principles, with financial reports that conform to GAAP, are decision-useful, sustainable, and offer returns exceeding the cost of capital. There have been no recent changes to accounting policies, and all required financial reports are submitted on time. Revenue quality is also robust, marked by high predictability—with a substantial portion of clients returning year after year. Additionally, there are no significant financial report warning signs: earnings contain minimal accrual components, do not narrowly beat benchmarks in a suspicious pattern, and revenue is not recognized prematurely. Goodwill is properly assessed, and the company does not rely on aggressive accounting tactics such as related-party transactions or off-balance-sheet debt. Operating cash flows align with net income, earnings are recurring and persistent, and there is no history of restatements or enforcement actions, reinforcing the reliability and quality of the company’s financial reporting. The critical audit matter identified in IDEXX’s 2024 audit relates to revenue recognition from certain product and service revenues, which totaled $3.9 billion. Due to the complexity and judgment involved in determining when performance obligations are satisfied and revenue should be recognized, this area required significant auditor effort. The audit procedures included testing internal controls over revenue recognition and verifying the accuracy of revenue transactions through review of contracts, invoices, delivery confirmations, and payment receipts to ensure revenue was recorded appropriately.
Quality of revenue can be self checked with this questionnaire:
Quality of Revenue
Conclusions were based on an annual report:
FORM 10-K

Grand Canyon Education, Inc.

Company Summary

Grand Canyon Education, Inc. (GCE), a Delaware-based publicly traded education services company, provides large-scale support to colleges and universities through advanced technology, infrastructure, and operations. Its primary partner is Grand Canyon University (GCU), a nonprofit institution in Arizona with over 123,100 students enrolled across online and on-campus programs. As of December 31, 2024, GCE served around 127,150 students and supported 22 university partners nationwide. The company also collaborates with universities and healthcare networks to offer healthcare-related academic programs near medical facilities, producing career-ready graduates. GCE aims to grow by adding new partners and expanding programs with existing ones, especially in healthcare and online education.

Performance

For the year ended December 31, 2024, Grand Canyon Education, Inc. reported a 7.5% increase in service revenue to $1.03 billion, driven by higher enrollments, particularly in GCU’s online programs and at off-campus healthcare-focused sites. Net income rose 10.4% to $226.2 million. Expense categories—technology and academic services, counseling, marketing, and general administration—all saw modest increases aligned with enrollment growth and site expansions, though costs as a percentage of revenue generally declined or remained flat, reflecting operational leverage. The company continued investing in partner programs and infrastructure while managing faculty reimbursement changes and adapting to shifting enrollment trends. Seasonal fluctuations in enrollment patterns affected quarterly performance, with stronger results typically in Q1 and Q4. The Grand Canyon Education, Inc. has a price-to-earnings (PE) ratio of 23, indicating a moderate valuation relative to its earnings. Although it does not currently offer a dividend yield, it demonstrates strong profitability, with a return on assets (ROA) of 18% and an impressive return on equity (ROE) of 30%, reflecting efficient use of both assets and shareholder capital. Insider selling activity. As of January 29, 2025, Grand Canyon Education’s Board increased its share repurchase authorization by $200 million, bringing total authorized repurchases to $2.245 billion through March 1, 2026. Since 2011, the company has repurchased 23.9 million shares for $1.945 billion, including 1.14 million shares for $165.4 million in 2024. Repurchases are made at the company’s discretion, depending on market and business conditions. The company does not anticipate paying any cash dividends.

Quality of Earnings

The company demonstrates adherence to General Accounting Principles, with financial reports that conform to GAAP, are decision-useful, sustainable, and offer returns exceeding the cost of capital. There have been no recent changes to accounting policies. Revenue remains robust over a course of several years. Additionally, there are no significant financial report warning signs: earnings contain minimal accrual components, do not narrowly beat benchmarks in a suspicious pattern, and revenue is not recognized prematurely. Operating cash flows align with net income, earnings are recurring and persistent, and there is no history of restatements or enforcement actions, reinforcing the reliability and quality of the company’s financial reporting. The GCE earns a large percentage of their revenue through the contractual relationship as a service provider to GCU, and a decline in GCU’s enrollment could significantly reduce their revenue and impact the overall financial performance. The critical audit matter identified was the evaluation of the sufficiency of audit evidence over service revenue, which totaled $1,033 million for the year ended December 31, 2024. This matter involved complex and subjective auditor judgment due to the Company’s reliance on varying tuition and fee information from its University Partners to determine service revenue. Auditors assessed internal controls related to revenue recognition, reviewed contracts and enrollment documentation, and evaluated the nature and sufficiency of the audit evidence obtained to ensure the accuracy of revenue recorded.
Quality of revenue can be self checked with this questionnaire:
Quality of Revenue
Conclusions were based on an annual report:
FORM 10-K

BancFirst Corp.

Company Summary

BancFirst Corporation, headquartered in Oklahoma City, is a financial holding company operating primarily through its subsidiaries: BancFirst in Oklahoma, Pegasus Bank in Dallas, and Worthington Bank in the Fort Worth area. With over 100 locations across Oklahoma and Texas, the Company offers a full range of retail and commercial banking services, including lending, deposit products, trust services, and insurance. Its strategy emphasizes serving small to medium-sized businesses and retail customers in both metropolitan and non-metropolitan areas, with a strong community presence supported by local consulting boards. BancFirst centralizes operations for consistency and efficiency, while subsidiaries like BancFirst Insurance Services and BancFirst Commercial Capital extend its offerings to insurance and SBA loans. The Company has expanded steadily since its incorporation in 1984, focusing on acquisitions and organic growth, and continues to compete regionally through a comprehensive suite of financial services..

Performance

In 2024, the BancFirst Corp (OK) reported net income of $216.4 million ($6.44 per diluted share), slightly up from $212.5 million ($6.34 per diluted share) in 2023. Net interest income rose to $446.9 million due to higher interest rates and loan growth, though net interest margin declined to 3.73%. The provision for credit losses increased to $9.0 million due to loan growth. Noninterest income was relatively flat at $184.6 million, with a decline in interchange fees offset by gains in other areas. Noninterest expenses rose to $347.2 million, driven mainly by higher salaries and data processing costs. Total assets reached $13.6 billion, with loans at $8.0 billion and deposits at $11.7 billion. Stockholders’ equity increased to $1.6 billion. Credit quality saw higher nonaccrual loans at $58.0 million, though the allowance for credit losses remained stable at 1.24%. Net charge-offs increased to $6.3 million. BancFirst Corp (OK) has a dividend yield of 1.8%, a trailing price-to-earnings (P/E) ratio of 16, and trailing earnings per share (EPS) of $6.44. The company reports a return on assets of 2% and a return on equity of 14%, reflecting solid profitability and shareholder returns. The Company has implemented a Stock Repurchase Program (SRP) to enhance earnings per share and return on equity, support equity compensation plans, and provide liquidity for shareholders and option holders. All repurchased shares are retired, not held as treasury stock. Management, with Executive Committee approval, determines the specifics of repurchases. As of December 31, 2024, up to 479,784 shares remain available for repurchase. The SRP continues until all approved shares are repurchased. No stock was repurchased during the last quarter of 2024. Future dividend payments will depend on the Company’s Board of Directors, considering factors like earnings, financial condition, capital needs, policies, regulations, and other relevant considerations. While the Company cannot guarantee its ability to pay dividends, management expects regular payments to continue in 2025 based on anticipated performance.

Quality of Earnings

The company demonstrates adherence to General Accounting Principles, with financial reports that conform to GAAP, are decision-useful, sustainable, and offer returns exceeding the cost of capital. There have been no recent changes to accounting policies, and all required financial reports are submitted on time. Revenue quality is robust. Additionally, there are no significant financial report warning signs. Operating cash flows align with net income, earnings are recurring and persistent, and there is no history of restatements or enforcement actions, reinforcing the reliability and quality of the company’s financial reporting. Liquidity risk refers to the Company’s ability to meet financial obligations through asset sales or acquiring funds. It has various obligations, including 7.20% Junior Subordinated Debentures, Subordinated Notes, lease payments, and other commitments, some of which are off-balance sheet. The Company expects positive net income for 2025 and does not anticipate issues in meeting its obligations. Additionally, the Company uses off-balance sheet financial instruments, such as loan commitments and standby letters of credit, to meet customer needs, with $2.5 billion in loan commitments and $102.6 million in standby letters of credit as of December 31, 2024. These instruments may expire without being drawn upon, meaning not all will require future funding. The critical audit matter identified in the audit relates to the allowance for credit losses (ACL) on loans, which involves complex and subjective estimates by management. The ACL is based on historical loss data adjusted for current conditions and forecasted economic factors, using a vintage loss analysis method for pooled loans and individual evaluations for certain loans. Due to the complexity and judgment involved in estimating the ACL—such as assessing loan segmentation, forecast factors, and economic conditions—the audit required extensive procedures. These included testing internal controls, verifying data accuracy, evaluating model computations and assumptions, and assessing the appropriateness of specific loan allocations and financial disclosures.
Quality of revenue can be self checked with this questionnaire:
Quality of Revenue
Conclusions were based on an annual report:
FORM 10-K

Mastercard Inc.

Company Summary

Mastercard Inc. is a global technology company in the payments industry, facilitating secure and efficient electronic transactions across the world. It connects a broad range of stakeholders—including consumers, businesses, financial institutions, and governments—through its trusted brands like Mastercard®, Maestro®, and Cirrus®. Operating a proprietary global payments network, Mastercard handles the authorization, clearing, and settlement of transactions, and also supports ACH and real-time account-based payments. Beyond payments, the company offers a suite of services including security solutions, data-driven insights, and customer engagement tools. Its franchise model ensures interoperability and balanced value and risk across its ecosystem, backed by a strong, multi-layered security approach..

Performance

In 2024, Mastercard saw strong financial performance compared to 2023, with net revenue increasing by 12% on a GAAP basis and 13% on a currency-neutral, non-GAAP basis—driven by growth in its payment network and value-added services. Operating expenses rose by 13% (GAAP) and 11% (non-GAAP), primarily due to higher general and administrative costs and litigation provisions. The effective income tax rate declined by 2.3 percentage points to 15.6% (GAAP) and 16.2% (non-GAAP), largely due to valuation allowance adjustments and a favorable geographic mix of earnings. Additional highlights include $14.8 billion in operating cash flow, $2.8 billion in acquisitions, $11.0 billion in share repurchases, $2.4 billion in dividends paid, and $4.0 billion raised through debt offerings. Mastercard Inc. provides a modest dividend yield of 0.6%, reflecting its focus on reinvesting earnings for growth rather than high dividend payouts. The company trades at a relatively high P/E ratio of 37, suggesting strong investor confidence in its long-term earnings potential. With an EPS of 13.89, Mastercard demonstrates solid profitability. Its ROA is an impressive 23%, indicating highly efficient use of its assets. Most notably, its return on equity is an extraordinary 191%, which may be driven by high margins, operational efficiency, and significant leverage—an indicator of Mastercard’s exceptional ability to generate shareholder value. In 2024, Mastercard returned a total of $13.4 billion to shareholders, consisting of $11.0 billion in share repurchases and $2.4 billion in dividends paid.

Quality of Earnings

The company demonstrates strong adherence to General Accounting Principles, with financial reports that conform to GAAP, are decision-useful, sustainable, and offer returns exceeding the cost of capital. There have been no recent changes to accounting policies, and all required financial reports are submitted on time. Revenue quality is also robust, marked by high predictability and strong profitability, diversified income sources with no client accounting for more than 15% of revenue, and clear growth in both revenue and net income. Additionally, there are no significant financial report warning signs. Expenses are not misrepresented, goodwill is properly assessed, and the company does not rely on aggressive accounting tactics such as related-party transactions or off-balance-sheet debt. Operating cash flows align with net income, earnings are recurring and persistent, and there is no history of restatements or enforcement actions, reinforcing the reliability and quality of the company’s financial reporting. The critical audit matter identified in Mastercard’s 2024 audit relates to revenue recognition, specifically the estimation of rebates and incentives provided to customers, which form a portion of the company’s $28.2 billion in net revenue. These rebates and incentives, often variable, are based on factors such as transaction volume and customer performance over time. Auditors found this area particularly complex due to the significant judgment required by management in estimating customer performance, including forecasted transactions, card issuance, and historical trends. The audit procedures involved evaluating internal controls, reviewing a sample of customer agreements, assessing the reasonableness of management’s estimates, and comparing those estimates to actual customer performance, making it a matter that required a high degree of auditor judgment and effort. This critical audit matter was present in previous 10-K reports.
Quality of revenue can be self checked with this questionnaire:
Quality of Revenue
Conclusions were based on an annual report:
FORM 10-K

AMETEK INC.

Company Summary

XXXX is a diversified energy company providing reliable and sustainable services across various sectors.

Performance

AMETEK is a diversified manufacturer with a lower dividend yield of 0.8%, signaling a focus on growth and reinvestment rather than income distribution. The stock trades at a P/E ratio of 27, suggesting investors are willing to pay a premium for its earnings. With a trailing EPS of 5.93, it delivers solid profits. The company demonstrates good efficiency with an ROA of 8% and an ROE of 15%, indicating solid performance and capital management. . Repurchases and insiders

Quality of Earnings

The company demonstrates strong adherence to General Accounting Principles, with financial reports that conform to GAAP, are decision-useful, sustainable, and offer returns exceeding the cost of capital. There have been no recent changes to accounting policies, and all required financial reports are submitted on time. Revenue quality is also robust, marked by high predictability—with a substantial portion of clients returning year after year—strong profitability with gross margins exceeding 70%, diversified income sources with no client accounting for more than 15% of revenue, and clear growth in both revenue and net income. Additionally, there are no significant financial report warning signs: earnings contain minimal accrual components, do not narrowly beat benchmarks in a suspicious pattern, and revenue is not recognized prematurely. Expenses are not misrepresented, audit opinions are unqualified, goodwill is properly assessed, and the company does not rely on aggressive accounting tactics such as related-party transactions or off-balance-sheet debt. Operating cash flows align with net income, earnings are recurring and persistent, and there is no history of restatements or enforcement actions, reinforcing the reliability and quality of the company’s financial reporting.
Quality of revenue can be self checked with this questionnaire:
Quality of Revenue
Conclusions were based on an annual report:
FORM 10-K

Texas Roadhouse, Inc.

Company Summary

XXXX is a diversified energy company providing reliable and sustainable services across various sectors.

Performance

Texas Roadhouse boasts a dividend yield of 1.7%, balancing income and growth. It has a relatively high P/E ratio of 25, which may reflect investor confidence in its future earnings. With an EPS of 6.47, the company shows strong earnings potential. Particularly notable are its ROA and ROE—11% and 35% respectively—highlighting exceptional efficiency in both asset usage and shareholder equity management. . Repurchases and insiders

Quality of Earnings

The company demonstrates strong adherence to General Accounting Principles, with financial reports that conform to GAAP, are decision-useful, sustainable, and offer returns exceeding the cost of capital. There have been no recent changes to accounting policies, and all required financial reports are submitted on time. Revenue quality is also robust, marked by high predictability—with a substantial portion of clients returning year after year—strong profitability with gross margins exceeding 70%, diversified income sources with no client accounting for more than 15% of revenue, and clear growth in both revenue and net income. Additionally, there are no significant financial report warning signs: earnings contain minimal accrual components, do not narrowly beat benchmarks in a suspicious pattern, and revenue is not recognized prematurely. Expenses are not misrepresented, audit opinions are unqualified, goodwill is properly assessed, and the company does not rely on aggressive accounting tactics such as related-party transactions or off-balance-sheet debt. Operating cash flows align with net income, earnings are recurring and persistent, and there is no history of restatements or enforcement actions, reinforcing the reliability and quality of the company’s financial reporting.
Quality of revenue can be self checked with this questionnaire:
Quality of Revenue
Conclusions were based on an annual report:
FORM 10-K

MARSH & MCLENNAN COMPANIES, INC.:

Company Summary

XXXX is a diversified energy company providing reliable and sustainable services across various sectors.

Performance

This global professional services firm has a 1.4% dividend yield, offering moderate income to investors. It trades at a P/E ratio of 28, which suggests a growth premium. With a high EPS of 8.19, it generates robust earnings. Both its ROA (8%) and ROE (32%) are impressive, signaling effective management and strong profitability driven by its financial and risk advisory services. Repurchases and insiders

Quality of Earnings

The company demonstrates strong adherence to General Accounting Principles, with financial reports that conform to GAAP, are decision-useful, sustainable, and offer returns exceeding the cost of capital. There have been no recent changes to accounting policies, and all required financial reports are submitted on time. Revenue quality is also robust, marked by high predictability—with a substantial portion of clients returning year after year—strong profitability with gross margins exceeding 70%, diversified income sources with no client accounting for more than 15% of revenue, and clear growth in both revenue and net income. Additionally, there are no significant financial report warning signs: earnings contain minimal accrual components, do not narrowly beat benchmarks in a suspicious pattern, and revenue is not recognized prematurely. Expenses are not misrepresented, audit opinions are unqualified, goodwill is properly assessed, and the company does not rely on aggressive accounting tactics such as related-party transactions or off-balance-sheet debt. Operating cash flows align with net income, earnings are recurring and persistent, and there is no history of restatements or enforcement actions, reinforcing the reliability and quality of the company’s financial reporting.
Quality of revenue can be self checked with this questionnaire:
Quality of Revenue
Conclusions were based on an annual report:
FORM 10-K

GARTNER INC.

Company Summary

XXXX is a diversified energy company providing reliable and sustainable services across various sectors.

Performance

Gartner, known for its research and advisory services, does not pay a dividend, implying a growth-oriented strategy. It trades at a P/E ratio of 25 and reports a remarkably high EPS of 16, reflecting strong earnings. The company’s ROA stands at 9%, but the most eye-catching figure is its ROE of 123%, indicating exceptional efficiency in generating returns on shareholder equity—likely due to leverage or high-margin business operations. . Repurchases and insiders

Quality of Earnings

The company demonstrates strong adherence to General Accounting Principles, with financial reports that conform to GAAP, are decision-useful, sustainable, and offer returns exceeding the cost of capital. There have been no recent changes to accounting policies, and all required financial reports are submitted on time. Revenue quality is also robust, marked by high predictability—with a substantial portion of clients returning year after year—strong profitability with gross margins exceeding 70%, diversified income sources with no client accounting for more than 15% of revenue, and clear growth in both revenue and net income. Additionally, there are no significant financial report warning signs: earnings contain minimal accrual components, do not narrowly beat benchmarks in a suspicious pattern, and revenue is not recognized prematurely. Expenses are not misrepresented, audit opinions are unqualified, goodwill is properly assessed, and the company does not rely on aggressive accounting tactics such as related-party transactions or off-balance-sheet debt. Operating cash flows align with net income, earnings are recurring and persistent, and there is no history of restatements or enforcement actions, reinforcing the reliability and quality of the company’s financial reporting.
Quality of revenue can be self checked with this questionnaire:
Quality of Revenue
Conclusions were based on an annual report:
FORM 10-K

Zoetis Inc.

Company Summary

XXXX is a diversified energy company providing reliable and sustainable services across various sectors.

Performance

Zoetis, a leader in animal health, offers a dividend yield of 1.3%, which is reasonable for a growth-oriented company. With a P/E ratio of 27 and an EPS of 5.47, it shows steady earnings and investor confidence. Its ROA is a strong 15%, and its ROE is a remarkable 51%, demonstrating excellent profitability and efficient use of both assets and equity. . Repurchases and insiders

Quality of Earnings

The company demonstrates strong adherence to General Accounting Principles, with financial reports that conform to GAAP, are decision-useful, sustainable, and offer returns exceeding the cost of capital. There have been no recent changes to accounting policies, and all required financial reports are submitted on time. Revenue quality is also robust, marked by high predictability—with a substantial portion of clients returning year after year—strong profitability with gross margins exceeding 70%, diversified income sources with no client accounting for more than 15% of revenue, and clear growth in both revenue and net income. Additionally, there are no significant financial report warning signs: earnings contain minimal accrual components, do not narrowly beat benchmarks in a suspicious pattern, and revenue is not recognized prematurely. Expenses are not misrepresented, audit opinions are unqualified, goodwill is properly assessed, and the company does not rely on aggressive accounting tactics such as related-party transactions or off-balance-sheet debt. Operating ccash flows align with net income, earnings are recurring and persistent, and there is no history of restatements or enforcement actions, reinforcing the reliability and quality of the company’s financial reporting.
Quality of revenue can be self checked with this questionnaire:
Quality of Revenue
Conclusions were based on an annual report:
FORM 10-K

XCEL Energy

Company Summary

XXXX is a diversified energy company providing reliable and sustainable services across various sectors.

Performance

XCEL Energy offers a dividend yield of 3.3% with a P/E of 20 and a return on equity (ROE) of 10%. Repurchases and insiders

Quality of Earnings

The company demonstrates strong adherence to General Accounting Principles, with financial reports that conform to GAAP, are decision-useful, sustainable, and offer returns exceeding the cost of capital. There have been no recent changes to accounting policies, and all required financial reports are submitted on time. Revenue quality is also robust, marked by high predictability—with a substantial portion of clients returning year after year—strong profitability with gross margins exceeding 70%, diversified income sources with no client accounting for more than 15% of revenue, and clear growth in both revenue and net income. Additionally, there are no significant financial report warning signs: earnings contain minimal accrual components, do not narrowly beat benchmarks in a suspicious pattern, and revenue is not recognized prematurely. Expenses are not misrepresented, audit opinions are unqualified, goodwill is properly assessed, and the company does not rely on aggressive accounting tactics such as related-party transactions or off-balance-sheet debt. Operating cash flows align with net income, earnings are recurring and persistent, and there is no history of restatements or enforcement actions, reinforcing the reliability and quality of the company’s financial reporting.
Quality of revenue can be self checked with this questionnaire:
Quality of Revenue
Conclusions were based on an annual report:
FORM 10-K

ADOBE INC.

Company Summary

Adobe is a global technology leader dedicated to transforming the world through personalized digital experiences. For over 40 years, Adobe has revolutionized how people and organizations create, manage, and interact with content across all media. Its core businesses—Digital Media and Digital Experience—offer innovative tools like Adobe Creative Cloud and Adobe Experience Cloud, empowering a diverse user base ranging from individual creators and students to global enterprises and government institutions. By integrating AI responsibly, Adobe enhances creativity, boosts productivity, and supports businesses in delivering impactful, data-driven experiences. Additionally, with solutions like Adobe GenStudio, Adobe streamlines content creation and personalization at scale, positioning itself at the forefront of digital transformation.

Performance

In fiscal 2024, Adobe saw strong performance driven by robust demand across its Digital Media and Digital Experience segments, fueled by continuous innovation and the growing adoption of AI-powered solutions. Digital Media annualized recurring revenue (ARR) reached $17.33 billion, up 13% from the previous year, with notable growth in both Creative Cloud and Document Cloud offerings. Digital Experience revenue also grew 10% year-over-year to $5.37 billion, supported by increased subscription revenue and the expansion of AI-enabled tools like the Adobe Experience Platform AI Assistant. Despite macroeconomic uncertainties, Adobe maintained solid financial results, with net income rising to $5.56 billion and operating cash flow increasing to $8.06 billion, reflecting the strength and resilience of its subscription-based business model. Adobe does not pay a dividend but boasts high profitability, with a 17% return on assets (ROA) and 47% ROE, showing strong operational and financial efficiency and has a PE of 23. In 2024, Adobe’s Board authorized a $25 billion stock repurchase program through March 2028. As part of this program, Adobe executed two accelerated share repurchase (ASR) agreements. In June, the company prepaid $2.5 billion and repurchased a total of 4.6 million shares at an average price of $546.30. In September, Adobe initiated another ASR with the same prepayment, ultimately repurchasing 5.0 million shares at an average price of $501.37, further demonstrating its commitment to returning value to shareholders.

Quality of Earnings

The company demonstrates adherence to General Accounting Principles, with financial reports that conform to GAAP, are decision-useful, sustainable, and offer returns exceeding the cost of capital. There have been no recent changes to accounting policies, and all required financial reports are submitted on time. Revenue quality is robust with diversified income sources with no client accounting for more than 15% of revenue, and clear growth in both revenue and net income. Additionally, there are no significant financial report warning signs. Expenses are not misrepresented, audit opinions are unqualified, goodwill is properly assessed, and the company does not rely on aggressive accounting tactics such as related-party transactions or off-balance-sheet debt. Operating cash flows align with net income, earnings are recurring and persistent, and there is no history of restatements or enforcement actions, reinforcing the reliability and quality of the company’s financial reporting. The critical audit matter identified relates to Adobe’s assessment of performance obligations in its Creative Cloud and Document Cloud subscriptions, which combine cloud-based services with on-premise or on-device software. Because these components are highly integrated and not distinct, they are accounted for as a single performance obligation. Auditors highlighted this area as particularly complex and judgment-intensive, requiring detailed evaluation of the offerings, product demonstrations, contractual terms, and the integrated nature of the services to determine that customers benefit from the solution only as a unified offering.
Quality of revenue can be self checked with this questionnaire:
Quality of Revenue
Conclusions were based on an annual report:
FORM 10-K

Company Summary

XXXX is a diversified energy company providing reliable and sustainable services across various sectors.

Performance

XXXs . Repurchases and insiders

Quality of Earnings

The company demonstrates strong adherence to General Accounting Principles, with financial reports that conform to GAAP, are decision-useful, sustainable, and offer returns exceeding the cost of capital. There have been no recent changes to accounting policies, and all required financial reports are submitted on time. Revenue quality is also robust, marked by high predictability—with a substantial portion of clients returning year after year—strong profitability with gross margins exceeding 70%, diversified income sources with no client accounting for more than 15% of revenue, and clear growth in both revenue and net income. Additionally, there are no significant financial report warning signs: earnings contain minimal accrual components, do not narrowly beat benchmarks in a suspicious pattern, and revenue is not recognized prematurely. Expenses are not misrepresented, audit opinions are unqualified, goodwill is properly assessed, and the company does not rely on aggressive accounting tactics such as related-party transactions or off-balance-sheet debt. Operating cash flows align with net income, earnings are recurring and persistent, and there is no history of restatements or enforcement actions, reinforcing the reliability and quality of the company’s financial reporting.
Quality of revenue can be self checked with this questionnaire:
Quality of Revenue
Conclusions were based on an annual report:
FORM 10-K

Company Summary

XXXX is a diversified energy company providing reliable and sustainable services across various sectors.

Performance

XXXs . Repurchases and insiders

Quality of Earnings

The company demonstrates strong adherence to General Accounting Principles, with financial reports that conform to GAAP, are decision-useful, sustainable, and offer returns exceeding the cost of capital. There have been no recent changes to accounting policies, and all required financial reports are submitted on time. Revenue quality is also robust, marked by high predictability—with a substantial portion of clients returning year after year—strong profitability with gross margins exceeding 70%, diversified income sources with no client accounting for more than 15% of revenue, and clear growth in both revenue and net income. Additionally, there are no significant financial report warning signs: earnings contain minimal accrual components, do not narrowly beat benchmarks in a suspicious pattern, and revenue is not recognized prematurely. Expenses are not misrepresented, audit opinions are unqualified, goodwill is properly assessed, and the company does not rely on aggressive accounting tactics such as related-party transactions or off-balance-sheet debt. Operating cash flows align with net income, earnings are recurring and persistent, and there is no history of restatements or enforcement actions, reinforcing the reliability and quality of the company’s financial reporting.
Quality of revenue can be self checked with this questionnaire:
Quality of Revenue
Conclusions were based on an annual report:
FORM 10-K

Company Summary

XXXX is a diversified energy company providing reliable and sustainable services across various sectors.

Performance

XXXs . Repurchases and insiders

Quality of Earnings

The company demonstrates strong adherence to General Accounting Principles, with financial reports that conform to GAAP, are decision-useful, sustainable, and offer returns exceeding the cost of capital. There have been no recent changes to accounting policies, and all required financial reports are submitted on time. Revenue quality is also robust, marked by high predictability—with a substantial portion of clients returning year after year—strong profitability with gross margins exceeding 70%, diversified income sources with no client accounting for more than 15% of revenue, and clear growth in both revenue and net income. Additionally, there are no significant financial report warning signs: earnings contain minimal accrual components, do not narrowly beat benchmarks in a suspicious pattern, and revenue is not recognized prematurely. Expenses are not misrepresented, audit opinions are unqualified, goodwill is properly assessed, and the company does not rely on aggressive accounting tactics such as related-party transactions or off-balance-sheet debt. Operating cash flows align with net income, earnings are recurring and persistent, and there is no history of restatements or enforcement actions, reinforcing the reliability and quality of the company’s financial reporting.
Quality of revenue can be self checked with this questionnaire:
Quality of Revenue
Conclusions were based on an annual report:
FORM 10-K

Company Summary

XXXX is a diversified energy company providing reliable and sustainable services across various sectors.

Performance

XXXs . Repurchases and insiders

Quality of Earnings

The company demonstrates strong adherence to General Accounting Principles, with financial reports that conform to GAAP, are decision-useful, sustainable, and offer returns exceeding the cost of capital. There have been no recent changes to accounting policies, and all required financial reports are submitted on time. Revenue quality is also robust, marked by high predictability—with a substantial portion of clients returning year after year—strong profitability with gross margins exceeding 70%, diversified income sources with no client accounting for more than 15% of revenue, and clear growth in both revenue and net income. Additionally, there are no significant financial report warning signs: earnings contain minimal accrual components, do not narrowly beat benchmarks in a suspicious pattern, and revenue is not recognized prematurely. Expenses are not misrepresented, audit opinions are unqualified, goodwill is properly assessed, and the company does not rely on aggressive accounting tactics such as related-party transactions or off-balance-sheet debt. Operating cash flows align with net income, earnings are recurring and persistent, and there is no history of restatements or enforcement actions, reinforcing the reliability and quality of the company’s financial reporting.
Quality of revenue can be self checked with this questionnaire:
Quality of Revenue
Conclusions were based on an annual report:
FORM 10-K

Company Summary

XXXX is a diversified energy company providing reliable and sustainable services across various sectors.

Performance

XXXs . Repurchases and insiders

Quality of Earnings

The company demonstrates strong adherence to General Accounting Principles, with financial reports that conform to GAAP, are decision-useful, sustainable, and offer returns exceeding the cost of capital. There have been no recent changes to accounting policies, and all required financial reports are submitted on time. Revenue quality is also robust, marked by high predictability—with a substantial portion of clients returning year after year—strong profitability with gross margins exceeding 70%, diversified income sources with no client accounting for more than 15% of revenue, and clear growth in both revenue and net income. Additionally, there are no significant financial report warning signs: earnings contain minimal accrual components, do not narrowly beat benchmarks in a suspicious pattern, and revenue is not recognized prematurely. Expenses are not misrepresented, audit opinions are unqualified, goodwill is properly assessed, and the company does not rely on aggressive accounting tactics such as related-party transactions or off-balance-sheet debt. Operating cash flows align with net income, earnings are recurring and persistent, and there is no history of restatements or enforcement actions, reinforcing the reliability and quality of the company’s financial reporting.
Quality of revenue can be self checked with this questionnaire:
Quality of Revenue
Conclusions were based on an annual report:
FORM 10-K

Company Summary

XXXX is a diversified energy company providing reliable and sustainable services across various sectors.

Performance

XXXs . Repurchases and insiders

Quality of Earnings

The company demonstrates strong adherence to General Accounting Principles, with financial reports that conform to GAAP, are decision-useful, sustainable, and offer returns exceeding the cost of capital. There have been no recent changes to accounting policies, and all required financial reports are submitted on time. Revenue quality is also robust, marked by high predictability—with a substantial portion of clients returning year after year—strong profitability with gross margins exceeding 70%, diversified income sources with no client accounting for more than 15% of revenue, and clear growth in both revenue and net income. Additionally, there are no significant financial report warning signs: earnings contain minimal accrual components, do not narrowly beat benchmarks in a suspicious pattern, and revenue is not recognized prematurely. Expenses are not misrepresented, audit opinions are unqualified, goodwill is properly assessed, and the company does not rely on aggressive accounting tactics such as related-party transactions or off-balance-sheet debt. Operating cash flows align with net income, earnings are recurring and persistent, and there is no history of restatements or enforcement actions, reinforcing the reliability and quality of the company’s financial reporting.
Quality of revenue can be self checked with this questionnaire:
Quality of Revenue
Conclusions were based on an annual report:
FORM 10-K

Company Summary

XXXX is a diversified energy company providing reliable and sustainable services across various sectors.

Performance

XXXs . Repurchases and insiders

Quality of Earnings

The company demonstrates strong adherence to General Accounting Principles, with financial reports that conform to GAAP, are decision-useful, sustainable, and offer returns exceeding the cost of capital. There have been no recent changes to accounting policies, and all required financial reports are submitted on time. Revenue quality is also robust, marked by high predictability—with a substantial portion of clients returning year after year—strong profitability with gross margins exceeding 70%, diversified income sources with no client accounting for more than 15% of revenue, and clear growth in both revenue and net income. Additionally, there are no significant financial report warning signs: earnings contain minimal accrual components, do not narrowly beat benchmarks in a suspicious pattern, and revenue is not recognized prematurely. Expenses are not misrepresented, audit opinions are unqualified, goodwill is properly assessed, and the company does not rely on aggressive accounting tactics such as related-party transactions or off-balance-sheet debt. Operating cash flows align with net income, earnings are recurring and persistent, and there is no history of restatements or enforcement actions, reinforcing the reliability and quality of the company’s financial reporting.
Quality of revenue can be self checked with this questionnaire:
Quality of Revenue
Conclusions were based on an annual report:
FORM 10-K

Company Summary

XXXX is a diversified energy company providing reliable and sustainable services across various sectors.

Performance

XXXs . Repurchases and insiders

Quality of Earnings

The company demonstrates strong adherence to General Accounting Principles, with financial reports that conform to GAAP, are decision-useful, sustainable, and offer returns exceeding the cost of capital. There have been no recent changes to accounting policies, and all required financial reports are submitted on time. Revenue quality is also robust, marked by high predictability—with a substantial portion of clients returning year after year—strong profitability with gross margins exceeding 70%, diversified income sources with no client accounting for more than 15% of revenue, and clear growth in both revenue and net income. Additionally, there are no significant financial report warning signs: earnings contain minimal accrual components, do not narrowly beat benchmarks in a suspicious pattern, and revenue is not recognized prematurely. Expenses are not misrepresented, audit opinions are unqualified, goodwill is properly assessed, and the company does not rely on aggressive accounting tactics such as related-party transactions or off-balance-sheet debt. Operating cash flows align with net income, earnings are recurring and persistent, and there is no history of restatements or enforcement actions, reinforcing the reliability and quality of the company’s financial reporting.
Quality of revenue can be self checked with this questionnaire:
Quality of Revenue
Conclusions were based on an annual report:
FORM 10-K

Company Summary

XXXX is a diversified energy company providing reliable and sustainable services across various sectors.

Performance

XXXs . Repurchases and insiders

Quality of Earnings

The company demonstrates strong adherence to General Accounting Principles, with financial reports that conform to GAAP, are decision-useful, sustainable, and offer returns exceeding the cost of capital. There have been no recent changes to accounting policies, and all required financial reports are submitted on time. Revenue quality is also robust, marked by high predictability—with a substantial portion of clients returning year after year—strong profitability with gross margins exceeding 70%, diversified income sources with no client accounting for more than 15% of revenue, and clear growth in both revenue and net income. Additionally, there are no significant financial report warning signs: earnings contain minimal accrual components, do not narrowly beat benchmarks in a suspicious pattern, and revenue is not recognized prematurely. Expenses are not misrepresented, audit opinions are unqualified, goodwill is properly assessed, and the company does not rely on aggressive accounting tactics such as related-party transactions or off-balance-sheet debt. Operating cash flows align with net income, earnings are recurring and persistent, and there is no history of restatements or enforcement actions, reinforcing the reliability and quality of the company’s financial reporting.
Quality of revenue can be self checked with this questionnaire:
Quality of Revenue
Conclusions were based on an annual report:
FORM 10-K

Company Summary

XXXX is a diversified energy company providing reliable and sustainable services across various sectors.

Performance

XXXs . Repurchases and insiders

Quality of Earnings

The company demonstrates strong adherence to General Accounting Principles, with financial reports that conform to GAAP, are decision-useful, sustainable, and offer returns exceeding the cost of capital. There have been no recent changes to accounting policies, and all required financial reports are submitted on time. Revenue quality is also robust, marked by high predictability—with a substantial portion of clients returning year after year—strong profitability with gross margins exceeding 70%, diversified income sources with no client accounting for more than 15% of revenue, and clear growth in both revenue and net income. Additionally, there are no significant financial report warning signs: earnings contain minimal accrual components, do not narrowly beat benchmarks in a suspicious pattern, and revenue is not recognized prematurely. Expenses are not misrepresented, audit opinions are unqualified, goodwill is properly assessed, and the company does not rely on aggressive accounting tactics such as related-party transactions or off-balance-sheet debt. Operating cash flows align with net income, earnings are recurring and persistent, and there is no history of restatements or enforcement actions, reinforcing the reliability and quality of the company’s financial reporting.
Quality of revenue can be self checked with this questionnaire:
Quality of Revenue
Conclusions were based on an annual report:
FORM 10-K

Company Summary

XXXX is a diversified energy company providing reliable and sustainable services across various sectors.

Performance

XXXs . Repurchases and insiders

Quality of Earnings

The company demonstrates strong adherence to General Accounting Principles, with financial reports that conform to GAAP, are decision-useful, sustainable, and offer returns exceeding the cost of capital. There have been no recent changes to accounting policies, and all required financial reports are submitted on time. Revenue quality is also robust, marked by high predictability—with a substantial portion of clients returning year after year—strong profitability with gross margins exceeding 70%, diversified income sources with no client accounting for more than 15% of revenue, and clear growth in both revenue and net income. Additionally, there are no significant financial report warning signs: earnings contain minimal accrual components, do not narrowly beat benchmarks in a suspicious pattern, and revenue is not recognized prematurely. Expenses are not misrepresented, audit opinions are unqualified, goodwill is properly assessed, and the company does not rely on aggressive accounting tactics such as related-party transactions or off-balance-sheet debt. Operating cash flows align with net income, earnings are recurring and persistent, and there is no history of restatements or enforcement actions, reinforcing the reliability and quality of the company’s financial reporting.
Quality of revenue can be self checked with this questionnaire:
Quality of Revenue
Conclusions were based on an annual report:
FORM 10-K

Company Summary

XXXX is a diversified energy company providing reliable and sustainable services across various sectors.

Performance

XXXs . Repurchases and insiders

Quality of Earnings

The company demonstrates strong adherence to General Accounting Principles, with financial reports that conform to GAAP, are decision-useful, sustainable, and offer returns exceeding the cost of capital. There have been no recent changes to accounting policies, and all required financial reports are submitted on time. Revenue quality is also robust, marked by high predictability—with a substantial portion of clients returning year after year—strong profitability with gross margins exceeding 70%, diversified income sources with no client accounting for more than 15% of revenue, and clear growth in both revenue and net income. Additionally, there are no significant financial report warning signs: earnings contain minimal accrual components, do not narrowly beat benchmarks in a suspicious pattern, and revenue is not recognized prematurely. Expenses are not misrepresented, audit opinions are unqualified, goodwill is properly assessed, and the company does not rely on aggressive accounting tactics such as related-party transactions or off-balance-sheet debt. Operating cash flows align with net income, earnings are recurring and persistent, and there is no history of restatements or enforcement actions, reinforcing the reliability and quality of the company’s financial reporting.
Quality of revenue can be self checked with this questionnaire:
Quality of Revenue
Conclusions were based on an annual report:
FORM 10-K

Company Summary

XXXX is a diversified energy company providing reliable and sustainable services across various sectors.

Performance

XXXs . Repurchases and insiders

Quality of Earnings

The company demonstrates strong adherence to General Accounting Principles, with financial reports that conform to GAAP, are decision-useful, sustainable, and offer returns exceeding the cost of capital. There have been no recent changes to accounting policies, and all required financial reports are submitted on time. Revenue quality is also robust, marked by high predictability—with a substantial portion of clients returning year after year—strong profitability with gross margins exceeding 70%, diversified income sources with no client accounting for more than 15% of revenue, and clear growth in both revenue and net income. Additionally, there are no significant financial report warning signs: earnings contain minimal accrual components, do not narrowly beat benchmarks in a suspicious pattern, and revenue is not recognized prematurely. Expenses are not misrepresented, audit opinions are unqualified, goodwill is properly assessed, and the company does not rely on aggressive accounting tactics such as related-party transactions or off-balance-sheet debt. Operating cash flows align with net income, earnings are recurring and persistent, and there is no history of restatements or enforcement actions, reinforcing the reliability and quality of the company’s financial reporting.
Quality of revenue can be self checked with this questionnaire:
Quality of Revenue
Conclusions were based on an annual report:
FORM 10-K

BROWN & BROWN, INC.

Company Summary

BROWN & BROWN, INC. is a prominent American insurance brokerage and risk management firm, offering a range of services to businesses and individuals, with a focus on customer service and innovative solutions.

Performance

Brown & Brown, Inc. demonstrated strong financial performance in 2024, with total revenues reaching $4.8 billion, a 12.9% increase from the previous year. The company achieved an organic revenue growth of 10.4%, reflecting robust demand across its insurance brokerage and risk management services. Adjusted net income per share for the year was $3.84, up 18.2% year-over-year .​ In the fourth quarter, Brown & Brown reported revenues of $1.18 billion, a 15.4% increase from the same period in 2023. Adjusted net income per share for the quarter was $0.86, surpassing analyst expectations .​ The company’s consistent growth in both revenue and profitability highlights its effective strategy in navigating the competitive insurance brokerage landscape.​

Quality of Earnings

The company demonstrates strong adherence to General Accounting Principles, with financial reports that conform to GAAP, are decision-useful, sustainable, and offer returns exceeding the cost of capital. There have been no recent changes to accounting policies, and all required financial reports are submitted on time. Revenue quality is also robust, marked by high predictability—with a substantial portion of clients returning year after year—strong profitability with gross margins exceeding 70%, diversified income sources with no client accounting for more than 15% of revenue, and clear growth in both revenue and net income. Additionally, there are no significant financial report warning signs: earnings contain minimal accrual components, do not narrowly beat benchmarks in a suspicious pattern, and revenue is not recognized prematurely. Expenses are not misrepresented, audit opinions are unqualified, goodwill is properly assessed, and the company does not rely on aggressive accounting tactics such as related-party transactions or off-balance-sheet debt. Operating cash flows align with net income, earnings are recurring and persistent, and there is no history of restatements or enforcement actions, reinforcing the reliability and quality of the company’s financial reporting.
Quality of revenue can be self checked with this questionnaire:
Quality of Revenue
Conclusions were based on an annual report:
FORM 10-K

COMCAST CORP

Company Summary

COMCAST CORP is a leading global media and technology conglomerate headquartered in Philadelphia, offering broadband, cable television, and mobile services through its Xfinity brand, and owning major entertainment assets like NBCUniversal, Sky Group, and Universal Pictures.

Performance

Comcast Corporation reported strong financial performance in 2024, with revenue increasing 2.1% year-over-year to $31.9 billion in Q4 and 1.8% to $123.7 billion for the full year. Adjusted EBITDA rose 9.9% in Q4, and adjusted earnings per share increased 13.9% to $0.96. The company achieved a net income of $4.8 billion in Q4, marking a 46.6% year-over-year increase, partly due to a $1.9 billion tax benefit from an internal reorganization. Key drivers included a 28% revenue growth for Peacock, reaching $1.3 billion in Q4, and a 12.2% increase in theme park revenue, bolstered by the success of Super Nintendo World in Hollywood . However, the company experienced a decline of 139,000 broadband subscribers in Q4, exceeding expectations and leading to an 11% drop in stock price. In response to shifting market dynamics, Comcast announced plans to spin off several cable networks, such as USA, Oxygen, and E!, into a new company named “SpinCo,” while retaining streaming assets like Peacock and NBCUniversal’s studios and theme parks. Overall, Comcast’s 2024 performance reflects strong growth in streaming and theme park segments, offset by challenges in broadband subscriber retention and strategic adjustments in its media portfolio.

Quality of Earnings

The company demonstrates strong adherence to General Accounting Principles, with financial reports that conform to GAAP, are decision-useful, sustainable, and offer returns exceeding the cost of capital. There have been no recent changes to accounting policies, and all required financial reports are submitted on time. Revenue quality is also robust, marked by high predictability—with a substantial portion of clients returning year after year—strong profitability with gross margins exceeding 70%, diversified income sources with no client accounting for more than 15% of revenue, and clear growth in both revenue and net income. Additionally, there are no significant financial report warning signs: earnings contain minimal accrual components, do not narrowly beat benchmarks in a suspicious pattern, and revenue is not recognized prematurely. Expenses are not misrepresented, audit opinions are unqualified, goodwill is properly assessed, and the company does not rely on aggressive accounting tactics such as related-party transactions or off-balance-sheet debt. Operating ccash flows align with net income, earnings are recurring and persistent, and there is no history of restatements or enforcement actions, reinforcing the reliability and quality of the company’s financial reporting.
Quality of revenue can be self checked with this questionnaire:
Quality of Revenue
Conclusions were based on an annual report:
FORM 10-K

Dorman Products, Inc.

Company Summary

Dorman Products, Inc. is a U.S.-based manufacturer and distributor of aftermarket automotive replacement parts, offering over 118,000 products for passenger cars, light trucks, heavy-duty vehicles, and specialty vehicles.

Performance

Dorman Products, Inc. delivered strong financial performance in 2024, achieving net sales of $2.01 billion, a 4.1% increase from the previous year. The company reported a net income of $190 million, or $6.14 per diluted share, up 47% year-over-year. Adjusted diluted EPS rose 57% to $7.13. Gross margin improved to 40.1%, up from 35.5% in 2023, reflecting operational efficiencies and strategic investments in product innovation. The Light Duty segment led growth, with a 7% sales increase and a 18.2% profit margin, while the Heavy Duty segment experienced a 10% decline in sales and a decrease in profit margin to 2.8%. The Specialty Vehicle segment remained stable with a slight sales increase and a profit margin of 15.2%. Looking ahead, Dorman projects 2025 adjusted diluted EPS between $7.55 and $7.85, indicating continued confidence in its growth trajectory.

Quality of Earnings

The company demonstrates strong adherence to General Accounting Principles, with financial reports that conform to GAAP, are decision-useful, sustainable, and offer returns exceeding the cost of capital. There have been no recent changes to accounting policies, and all required financial reports are submitted on time. Revenue quality is also robust, marked by high predictability—with a substantial portion of clients returning year after year—strong profitability with gross margins exceeding 70%, diversified income sources with no client accounting for more than 15% of revenue, and clear growth in both revenue and net income. Additionally, there are no significant financial report warning signs: earnings contain minimal accrual components, do not narrowly beat benchmarks in a suspicious pattern, and revenue is not recognized prematurely. Expenses are not misrepresented, audit opinions are unqualified, goodwill is properly assessed, and the company does not rely on aggressive accounting tactics such as related-party transactions or off-balance-sheet debt. Operating ccash flows align with net income, earnings are recurring and persistent, and there is no history of restatements or enforcement actions, reinforcing the reliability and quality of the company’s financial reporting.
Quality of revenue can be self checked with this questionnaire:
Quality of Revenue
Conclusions were based on an annual report:
FORM 10-K

CITY HOLDING CO

Company Summary

City Holding Company is a financial holding company headquartered in Charleston, West Virginia, operating through its subsidiary, City National Bank, to provide banking, trust, and investment management services across West Virginia, Kentucky, Virginia, and Ohio.

Performance

City Holding Company achieved record financial results in 2024, with net income reaching $117.1 million and diluted earnings per share of $7.89, reflecting a return on assets of 1.85% and a return on tangible equity of 21.2% . The company’s net interest income slightly increased to $220.2 million, while non-interest income rose by 3.8% to $73.3 million, driven by higher trust and investment management fees and service charges . Despite a modest decline in net interest margin to 3.86% due to rising interest-bearing liabilities, City Holding maintained strong asset quality and was ranked #1 in customer satisfaction for consumer banking in the North Central Region by J.D. Power in 2024.

Quality of Earnings

The company demonstrates strong adherence to General Accounting Principles, with financial reports that conform to GAAP, are decision-useful, sustainable, and offer returns exceeding the cost of capital. There have been no recent changes to accounting policies, and all required financial reports are submitted on time. Revenue quality is also robust, marked by high predictability—with a substantial portion of clients returning year after year—strong profitability with gross margins exceeding 70%, diversified income sources with no client accounting for more than 15% of revenue, and clear growth in both revenue and net income. Additionally, there are no significant financial report warning signs: earnings contain minimal accrual components, do not narrowly beat benchmarks in a suspicious pattern, and revenue is not recognized prematurely. Expenses are not misrepresented, audit opinions are unqualified, goodwill is properly assessed, and the company does not rely on aggressive accounting tactics such as related-party transactions or off-balance-sheet debt. Operating ccash flows align with net income, earnings are recurring and persistent, and there is no history of restatements or enforcement actions, reinforcing the reliability and quality of the company’s financial reporting.
Quality of revenue can be self checked with this questionnaire:
Quality of Revenue
Conclusions were based on an annual report:
FORM 10-K

CME GROUP INC.

Company Summary

CME Group Inc. is the world’s leading derivatives marketplace, offering a comprehensive range of futures and options products across major asset classes—including interest rates, equity indexes, foreign exchange, energy, agricultural commodities, and metals—through its global electronic trading platform, CME Globex.

Performance

​CME Group Inc. achieved record financial results in 2024, with total revenue rising 10% year-over-year to $6.1 billion and net income reaching $3.5 billion, driven by strong growth in trading volumes across all asset classes, including interest rates, agricultural commodities, foreign exchange, and metals.

Quality of Earnings

The company demonstrates strong adherence to General Accounting Principles, with financial reports that conform to GAAP, are decision-useful, sustainable, and offer returns exceeding the cost of capital. There have been no recent changes to accounting policies, and all required financial reports are submitted on time. Revenue quality is also robust, marked by high predictability—with a substantial portion of clients returning year after year—strong profitability with gross margins exceeding 70%, diversified income sources with no client accounting for more than 15% of revenue, and clear growth in both revenue and net income. Additionally, there are no significant financial report warning signs: earnings contain minimal accrual components, do not narrowly beat benchmarks in a suspicious pattern, and revenue is not recognized prematurely. Expenses are not misrepresented, audit opinions are unqualified, goodwill is properly assessed, and the company does not rely on aggressive accounting tactics such as related-party transactions or off-balance-sheet debt. Operating ccash flows align with net income, earnings are recurring and persistent, and there is no history of restatements or enforcement actions, reinforcing the reliability and quality of the company’s financial reporting.
Quality of revenue can be self checked with this questionnaire:
Quality of Revenue
Conclusions were based on an annual report:
FORM 10-K

WESTINGHOUSE AIR BRAKE TECHNOLOGIES CORPORATION

Company Summary

Westinghouse Air Brake Technologies Corporation, commonly known as Wabtec, is a leading global provider of technology-based locomotives, equipment, systems, and services for the freight rail, passenger transit, mining, marine, and industrial markets.

Performance

​​Westinghouse Air Brake Technologies Corporation (Wabtec) reported strong financial performance in 2024, with revenue increasing 7.3% year-over-year to $10.4 billion and net income rising 30% to $1.06 billion, resulting in a profit margin of 10% . The company achieved adjusted earnings per share of $7.56, up 27.7% from the previous year, and generated a record $1.83 billion in cash from operations . Wabtec also returned $1.2 billion to shareholders through share repurchases and dividends, reflecting its commitment to shareholder value.​

Quality of Earnings

The company demonstrates strong adherence to General Accounting Principles, with financial reports that conform to GAAP, are decision-useful, sustainable, and offer returns exceeding the cost of capital. There have been no recent changes to accounting policies, and all required financial reports are submitted on time. Revenue quality is also robust, marked by high predictability—with a substantial portion of clients returning year after year—strong profitability with gross margins exceeding 70%, diversified income sources with no client accounting for more than 15% of revenue, and clear growth in both revenue and net income. Additionally, there are no significant financial report warning signs: earnings contain minimal accrual components, do not narrowly beat benchmarks in a suspicious pattern, and revenue is not recognized prematurely. Expenses are not misrepresented, audit opinions are unqualified, goodwill is properly assessed, and the company does not rely on aggressive accounting tactics such as related-party transactions or off-balance-sheet debt. Operating ccash flows align with net income, earnings are recurring and persistent, and there is no history of restatements or enforcement actions, reinforcing the reliability and quality of the company’s financial reporting.
Quality of revenue can be self checked with this questionnaire:
Quality of Revenue
Conclusions were based on an annual report:
FORM 10-K

UFP TECHNOLOGIES INC

Company Summary

UFP Technologies, Inc. is a U.S.-based designer and custom manufacturer specializing in comprehensive solutions for medical devices, sterile packaging, and other highly engineered custom products, serving various industries including healthcare, automotive, aerospace, and consumer electronics.

Performance

UFP Technologies, Inc. reported record financial performance for 2024, achieving net sales of $504.4 million, a 26.1% increase from the previous year. Net income rose 31.3% to $59.0 million, while adjusted net income grew 32.5% to $67.6 million. In the fourth quarter, the company posted net income of $16.4 million, up 41.1% year-over-year, and sales of $144.1 million, reflecting a 41.9% increase. Adjusted earnings per share for the quarter were $2.46, surpassing analyst expectations. The MedTech segment led growth, with sales increasing 30.2% for the year and 48.6% in Q4. Gross margin improved to 29.1% for the year, and adjusted EBITDA for 2024 rose 39.1% to $107.3 million.​

Quality of Earnings

The company demonstrates strong adherence to General Accounting Principles, with financial reports that conform to GAAP, are decision-useful, sustainable, and offer returns exceeding the cost of capital. There have been no recent changes to accounting policies, and all required financial reports are submitted on time. Revenue quality is also robust, marked by high predictability—with a substantial portion of clients returning year after year—strong profitability with gross margins exceeding 70%, diversified income sources with no client accounting for more than 15% of revenue, and clear growth in both revenue and net income. Additionally, there are no significant financial report warning signs: earnings contain minimal accrual components, do not narrowly beat benchmarks in a suspicious pattern, and revenue is not recognized prematurely. Expenses are not misrepresented, audit opinions are unqualified, goodwill is properly assessed, and the company does not rely on aggressive accounting tactics such as related-party transactions or off-balance-sheet debt. Operating ccash flows align with net income, earnings are recurring and persistent, and there is no history of restatements or enforcement actions, reinforcing the reliability and quality of the company’s financial reporting.
Quality of revenue can be self checked with this questionnaire:
Quality of Revenue
Conclusions were based on an annual report:
FORM 10-K

Stock Yards Bancorp, Inc.

Company Summary

​Stock Yards Bancorp, Inc. is a Louisville, Kentucky–based financial holding company, operating through its wholly owned subsidiary, Stock Yards Bank & Trust Company, to offer a comprehensive range of commercial and personal banking services, including lending, deposits, wealth management, and trust services, primarily in the Louisville, Indianapolis, and Cincinnati metropolitan markets.

Performance

Stock Yards Bancorp, Inc. reported record financial performance in 2024, achieving net income of $114.5 million and diluted earnings per share of $3.89, reflecting a 6.3% increase from the previous year. In the fourth quarter, the company posted net income of $31.7 million, or $1.07 per diluted share, surpassing analyst expectations. Key drivers included strong loan growth and an expanded net interest margin of 3.44%, up from 3.25% in Q4 2023. The company’s return on average assets for the year was 1.45%, and its efficiency ratio improved to 55.21% in Q4, indicating enhanced operational efficiency.​

Quality of Earnings

The company demonstrates strong adherence to General Accounting Principles, with financial reports that conform to GAAP, are decision-useful, sustainable, and offer returns exceeding the cost of capital. There have been no recent changes to accounting policies, and all required financial reports are submitted on time. Revenue quality is also robust, marked by high predictability—with a substantial portion of clients returning year after year—strong profitability with gross margins exceeding 70%, diversified income sources with no client accounting for more than 15% of revenue, and clear growth in both revenue and net income. Additionally, there are no significant financial report warning signs: earnings contain minimal accrual components, do not narrowly beat benchmarks in a suspicious pattern, and revenue is not recognized prematurely. Expenses are not misrepresented, audit opinions are unqualified, goodwill is properly assessed, and the company does not rely on aggressive accounting tactics such as related-party transactions or off-balance-sheet debt. Operating ccash flows align with net income, earnings are recurring and persistent, and there is no history of restatements or enforcement actions, reinforcing the reliability and quality of the company’s financial reporting.
Quality of revenue can be self checked with this questionnaire:
Quality of Revenue
Conclusions were based on an annual report:
FORM 10-K

INTER PARFUMS INC

Company Summary

​​Inter Parfums, Inc. is a global fragrance company that designs, manufactures, and distributes prestige perfumes and related products under license agreements with renowned brands, operating through its U.S.-based and European-based segments.

Performance

​Inter Parfums, Inc. achieved record financial results in 2024, with net sales increasing 10% year-over-year to $1.45 billion and net income rising 8% to $164 million. The company reported diluted earnings per share of $5.12, or $5.18 before a non-cash impairment charge. Operating income increased 11% to $279 million, reflecting a strong operating margin of 19.2%. Sales growth was broad-based across key markets, with North America, Western Europe, and Asia/Pacific achieving gains of 6%, 21%, and 3%, respectively. The company’s top six brands, representing approximately 70% of net sales, increased 4% for the full year.​

Quality of Earnings

The company demonstrates strong adherence to General Accounting Principles, with financial reports that conform to GAAP, are decision-useful, sustainable, and offer returns exceeding the cost of capital. There have been no recent changes to accounting policies, and all required financial reports are submitted on time. Revenue quality is also robust, marked by high predictability—with a substantial portion of clients returning year after year—strong profitability with gross margins exceeding 70%, diversified income sources with no client accounting for more than 15% of revenue, and clear growth in both revenue and net income. Additionally, there are no significant financial report warning signs: earnings contain minimal accrual components, do not narrowly beat benchmarks in a suspicious pattern, and revenue is not recognized prematurely. Expenses are not misrepresented, audit opinions are unqualified, goodwill is properly assessed, and the company does not rely on aggressive accounting tactics such as related-party transactions or off-balance-sheet debt. Operating ccash flows align with net income, earnings are recurring and persistent, and there is no history of restatements or enforcement actions, reinforcing the reliability and quality of the company’s financial reporting.
Quality of revenue can be self checked with this questionnaire:
Quality of Revenue
Conclusions were based on an annual report:
FORM 10-K

ICON PLC

Company Summary

ICON plc is a leading global contract research organization (CRO) headquartered in Dublin, Ireland, providing outsourced development and commercialization services to the pharmaceutical, biotechnology, and medical device industries. Founded in 1990, ICON has grown to employ over 41,900 people across 106 locations in 55 countries.

Performance

​ICON plc reported strong financial performance in 2024, achieving a 2.0% year-over-year increase in revenue to $8.28 billion and a 28.8% rise in GAAP net income to $791.5 million. Adjusted net income for the year was $1.16 billion, or $14.00 per diluted share, reflecting a 9.5% increase from the previous year. The company also generated $1.1 billion in free cash flow and repurchased $500 million in stock, demonstrating robust cash management and shareholder value initiatives. Looking ahead, ICON has reaffirmed its 2025 revenue guidance of $8.05–$8.65 billion and adjusted EPS guidance of $13.00–$15.00.​

Quality of Earnings

The company demonstrates strong adherence to General Accounting Principles, with financial reports that conform to GAAP, are decision-useful, sustainable, and offer returns exceeding the cost of capital. There have been no recent changes to accounting policies, and all required financial reports are submitted on time. Revenue quality is also robust, marked by high predictability—with a substantial portion of clients returning year after year—strong profitability with gross margins exceeding 70%, diversified income sources with no client accounting for more than 15% of revenue, and clear growth in both revenue and net income. Additionally, there are no significant financial report warning signs: earnings contain minimal accrual components, do not narrowly beat benchmarks in a suspicious pattern, and revenue is not recognized prematurely. Expenses are not misrepresented, audit opinions are unqualified, goodwill is properly assessed, and the company does not rely on aggressive accounting tactics such as related-party transactions or off-balance-sheet debt. Operating ccash flows align with net income, earnings are recurring and persistent, and there is no history of restatements or enforcement actions, reinforcing the reliability and quality of the company’s financial reporting.
Quality of revenue can be self checked with this questionnaire:
Quality of Revenue
Conclusions were based on an annual report:
FORM 10-K
NĖRA NAUJO LINK’O

SHERWIN WILLIAMS COMPANY

Company Summary

​The Sherwin-Williams Company is a global leader in the manufacture, distribution, and sale of paints, coatings, and related products, serving professional, industrial, commercial, and retail customers through over 5,000 stores worldwide.

Performance

​In 2024, Sherwin-Williams achieved record financial results, with net sales reaching $23.1 billion and net income rising 12.25% year-over-year to $2.68 billion. Diluted earnings per share increased 14.1% to $10.55, reflecting strong performance across its business segments.​

Quality of Earnings

The company demonstrates strong adherence to General Accounting Principles, with financial reports that conform to GAAP, are decision-useful, sustainable, and offer returns exceeding the cost of capital. There have been no recent changes to accounting policies, and all required financial reports are submitted on time. Revenue quality is also robust, marked by high predictability—with a substantial portion of clients returning year after year—strong profitability with gross margins exceeding 70%, diversified income sources with no client accounting for more than 15% of revenue, and clear growth in both revenue and net income. Additionally, there are no significant financial report warning signs: earnings contain minimal accrual components, do not narrowly beat benchmarks in a suspicious pattern, and revenue is not recognized prematurely. Expenses are not misrepresented, audit opinions are unqualified, goodwill is properly assessed, and the company does not rely on aggressive accounting tactics such as related-party transactions or off-balance-sheet debt. Operating ccash flows align with net income, earnings are recurring and persistent, and there is no history of restatements or enforcement actions, reinforcing the reliability and quality of the company’s financial reporting.
Quality of revenue can be self checked with this questionnaire:
Quality of Revenue
Conclusions were based on an annual report:
FORM 10-K

PINNACLE WEST CAPITAL CORPORATION

Company Summary

Pinnacle West Capital Corporation is an investor-owned electric utility holding company based in Phoenix, Arizona, primarily operating through its subsidiary, Arizona Public Service Company (APS), to provide electricity to approximately 1.4 million customers across the state.

Performance

​In 2024, Pinnacle West Capital Corporation reported a 9.1% year-over-year revenue increase to $5.13 billion and a 21.4% rise in net income to $608.8 million ($5.24 per share), driven by strong customer growth, increased energy demand, and new rates. The company also announced plans to add 9,805 MW of mostly carbon-free energy capacity by 2028 to support projected annual sales growth of 4–6%.​

Quality of Earnings

The company demonstrates strong adherence to General Accounting Principles, with financial reports that conform to GAAP, are decision-useful, sustainable, and offer returns exceeding the cost of capital. There have been no recent changes to accounting policies, and all required financial reports are submitted on time. Revenue quality is also robust, marked by high predictability—with a substantial portion of clients returning year after year—strong profitability with gross margins exceeding 70%, diversified income sources with no client accounting for more than 15% of revenue, and clear growth in both revenue and net income. Additionally, there are no significant financial report warning signs: earnings contain minimal accrual components, do not narrowly beat benchmarks in a suspicious pattern, and revenue is not recognized prematurely. Expenses are not misrepresented, audit opinions are unqualified, goodwill is properly assessed, and the company does not rely on aggressive accounting tactics such as related-party transactions or off-balance-sheet debt. Operating ccash flows align with net income, earnings are recurring and persistent, and there is no history of restatements or enforcement actions, reinforcing the reliability and quality of the company’s financial reporting.
Quality of revenue can be self checked with this questionnaire:
Quality of Revenue
Conclusions were based on an annual report:
FORM 10-K

AMEREN CORPORATION

Company Summary

​Ameren Corporation is a fully rate-regulated electric and natural gas utility holding company based in St. Louis, Missouri, serving approximately 2.5 million electric and 900,000 gas customers across Missouri and Illinois.

Performance

​In 2024, Ameren Corporation reported adjusted net income of $1.03 billion, or $3.86 per diluted share, driven by increased infrastructure investments and disciplined cost control. The company expects 2024 adjusted earnings per share between $4.55 and $4.69, and projects 2025 EPS in the range of $4.85 to $5.05, indicating a 7.1% growth at the midpoint.​

Quality of Earnings

The company demonstrates strong adherence to General Accounting Principles, with financial reports that conform to GAAP, are decision-useful, sustainable, and offer returns exceeding the cost of capital. There have been no recent changes to accounting policies, and all required financial reports are submitted on time. Revenue quality is also robust, marked by high predictability—with a substantial portion of clients returning year after year—strong profitability with gross margins exceeding 70%, diversified income sources with no client accounting for more than 15% of revenue, and clear growth in both revenue and net income. Additionally, there are no significant financial report warning signs: earnings contain minimal accrual components, do not narrowly beat benchmarks in a suspicious pattern, and revenue is not recognized prematurely. Expenses are not misrepresented, audit opinions are unqualified, goodwill is properly assessed, and the company does not rely on aggressive accounting tactics such as related-party transactions or off-balance-sheet debt. Operating ccash flows align with net income, earnings are recurring and persistent, and there is no history of restatements or enforcement actions, reinforcing the reliability and quality of the company’s financial reporting.
Quality of revenue can be self checked with this questionnaire:
Quality of Revenue
Conclusions were based on an annual report:
FORM 10-K

CMS ENERGY CORPORATION

Company Summary

​​CMS Energy Corporation is a Michigan-based energy company that provides electricity and natural gas to approximately 6.8 million residents through its primary subsidiary, Consumers Energy, and engages in independent power generation via NorthStar Clean Energy.

Performance

In 2024, CMS Energy Corporation reported strong financial results, with net income rising 13% year-over-year to $1.00 billion and earnings per share increasing to $3.33 from $3.01 in 2023. The company’s adjusted earnings per share reached $3.34, up from $3.11 the previous year. Additionally, CMS Energy raised its annual dividend by 11 cents to $2.17 per share for 2025, marking the 19th consecutive annual increase.​

Quality of Earnings

The company demonstrates strong adherence to General Accounting Principles, with financial reports that conform to GAAP, are decision-useful, sustainable, and offer returns exceeding the cost of capital. There have been no recent changes to accounting policies, and all required financial reports are submitted on time. Revenue quality is also robust, marked by high predictability—with a substantial portion of clients returning year after year—strong profitability with gross margins exceeding 70%, diversified income sources with no client accounting for more than 15% of revenue, and clear growth in both revenue and net income. Additionally, there are no significant financial report warning signs: earnings contain minimal accrual components, do not narrowly beat benchmarks in a suspicious pattern, and revenue is not recognized prematurely. Expenses are not misrepresented, audit opinions are unqualified, goodwill is properly assessed, and the company does not rely on aggressive accounting tactics such as related-party transactions or off-balance-sheet debt. Operating ccash flows align with net income, earnings are recurring and persistent, and there is no history of restatements or enforcement actions, reinforcing the reliability and quality of the company’s financial reporting.
Quality of revenue can be self checked with this questionnaire:
Quality of Revenue
Conclusions were based on an annual report:
FORM 10-K

CORPAY, INC.

Company Summary

​​​Corpay, Inc. is a global corporate payments company headquartered in Atlanta, Georgia, offering solutions for accounts payable automation, commercial cards, cross-border payments, vehicle-related expenses, and workforce lodging to over 800,000 business clients worldwide.

Performance

​In 2024, Corpay, Inc. achieved record financial performance, with revenue increasing 6% year-over-year to $3.97 billion and net income rising 2% to $1.00 billion. Adjusted net income grew 8% to $1.36 billion, and adjusted earnings per share increased 12% to $19.01, driven by strong growth across its corporate payments segments. The company also completed two acquisitions and repurchased $1.3 billion in stock, reflecting its commitment to strategic expansion and shareholder value.​

Quality of Earnings

The company demonstrates strong adherence to General Accounting Principles, with financial reports that conform to GAAP, are decision-useful, sustainable, and offer returns exceeding the cost of capital. There have been no recent changes to accounting policies, and all required financial reports are submitted on time. Revenue quality is also robust, marked by high predictability—with a substantial portion of clients returning year after year—strong profitability with gross margins exceeding 70%, diversified income sources with no client accounting for more than 15% of revenue, and clear growth in both revenue and net income. Additionally, there are no significant financial report warning signs: earnings contain minimal accrual components, do not narrowly beat benchmarks in a suspicious pattern, and revenue is not recognized prematurely. Expenses are not misrepresented, audit opinions are unqualified, goodwill is properly assessed, and the company does not rely on aggressive accounting tactics such as related-party transactions or off-balance-sheet debt. Operating ccash flows align with net income, earnings are recurring and persistent, and there is no history of restatements or enforcement actions, reinforcing the reliability and quality of the company’s financial reporting.
Quality of revenue can be self checked with this questionnaire:
Quality of Revenue
Conclusions were based on an annual report:
FORM 10-K

American Water Works Company, Inc.

Company Summary

​American Water Works Company, Inc. is the largest regulated water and wastewater utility in the United States, providing services to over 14 million people across 14 states and 18 military installations through its subsidiaries.

Performance

​In 2024, American Water Works Company, Inc. delivered robust financial results, with revenue rising 10.6% year-over-year to $4.68 billion and net income increasing 11.3% to $1.05 billion. Earnings per share reached $5.39, up from $4.90 in 2023. The company invested $3.3 billion in infrastructure and completed 13 acquisitions, adding nearly 70,000 customer connections, while maintaining its long-term earnings and dividend growth targets of 7–9%.​

Quality of Earnings

The company demonstrates strong adherence to General Accounting Principles, with financial reports that conform to GAAP, are decision-useful, sustainable, and offer returns exceeding the cost of capital. There have been no recent changes to accounting policies, and all required financial reports are submitted on time. Revenue quality is also robust, marked by high predictability—with a substantial portion of clients returning year after year—strong profitability with gross margins exceeding 70%, diversified income sources with no client accounting for more than 15% of revenue, and clear growth in both revenue and net income. Additionally, there are no significant financial report warning signs: earnings contain minimal accrual components, do not narrowly beat benchmarks in a suspicious pattern, and revenue is not recognized prematurely. Expenses are not misrepresented, audit opinions are unqualified, goodwill is properly assessed, and the company does not rely on aggressive accounting tactics such as related-party transactions or off-balance-sheet debt. Operating ccash flows align with net income, earnings are recurring and persistent, and there is no history of restatements or enforcement actions, reinforcing the reliability and quality of the company’s financial reporting.
Quality of revenue can be self checked with this questionnaire:
Quality of Revenue
Conclusions were based on an annual report:
FORM 10-K

Cboe Global Markets, Inc.

Company Summary

​Cboe Global Markets, Inc. is a leading global exchange operator headquartered in Chicago, Illinois, offering trading and investment solutions across equities, derivatives, foreign exchange, and digital assets through its subsidiaries, including the Chicago Board Options Exchange and BATS Global Markets.

Performance

​In 2024, Cboe Global Markets achieved record financial performance, with net revenue increasing 8% year-over-year to $2.1 billion and adjusted diluted earnings per share rising 10% to $7.21. This growth was driven by strong performance across all business segments, including record options trading volumes, particularly in S&P 500 and VIX options.​

Quality of Earnings

The company demonstrates strong adherence to General Accounting Principles, with financial reports that conform to GAAP, are decision-useful, sustainable, and offer returns exceeding the cost of capital. There have been no recent changes to accounting policies, and all required financial reports are submitted on time. Revenue quality is also robust, marked by high predictability—with a substantial portion of clients returning year after year—strong profitability with gross margins exceeding 70%, diversified income sources with no client accounting for more than 15% of revenue, and clear growth in both revenue and net income. Additionally, there are no significant financial report warning signs: earnings contain minimal accrual components, do not narrowly beat benchmarks in a suspicious pattern, and revenue is not recognized prematurely. Expenses are not misrepresented, audit opinions are unqualified, goodwill is properly assessed, and the company does not rely on aggressive accounting tactics such as related-party transactions or off-balance-sheet debt. Operating ccash flows align with net income, earnings are recurring and persistent, and there is no history of restatements or enforcement actions, reinforcing the reliability and quality of the company’s financial reporting.
Quality of revenue can be self checked with this questionnaire:
Quality of Revenue
Conclusions were based on an annual report:
FORM 10-K

CURTISS WRIGHT CORPORATION

Company Summary

​Curtiss-Wright Corporation is a global integrated company that designs and manufactures highly engineered products and systems, providing critical solutions to aerospace, defense, commercial power, process, and industrial markets.

Performance

​In 2024, Curtiss-Wright Corporation achieved record financial performance, with full-year sales increasing 10% to $3.1 billion and adjusted diluted earnings per share rising 16% to $10.90. The company reported adjusted operating income of $546 million, up 11%, and generated $483 million in free cash flow, reflecting a 116% adjusted free cash flow conversion rate. New orders totaled $3.7 billion, up 20%, and the backlog reached $3.4 billion, also up 20%, driven by strong demand in aerospace and defense markets.​

Quality of Earnings

The company demonstrates strong adherence to General Accounting Principles, with financial reports that conform to GAAP, are decision-useful, sustainable, and offer returns exceeding the cost of capital. There have been no recent changes to accounting policies, and all required financial reports are submitted on time. Revenue quality is also robust, marked by high predictability—with a substantial portion of clients returning year after year—strong profitability with gross margins exceeding 70%, diversified income sources with no client accounting for more than 15% of revenue, and clear growth in both revenue and net income. Additionally, there are no significant financial report warning signs: earnings contain minimal accrual components, do not narrowly beat benchmarks in a suspicious pattern, and revenue is not recognized prematurely. Expenses are not misrepresented, audit opinions are unqualified, goodwill is properly assessed, and the company does not rely on aggressive accounting tactics such as related-party transactions or off-balance-sheet debt. Operating ccash flows align with net income, earnings are recurring and persistent, and there is no history of restatements or enforcement actions, reinforcing the reliability and quality of the company’s financial reporting.
Quality of revenue can be self checked with this questionnaire:
Quality of Revenue
Conclusions were based on an annual report:
FORM 10-K

SLM Corporation

Company Summary

​SLM Corporation, commonly known as Sallie Mae, is a publicly traded U.S. corporation that provides consumer banking services, specializing in originating and servicing private education loans to students and their families to finance the cost of education.

Performance

​​In 2024, SLM Corporation (Sallie Mae) reported a GAAP net income of $590 million, reflecting a 4.67% increase from 2023. The company originated $10 billion in private education loans, marking a 10% year-over-year growth. Total revenue decreased slightly to $1.44 billion, a 1.6% decline from the previous year. Earnings per share for the year were $2.68, up from $2.41 in 2023. The fourth quarter saw a 17% increase in loan originations compared to Q4 2023. Despite a 34% year-over-year drop in quarterly net income to $107 million, the company maintained strong credit performance with net charge-offs at 2.38% of the average loan portfolio in repayment. SLM repurchased 11.6 million shares for $250 million during the year, underscoring its commitment to shareholder value.​

Quality of Earnings

The company demonstrates strong adherence to General Accounting Principles, with financial reports that conform to GAAP, are decision-useful, sustainable, and offer returns exceeding the cost of capital. There have been no recent changes to accounting policies, and all required financial reports are submitted on time. Revenue quality is also robust, marked by high predictability—with a substantial portion of clients returning year after year—strong profitability with gross margins exceeding 70%, diversified income sources with no client accounting for more than 15% of revenue, and clear growth in both revenue and net income. Additionally, there are no significant financial report warning signs: earnings contain minimal accrual components, do not narrowly beat benchmarks in a suspicious pattern, and revenue is not recognized prematurely. Expenses are not misrepresented, audit opinions are unqualified, goodwill is properly assessed, and the company does not rely on aggressive accounting tactics such as related-party transactions or off-balance-sheet debt. Operating ccash flows align with net income, earnings are recurring and persistent, and there is no history of restatements or enforcement actions, reinforcing the reliability and quality of the company’s financial reporting.
Quality of revenue can be self checked with this questionnaire:
Quality of Revenue
Conclusions were based on an annual report:
FORM 10-K

T-Mobile US, Inc.

Company Summary

​T-Mobile US, Inc. is the second-largest wireless carrier in the United States, providing nationwide voice, messaging, and data services under the T-Mobile and Metro by T-Mobile brands.

Performance

​​In 2024, T-Mobile US reported a net income of $11.3 billion, or $9.66 per share, up from $8.4 billion, or $6.93 per share, in 2023. The company achieved a revenue of $81.4 billion, a 3.6% increase year-over-year. In the fourth quarter, T-Mobile added 903,000 postpaid phone customers and generated $21.87 billion in revenue, with net income reaching $2.98 billion, or $2.57 per share. The company also reported a 10% year-over-year growth in core adjusted EBITDA for Q4.​

Quality of Earnings

The company demonstrates strong adherence to General Accounting Principles, with financial reports that conform to GAAP, are decision-useful, sustainable, and offer returns exceeding the cost of capital. There have been no recent changes to accounting policies, and all required financial reports are submitted on time. Revenue quality is also robust, marked by high predictability—with a substantial portion of clients returning year after year—strong profitability with gross margins exceeding 70%, diversified income sources with no client accounting for more than 15% of revenue, and clear growth in both revenue and net income. Additionally, there are no significant financial report warning signs: earnings contain minimal accrual components, do not narrowly beat benchmarks in a suspicious pattern, and revenue is not recognized prematurely. Expenses are not misrepresented, audit opinions are unqualified, goodwill is properly assessed, and the company does not rely on aggressive accounting tactics such as related-party transactions or off-balance-sheet debt. Operating ccash flows align with net income, earnings are recurring and persistent, and there is no history of restatements or enforcement actions, reinforcing the reliability and quality of the company’s financial reporting.
Quality of revenue can be self checked with this questionnaire:
Quality of Revenue
Conclusions were based on an annual report:
FORM 10-K

UNITED STATES LIME & MINERALS INC.

Company Summary

​United States Lime & Minerals, Inc. is a Dallas-based company that manufactures and supplies lime and limestone products—such as quicklime, hydrated lime, and lime slurry—serving industries including construction, steel, environmental services, and agriculture across the central United States.

Performance

In 2024, United States Lime & Minerals Inc. achieved record financial results, with revenue rising 12.9% to $317.7 million and net income increasing 46% to $108.8 million ($3.79 per share), driven by higher average selling prices and strong demand from industrial and environmental sectors.​

Quality of Earnings

The company demonstrates strong adherence to General Accounting Principles, with financial reports that conform to GAAP, are decision-useful, sustainable, and offer returns exceeding the cost of capital. There have been no recent changes to accounting policies, and all required financial reports are submitted on time. Revenue quality is also robust, marked by high predictability—with a substantial portion of clients returning year after year—strong profitability with gross margins exceeding 70%, diversified income sources with no client accounting for more than 15% of revenue, and clear growth in both revenue and net income. Additionally, there are no significant financial report warning signs: earnings contain minimal accrual components, do not narrowly beat benchmarks in a suspicious pattern, and revenue is not recognized prematurely. Expenses are not misrepresented, audit opinions are unqualified, goodwill is properly assessed, and the company does not rely on aggressive accounting tactics such as related-party transactions or off-balance-sheet debt. Operating ccash flows align with net income, earnings are recurring and persistent, and there is no history of restatements or enforcement actions, reinforcing the reliability and quality of the company’s financial reporting.
Quality of revenue can be self checked with this questionnaire:
Quality of Revenue
Conclusions were based on an annual report:
FORM 10-K

Medpace Holdings, Inc.

Company Summary

Medpace Holdings, Inc. is a Cincinnati-based global clinical contract research organization (CRO) that provides full-service Phase I–IV clinical development services to pharmaceutical, biotechnology, and medical device companies across North America, Europe, and Asia.

Performance

​In 2024, Medpace Holdings, Inc. achieved record financial performance, with revenue increasing 11.8% year-over-year to $2.11 billion and GAAP net income rising 43% to $404.4 million ($12.63 per diluted share), driven by strong demand for its clinical research services. The company also reported a 32.5% increase in EBITDA to $480.2 million, reflecting improved operational efficiency.​

Quality of Earnings

The company demonstrates strong adherence to General Accounting Principles, with financial reports that conform to GAAP, are decision-useful, sustainable, and offer returns exceeding the cost of capital. There have been no recent changes to accounting policies, and all required financial reports are submitted on time. Revenue quality is also robust, marked by high predictability—with a substantial portion of clients returning year after year—strong profitability with gross margins exceeding 70%, diversified income sources with no client accounting for more than 15% of revenue, and clear growth in both revenue and net income. Additionally, there are no significant financial report warning signs: earnings contain minimal accrual components, do not narrowly beat benchmarks in a suspicious pattern, and revenue is not recognized prematurely. Expenses are not misrepresented, audit opinions are unqualified, goodwill is properly assessed, and the company does not rely on aggressive accounting tactics such as related-party transactions or off-balance-sheet debt. Operating ccash flows align with net income, earnings are recurring and persistent, and there is no history of restatements or enforcement actions, reinforcing the reliability and quality of the company’s financial reporting.
Quality of revenue can be self checked with this questionnaire:
Quality of Revenue
Conclusions were based on an annual report:
FORM 10-K

Ollie’s Bargain Outlet Holdings, Inc.

Company Summary

Ollie’s Bargain Outlet Holdings, Inc. is a leading U.S. discount retailer specializing in closeout and excess inventory, offering brand-name merchandise at deeply reduced prices across over 570 stores in 31 states.

Performance

​In fiscal 2024, Ollie’s Bargain Outlet Holdings, Inc. achieved record net sales of $2.272 billion, up 8.0% year-over-year, and net income rose 10.1% to $199.8 million ($3.23 per diluted share), driven by new store growth and a 2.8% increase in comparable store sales.​

Quality of Earnings

The company demonstrates strong adherence to General Accounting Principles, with financial reports that conform to GAAP, are decision-useful, sustainable, and offer returns exceeding the cost of capital. There have been no recent changes to accounting policies, and all required financial reports are submitted on time. Revenue quality is also robust, marked by high predictability—with a substantial portion of clients returning year after year—strong profitability with gross margins exceeding 70%, diversified income sources with no client accounting for more than 15% of revenue, and clear growth in both revenue and net income. Additionally, there are no significant financial report warning signs: earnings contain minimal accrual components, do not narrowly beat benchmarks in a suspicious pattern, and revenue is not recognized prematurely. Expenses are not misrepresented, audit opinions are unqualified, goodwill is properly assessed, and the company does not rely on aggressive accounting tactics such as related-party transactions or off-balance-sheet debt. Operating ccash flows align with net income, earnings are recurring and persistent, and there is no history of restatements or enforcement actions, reinforcing the reliability and quality of the company’s financial reporting.
Quality of revenue can be self checked with this questionnaire:
Quality of Revenue
Conclusions were based on an annual report:
FORM 10-K

lululemon athletica inc.

Company Summary

​Lululemon Athletica Inc. is a Canadian multinational athletic apparel retailer, founded in 1998 and headquartered in Vancouver, specializing in technical athletic wear and accessories for yoga, running, training, and other active pursuits, with a global presence through its retail stores and e-commerce platform.

Performance

​In fiscal year 2024, Lululemon Athletica Inc. achieved record financial results, with revenue increasing 10% year-over-year to $10.6 billion and net income rising 17% to $1.8 billion, driven by strong international growth and robust product innovation​In fiscal year 2024, Lululemon Athletica Inc. achieved record financial results, with revenue increasing 10% year-over-year to $10.6 billion and net income rising 17% to $1.8 billion, driven by strong international growth and robust product innovation.​

Quality of Earnings

The company demonstrates strong adherence to General Accounting Principles, with financial reports that conform to GAAP, are decision-useful, sustainable, and offer returns exceeding the cost of capital. There have been no recent changes to accounting policies, and all required financial reports are submitted on time. Revenue quality is also robust, marked by high predictability—with a substantial portion of clients returning year after year—strong profitability with gross margins exceeding 70%, diversified income sources with no client accounting for more than 15% of revenue, and clear growth in both revenue and net income. Additionally, there are no significant financial report warning signs: earnings contain minimal accrual components, do not narrowly beat benchmarks in a suspicious pattern, and revenue is not recognized prematurely. Expenses are not misrepresented, audit opinions are unqualified, goodwill is properly assessed, and the company does not rely on aggressive accounting tactics such as related-party transactions or off-balance-sheet debt. Operating ccash flows align with net income, earnings are recurring and persistent, and there is no history of restatements or enforcement actions, reinforcing the reliability and quality of the company’s financial reporting.
Quality of revenue can be self checked with this questionnaire:
Quality of Revenue
Conclusions were based on an annual report:
FORM 10-K

Paycom Software, Inc.

Company Summary

​Paycom Software, Inc. is a U.S.-based provider of cloud-based human capital management (HCM) software that automates the entire employee life cycle—from recruitment to retirement—through a single, unified platform accessible via desktop and mobile devices.

Performance

​​In 2024, Paycom Software, Inc. achieved record financial results, with revenue increasing 11% year-over-year to $1.88 billion and GAAP net income rising 47% to $502 million, driven by strong demand for its cloud-based human capital management solutions.​

Quality of Earnings

The company demonstrates strong adherence to General Accounting Principles, with financial reports that conform to GAAP, are decision-useful, sustainable, and offer returns exceeding the cost of capital. There have been no recent changes to accounting policies, and all required financial reports are submitted on time. Revenue quality is also robust, marked by high predictability—with a substantial portion of clients returning year after year—strong profitability with gross margins exceeding 70%, diversified income sources with no client accounting for more than 15% of revenue, and clear growth in both revenue and net income. Additionally, there are no significant financial report warning signs: earnings contain minimal accrual components, do not narrowly beat benchmarks in a suspicious pattern, and revenue is not recognized prematurely. Expenses are not misrepresented, audit opinions are unqualified, goodwill is properly assessed, and the company does not rely on aggressive accounting tactics such as related-party transactions or off-balance-sheet debt. Operating ccash flows align with net income, earnings are recurring and persistent, and there is no history of restatements or enforcement actions, reinforcing the reliability and quality of the company’s financial reporting.
Quality of revenue can be self checked with this questionnaire:
Quality of Revenue
Conclusions were based on an annual report:
FORM 10-K

MARKETAXESS HOLDINGS INC.

Company Summary

​MarketAxess Holdings Inc. is a New York-based financial technology company that operates a leading electronic trading platform for institutional credit markets, enabling efficient trading of fixed-income securities such as corporate bonds, and providing market data and post-trade services to clients worldwide.

Performance

​​​In 2024, MarketAxess Holdings Inc. achieved record annual revenue of $817 million, marking a 9% increase from the previous year. The company reported a fourth-quarter net income of $1.73 per share, surpassing analyst expectations by 1.8%, despite a 6% year-over-year decline. This performance was driven by strong trading volumes in high-grade credit and government bonds, as well as increased commission revenues and robust growth in information services.​

Quality of Earnings

The company demonstrates strong adherence to General Accounting Principles, with financial reports that conform to GAAP, are decision-useful, sustainable, and offer returns exceeding the cost of capital. There have been no recent changes to accounting policies, and all required financial reports are submitted on time. Revenue quality is also robust, marked by high predictability—with a substantial portion of clients returning year after year—strong profitability with gross margins exceeding 70%, diversified income sources with no client accounting for more than 15% of revenue, and clear growth in both revenue and net income. Additionally, there are no significant financial report warning signs: earnings contain minimal accrual components, do not narrowly beat benchmarks in a suspicious pattern, and revenue is not recognized prematurely. Expenses are not misrepresented, audit opinions are unqualified, goodwill is properly assessed, and the company does not rely on aggressive accounting tactics such as related-party transactions or off-balance-sheet debt. Operating ccash flows align with net income, earnings are recurring and persistent, and there is no history of restatements or enforcement actions, reinforcing the reliability and quality of the company’s financial reporting.
Quality of revenue can be self checked with this questionnaire:
Quality of Revenue
Conclusions were based on an annual report:
FORM 10-K

GATX CORPORATION

Company Summary

​GATX Corporation is a global transportation asset leasing company headquartered in Chicago, Illinois, specializing in the leasing of railcars, locomotives, tank containers, and aircraft spare engines across North America, Europe, and India.

Performance

​​​​In 2024, GATX Corporation reported strong financial performance, with net income increasing 10% year-over-year to $284.2 million ($7.78 per diluted share). The fourth quarter saw net income rise to $76.5 million ($2.10 per diluted share), up from $66.0 million in Q4 2023. Rail North America’s fleet utilization remained above 99%, and the Lease Price Index (LPI) reached 26.7%. The company also exceeded $1.6 billion in full-year investment volume and initiated 2025 earnings guidance of $8.30–$8.70 per diluted share.​

Quality of Earnings

The company demonstrates strong adherence to General Accounting Principles, with financial reports that conform to GAAP, are decision-useful, sustainable, and offer returns exceeding the cost of capital. There have been no recent changes to accounting policies, and all required financial reports are submitted on time. Revenue quality is also robust, marked by high predictability—with a substantial portion of clients returning year after year—strong profitability with gross margins exceeding 70%, diversified income sources with no client accounting for more than 15% of revenue, and clear growth in both revenue and net income. Additionally, there are no significant financial report warning signs: earnings contain minimal accrual components, do not narrowly beat benchmarks in a suspicious pattern, and revenue is not recognized prematurely. Expenses are not misrepresented, audit opinions are unqualified, goodwill is properly assessed, and the company does not rely on aggressive accounting tactics such as related-party transactions or off-balance-sheet debt. Operating ccash flows align with net income, earnings are recurring and persistent, and there is no history of restatements or enforcement actions, reinforcing the reliability and quality of the company’s financial reporting.
Quality of revenue can be self checked with this questionnaire:
Quality of Revenue
Conclusions were based on an annual report:
FORM 10-K

HONEYWELL INTERNATIONAL INC.

Company Summary

​​Honeywell International Inc. is a U.S.-based multinational conglomerate that invents and manufactures technologies to address challenges in various sectors, including aerospace, building automation, industrial automation, and energy and sustainability solutions.

Performance

​​​​​In 2024, Honeywell International Inc. reported a 5% increase in annual revenue to $38.5 billion, with adjusted earnings per share rising 4% to $9.89. The company achieved a 7% year-over-year sales growth in Q4, reaching $10.1 billion, and reported adjusted earnings per share of $2.47, though this was an 8% decline from the previous year. Despite challenges such as the Bombardier agreement, Honeywell’s backlog grew 11% to a record $35.3 billion, and operating income increased by 10% year-over-year in Q4. Looking ahead, Honeywell projects 2025 adjusted earnings per share between $10.10 and $10.50, with sales expected to range from $39.6 billion to $40.6 billion.​

Quality of Earnings

The company demonstrates strong adherence to General Accounting Principles, with financial reports that conform to GAAP, are decision-useful, sustainable, and offer returns exceeding the cost of capital. There have been no recent changes to accounting policies, and all required financial reports are submitted on time. Revenue quality is also robust, marked by high predictability—with a substantial portion of clients returning year after year—strong profitability with gross margins exceeding 70%, diversified income sources with no client accounting for more than 15% of revenue, and clear growth in both revenue and net income. Additionally, there are no significant financial report warning signs: earnings contain minimal accrual components, do not narrowly beat benchmarks in a suspicious pattern, and revenue is not recognized prematurely. Expenses are not misrepresented, audit opinions are unqualified, goodwill is properly assessed, and the company does not rely on aggressive accounting tactics such as related-party transactions or off-balance-sheet debt. Operating ccash flows align with net income, earnings are recurring and persistent, and there is no history of restatements or enforcement actions, reinforcing the reliability and quality of the company’s financial reporting.
Quality of revenue can be self checked with this questionnaire:
Quality of Revenue
Conclusions were based on an annual report:
FORM 10-K

HUBBELL INC.

Company Summary

​​Hubbell Incorporated is a Connecticut-based manufacturer of electrical and utility products, serving commercial, industrial, and utility markets worldwide.

Performance

In 2024, Hubbell Inc. achieved a net income of $776 million, a 2.4% increase year-over-year, with adjusted diluted EPS rising to $16.57, driven by strong performance in its Utility Solutions segment and strategic portfolio management.​

Quality of Earnings

The company demonstrates strong adherence to General Accounting Principles, with financial reports that conform to GAAP, are decision-useful, sustainable, and offer returns exceeding the cost of capital. There have been no recent changes to accounting policies, and all required financial reports are submitted on time. Revenue quality is also robust, marked by high predictability—with a substantial portion of clients returning year after year—strong profitability with gross margins exceeding 70%, diversified income sources with no client accounting for more than 15% of revenue, and clear growth in both revenue and net income. Additionally, there are no significant financial report warning signs: earnings contain minimal accrual components, do not narrowly beat benchmarks in a suspicious pattern, and revenue is not recognized prematurely. Expenses are not misrepresented, audit opinions are unqualified, goodwill is properly assessed, and the company does not rely on aggressive accounting tactics such as related-party transactions or off-balance-sheet debt. Operating ccash flows align with net income, earnings are recurring and persistent, and there is no history of restatements or enforcement actions, reinforcing the reliability and quality of the company’s financial reporting.
Quality of revenue can be self checked with this questionnaire:
Quality of Revenue
Conclusions were based on an annual report:
FORM 10-K

ARMSTRONG WORLD INDUSTRIES INC.

Company Summary

​Armstrong World Industries, Inc. is a leading U.S.-based manufacturer of innovative ceiling and wall system solutions, serving commercial and residential markets across the Americas.

Performance

​In 2024, Armstrong World Industries achieved record financial results, with net sales increasing 11.6% year-over-year to $1.45 billion and net income rising 18.4% to $264.9 million, driven by strong performance in both Mineral Fiber and Architectural Specialties segments, bolstered by strategic acquisitions.​

Quality of Earnings

The company demonstrates strong adherence to General Accounting Principles, with financial reports that conform to GAAP, are decision-useful, sustainable, and offer returns exceeding the cost of capital. There have been no recent changes to accounting policies, and all required financial reports are submitted on time. Revenue quality is also robust, marked by high predictability—with a substantial portion of clients returning year after year—strong profitability with gross margins exceeding 70%, diversified income sources with no client accounting for more than 15% of revenue, and clear growth in both revenue and net income. Additionally, there are no significant financial report warning signs: earnings contain minimal accrual components, do not narrowly beat benchmarks in a suspicious pattern, and revenue is not recognized prematurely. Expenses are not misrepresented, audit opinions are unqualified, goodwill is properly assessed, and the company does not rely on aggressive accounting tactics such as related-party transactions or off-balance-sheet debt. Operating ccash flows align with net income, earnings are recurring and persistent, and there is no history of restatements or enforcement actions, reinforcing the reliability and quality of the company’s financial reporting.
Quality of revenue can be self checked with this questionnaire:
Quality of Revenue
Conclusions were based on an annual report:
FORM 10-K

BWX Technologies, Inc.

Company Summary

​BWX Technologies, Inc. is a U.S.-based nuclear technology company headquartered in Lynchburg, Virginia, specializing in the design and manufacture of nuclear components and fuel for the U.S. government and commercial customers, with applications spanning naval propulsion, nuclear medicine, clean energy, and space exploration.

Performance

​In 2024, BWX Technologies, Inc. achieved record financial results, with revenue increasing 8.3% year-over-year to $2.7 billion and net income rising 15% to $282.3 million, driven by strong performance in both government and commercial operations.​

Quality of Earnings

The company demonstrates strong adherence to General Accounting Principles, with financial reports that conform to GAAP, are decision-useful, sustainable, and offer returns exceeding the cost of capital. There have been no recent changes to accounting policies, and all required financial reports are submitted on time. Revenue quality is also robust, marked by high predictability—with a substantial portion of clients returning year after year—strong profitability with gross margins exceeding 70%, diversified income sources with no client accounting for more than 15% of revenue, and clear growth in both revenue and net income. Additionally, there are no significant financial report warning signs: earnings contain minimal accrual components, do not narrowly beat benchmarks in a suspicious pattern, and revenue is not recognized prematurely. Expenses are not misrepresented, audit opinions are unqualified, goodwill is properly assessed, and the company does not rely on aggressive accounting tactics such as related-party transactions or off-balance-sheet debt. Operating ccash flows align with net income, earnings are recurring and persistent, and there is no history of restatements or enforcement actions, reinforcing the reliability and quality of the company’s financial reporting.
Quality of revenue can be self checked with this questionnaire:
Quality of Revenue
Conclusions were based on an annual report:
FORM 10-K

Installed Building Products, Inc.

Company Summary

​​Installed Building Products, Inc. (IBP) is a leading U.S. installer of insulation and complementary building products—including garage doors, rain gutters, and shower enclosures—serving residential, multifamily, and commercial construction markets through a network of over 250 branches nationwide.

Performance

​In 2024, Installed Building Products, Inc. achieved record financial results, with net revenue increasing 5.9% year-over-year to $2.94 billion and net income rising 9.3% to $233.7 million, driven by strong performance across residential and commercial markets, as well as strategic acquisitions.​

Quality of Earnings

The company demonstrates strong adherence to General Accounting Principles, with financial reports that conform to GAAP, are decision-useful, sustainable, and offer returns exceeding the cost of capital. There have been no recent changes to accounting policies, and all required financial reports are submitted on time. Revenue quality is also robust, marked by high predictability—with a substantial portion of clients returning year after year—strong profitability with gross margins exceeding 70%, diversified income sources with no client accounting for more than 15% of revenue, and clear growth in both revenue and net income. Additionally, there are no significant financial report warning signs: earnings contain minimal accrual components, do not narrowly beat benchmarks in a suspicious pattern, and revenue is not recognized prematurely. Expenses are not misrepresented, audit opinions are unqualified, goodwill is properly assessed, and the company does not rely on aggressive accounting tactics such as related-party transactions or off-balance-sheet debt. Operating ccash flows align with net income, earnings are recurring and persistent, and there is no history of restatements or enforcement actions, reinforcing the reliability and quality of the company’s financial reporting.
Quality of revenue can be self checked with this questionnaire:
Quality of Revenue
Conclusions were based on an annual report:
FORM 10-K

APTARGROUP, INC.

Company Summary

AptarGroup, Inc. is a global leader in designing and manufacturing innovative drug delivery and consumer product dispensing solutions, serving industries such as pharmaceuticals, beauty, food, and personal care across more than 20 countries.

Performance

​In 2024, AptarGroup, Inc. achieved record financial results, with revenue increasing 3% year-over-year to $3.6 billion and net income rising 32% to $375 million, driven by strong performance in its Pharma and Closures segments.​

Quality of Earnings

The company demonstrates strong adherence to General Accounting Principles, with financial reports that conform to GAAP, are decision-useful, sustainable, and offer returns exceeding the cost of capital. There have been no recent changes to accounting policies, and all required financial reports are submitted on time. Revenue quality is also robust, marked by high predictability—with a substantial portion of clients returning year after year—strong profitability with gross margins exceeding 70%, diversified income sources with no client accounting for more than 15% of revenue, and clear growth in both revenue and net income. Additionally, there are no significant financial report warning signs: earnings contain minimal accrual components, do not narrowly beat benchmarks in a suspicious pattern, and revenue is not recognized prematurely. Expenses are not misrepresented, audit opinions are unqualified, goodwill is properly assessed, and the company does not rely on aggressive accounting tactics such as related-party transactions or off-balance-sheet debt. Operating ccash flows align with net income, earnings are recurring and persistent, and there is no history of restatements or enforcement actions, reinforcing the reliability and quality of the company’s financial reporting.
Quality of revenue can be self checked with this questionnaire:
Quality of Revenue
Conclusions were based on an annual report:
FORM 10-K

Esquire Financial Holdings, Inc.

Company Summary

Esquire Financial Holdings, Inc. is a financial holding company headquartered in Jericho, New York, serving as the parent company of Esquire Bank, National Association. The bank is a full-service commercial institution dedicated to meeting the financial needs of the legal industry and small businesses across the United States, as well as offering commercial and retail banking services in the New York metropolitan area. Esquire Bank provides a range of tailored products and solutions, including checking, savings, and money market accounts; commercial and consumer loans; real estate financing; and merchant services. Additionally, the bank offers specialized services such as post-settlement consumer loans and structured settlement loans to plaintiffs and claimants.

Performance

​In 2024, Esquire Financial Holdings, Inc. achieved record financial results, with net income increasing 7% year-over-year to $43.7 million ($5.14 per diluted share). Revenue rose 10% to $120.1 million, driven by strong commercial loan growth and a net interest margin of 6.06%. The company also reported a 28% annualized increase in core deposits and a 31% annualized rise in total loans to $1.4 billion.​

Quality of Earnings

The company demonstrates strong adherence to General Accounting Principles, with financial reports that conform to GAAP, are decision-useful, sustainable, and offer returns exceeding the cost of capital. There have been no recent changes to accounting policies, and all required financial reports are submitted on time. Revenue quality is also robust, marked by high predictability—with a substantial portion of clients returning year after year—strong profitability with gross margins exceeding 70%, diversified income sources with no client accounting for more than 15% of revenue, and clear growth in both revenue and net income. Additionally, there are no significant financial report warning signs: earnings contain minimal accrual components, do not narrowly beat benchmarks in a suspicious pattern, and revenue is not recognized prematurely. Expenses are not misrepresented, audit opinions are unqualified, goodwill is properly assessed, and the company does not rely on aggressive accounting tactics such as related-party transactions or off-balance-sheet debt. Operating ccash flows align with net income, earnings are recurring and persistent, and there is no history of restatements or enforcement actions, reinforcing the reliability and quality of the company’s financial reporting.
Quality of revenue can be self checked with this questionnaire:
Quality of Revenue
Conclusions were based on an annual report:
FORM 10-K

DXP ENTERPRISES INC.

Company Summary

​DXP Enterprises, Inc. is a Houston-based industrial distribution company specializing in maintenance, repair, and operating (MRO) products and services, including rotating equipment, bearings, power transmission, and supply chain solutions, serving industries such as oil and gas, manufacturing, and municipal utilities.

Performance

​In fiscal year 2024, DXP Enterprises, Inc. reported a 7.4% increase in revenue to $1.8 billion, driven by strong performance across its business segments. Net income rose to $70.5 million, with diluted earnings per share (EPS) of $4.22 and adjusted EPS of $4.51. The company achieved an adjusted EBITDA of $191.3 million, representing 10.6% of sales. Notably, the Innovative Pumping Solutions segment experienced a 47.7% revenue growth, while the Service Centers segment saw a 1.9% increase. DXP Enterprises also completed seven acquisitions during the year and repurchased 0.6 million shares for $28.8 million, ending the year with $148.4 million in cash and restricted cash.​

Quality of Earnings

The company demonstrates strong adherence to General Accounting Principles, with financial reports that conform to GAAP, are decision-useful, sustainable, and offer returns exceeding the cost of capital. There have been no recent changes to accounting policies, and all required financial reports are submitted on time. Revenue quality is also robust, marked by high predictability—with a substantial portion of clients returning year after year—strong profitability with gross margins exceeding 70%, diversified income sources with no client accounting for more than 15% of revenue, and clear growth in both revenue and net income. Additionally, there are no significant financial report warning signs: earnings contain minimal accrual components, do not narrowly beat benchmarks in a suspicious pattern, and revenue is not recognized prematurely. Expenses are not misrepresented, audit opinions are unqualified, goodwill is properly assessed, and the company does not rely on aggressive accounting tactics such as related-party transactions or off-balance-sheet debt. Operating ccash flows align with net income, earnings are recurring and persistent, and there is no history of restatements or enforcement actions, reinforcing the reliability and quality of the company’s financial reporting.
Quality of revenue can be self checked with this questionnaire:
Quality of Revenue
Conclusions were based on an annual report:
FORM 10-K

DAVITA INC.

Company Summary

​​DaVita Inc. is a leading U.S.-based healthcare provider specializing in kidney care, operating over 3,100 outpatient dialysis centers across 11 countries and serving more than 240,000 patients globally.

Performance

​In 2024, DaVita Inc. reported consolidated revenues of $12.816 billion, a 4.7% increase year-over-year, and net income of $936 million, up 35.4% from 2023. The company achieved adjusted operating income of $1.98 billion, with adjusted earnings per share (EPS) of $9.68, reflecting a 26% growth from the previous year. In the fourth quarter, DaVita generated $3.295 billion in revenue and $565 million in operating income, with adjusted EPS of $2.24, marking a 12.3% year-over-year increase. Despite challenges such as supply chain disruptions and increased patient care costs, DaVita’s strategic initiatives and operational efficiencies contributed to its strong financial performance.​

Quality of Earnings

The company demonstrates strong adherence to General Accounting Principles, with financial reports that conform to GAAP, are decision-useful, sustainable, and offer returns exceeding the cost of capital. There have been no recent changes to accounting policies, and all required financial reports are submitted on time. Revenue quality is also robust, marked by high predictability—with a substantial portion of clients returning year after year—strong profitability with gross margins exceeding 70%, diversified income sources with no client accounting for more than 15% of revenue, and clear growth in both revenue and net income. Additionally, there are no significant financial report warning signs: earnings contain minimal accrual components, do not narrowly beat benchmarks in a suspicious pattern, and revenue is not recognized prematurely. Expenses are not misrepresented, audit opinions are unqualified, goodwill is properly assessed, and the company does not rely on aggressive accounting tactics such as related-party transactions or off-balance-sheet debt. Operating ccash flows align with net income, earnings are recurring and persistent, and there is no history of restatements or enforcement actions, reinforcing the reliability and quality of the company’s financial reporting.
Quality of revenue can be self checked with this questionnaire:
Quality of Revenue
Conclusions were based on an annual report:
FORM 10-K

GARMIN LTD

Company Summary

​​Garmin Ltd. is a multinational technology company headquartered in Schaffhausen, Switzerland, and Olathe, Kansas, specializing in GPS-enabled devices and software across five key segments: fitness, outdoor, aviation, marine, and automotive OEM.

Performance

​In 2024, Garmin Ltd. achieved record financial results, with revenue increasing 20% year-over-year to $6.3 billion and net income rising 9.4% to $1.41 billion, driven by strong performance across all segments, particularly fitness, outdoor, and auto OEM.​

Quality of Earnings

The company demonstrates strong adherence to General Accounting Principles, with financial reports that conform to GAAP, are decision-useful, sustainable, and offer returns exceeding the cost of capital. There have been no recent changes to accounting policies, and all required financial reports are submitted on time. Revenue quality is also robust, marked by high predictability—with a substantial portion of clients returning year after year—strong profitability with gross margins exceeding 70%, diversified income sources with no client accounting for more than 15% of revenue, and clear growth in both revenue and net income. Additionally, there are no significant financial report warning signs: earnings contain minimal accrual components, do not narrowly beat benchmarks in a suspicious pattern, and revenue is not recognized prematurely. Expenses are not misrepresented, audit opinions are unqualified, goodwill is properly assessed, and the company does not rely on aggressive accounting tactics such as related-party transactions or off-balance-sheet debt. Operating ccash flows align with net income, earnings are recurring and persistent, and there is no history of restatements or enforcement actions, reinforcing the reliability and quality of the company’s financial reporting.
Quality of revenue can be self checked with this questionnaire:
Quality of Revenue
Conclusions were based on an annual report:
FORM 10-K

DTE ENERGY CO

Company Summary

​DTE Energy Co. is a Detroit-based diversified energy company providing electricity to 2.3 million customers and natural gas to 1.3 million customers in Michigan, with additional operations in renewable energy, energy trading, and industrial energy services.

Performance

​​In 2024, DTE Energy Co. reported net income of $1.4 billion, consistent with the previous year, while operating earnings rose to $1.4 billion ($6.83 per diluted share) from $1.2 billion ($5.73 per share) in 2023. The company invested a record $4 billion to modernize its electric grid and upgrade natural gas pipelines, enhancing reliability and supporting cleaner energy delivery.​

Quality of Earnings

The company demonstrates strong adherence to General Accounting Principles, with financial reports that conform to GAAP, are decision-useful, sustainable, and offer returns exceeding the cost of capital. There have been no recent changes to accounting policies, and all required financial reports are submitted on time. Revenue quality is also robust, marked by high predictability—with a substantial portion of clients returning year after year—strong profitability with gross margins exceeding 70%, diversified income sources with no client accounting for more than 15% of revenue, and clear growth in both revenue and net income. Additionally, there are no significant financial report warning signs: earnings contain minimal accrual components, do not narrowly beat benchmarks in a suspicious pattern, and revenue is not recognized prematurely. Expenses are not misrepresented, audit opinions are unqualified, goodwill is properly assessed, and the company does not rely on aggressive accounting tactics such as related-party transactions or off-balance-sheet debt. Operating ccash flows align with net income, earnings are recurring and persistent, and there is no history of restatements or enforcement actions, reinforcing the reliability and quality of the company’s financial reporting.
Quality of revenue can be self checked with this questionnaire:
Quality of Revenue
Conclusions were based on an annual report:
FORM 10-K

CHEESECAKE FACTORY INC.

Company Summary

​The Cheesecake Factory Incorporated is a U.S.-based restaurant company known for its extensive menu, generous portions, and signature cheesecakes, operating over 350 full-service restaurants across brands like The Cheesecake Factory, North Italia, and Flower Child in the U.S., Canada, and internationally through licensing agreements.

Performance

​In fiscal year 2024, The Cheesecake Factory Inc. achieved record annual revenue of $3.58 billion, up from $3.3 billion in 2023, and net income of $156.8 million, a 55% increase year-over-year. In the fourth quarter, revenue rose 5% to $921 million, with net income of $41.2 million and adjusted earnings per share of $1.04. Comparable restaurant sales grew 1.7%, and the company opened 23 new restaurants during the year, surpassing development expectations.​

Quality of Earnings

The company demonstrates strong adherence to General Accounting Principles, with financial reports that conform to GAAP, are decision-useful, sustainable, and offer returns exceeding the cost of capital. There have been no recent changes to accounting policies, and all required financial reports are submitted on time. Revenue quality is also robust, marked by high predictability—with a substantial portion of clients returning year after year—strong profitability with gross margins exceeding 70%, diversified income sources with no client accounting for more than 15% of revenue, and clear growth in both revenue and net income. Additionally, there are no significant financial report warning signs: earnings contain minimal accrual components, do not narrowly beat benchmarks in a suspicious pattern, and revenue is not recognized prematurely. Expenses are not misrepresented, audit opinions are unqualified, goodwill is properly assessed, and the company does not rely on aggressive accounting tactics such as related-party transactions or off-balance-sheet debt. Operating ccash flows align with net income, earnings are recurring and persistent, and there is no history of restatements or enforcement actions, reinforcing the reliability and quality of the company’s financial reporting.
Quality of revenue can be self checked with this questionnaire:
Quality of Revenue
Conclusions were based on an annual report:
FORM 10-K

Addus HomeCare Corporation

Company Summary

​Addus HomeCare Corporation is a leading U.S. provider of in-home personal care, hospice, and home health services, operating over 200 locations across 22 states and serving more than 40,000 patients weekly.

Performance

​In 2024, Addus HomeCare Corporation achieved record financial results, with net service revenues increasing 9.1% year-over-year to $1.15 billion and net income rising 17.8% to $73.6 million, driven by strong demand for its home-based care services and strategic acquisitions.​

Quality of Earnings

The company demonstrates strong adherence to General Accounting Principles, with financial reports that conform to GAAP, are decision-useful, sustainable, and offer returns exceeding the cost of capital. There have been no recent changes to accounting policies, and all required financial reports are submitted on time. Revenue quality is also robust, marked by high predictability—with a substantial portion of clients returning year after year—strong profitability with gross margins exceeding 70%, diversified income sources with no client accounting for more than 15% of revenue, and clear growth in both revenue and net income. Additionally, there are no significant financial report warning signs: earnings contain minimal accrual components, do not narrowly beat benchmarks in a suspicious pattern, and revenue is not recognized prematurely. Expenses are not misrepresented, audit opinions are unqualified, goodwill is properly assessed, and the company does not rely on aggressive accounting tactics such as related-party transactions or off-balance-sheet debt. Operating ccash flows align with net income, earnings are recurring and persistent, and there is no history of restatements or enforcement actions, reinforcing the reliability and quality of the company’s financial reporting.
Quality of revenue can be self checked with this questionnaire:
Quality of Revenue
Conclusions were based on an annual report:
FORM 10-K

ASSURANT, INC.

Company Summary

​​Assurant, Inc. is a Fortune 500 global business services company headquartered in Atlanta, Georgia, specializing in risk management solutions for connected devices, homes, and automobiles, with operations in 21 countries and over 13,000 employees.

Performance

​In 2024, Assurant Inc. achieved its second consecutive year of double-digit earnings growth, with GAAP net income rising 18% to $760.2 million and adjusted earnings per share (excluding catastrophes) increasing 19% to $20.35, driven by strong performance in its Global Housing segment and disciplined capital management.​

Quality of Earnings

The company demonstrates strong adherence to General Accounting Principles, with financial reports that conform to GAAP, are decision-useful, sustainable, and offer returns exceeding the cost of capital. There have been no recent changes to accounting policies, and all required financial reports are submitted on time. Revenue quality is also robust, marked by high predictability—with a substantial portion of clients returning year after year—strong profitability with gross margins exceeding 70%, diversified income sources with no client accounting for more than 15% of revenue, and clear growth in both revenue and net income. Additionally, there are no significant financial report warning signs: earnings contain minimal accrual components, do not narrowly beat benchmarks in a suspicious pattern, and revenue is not recognized prematurely. Expenses are not misrepresented, audit opinions are unqualified, goodwill is properly assessed, and the company does not rely on aggressive accounting tactics such as related-party transactions or off-balance-sheet debt. Operating ccash flows align with net income, earnings are recurring and persistent, and there is no history of restatements or enforcement actions, reinforcing the reliability and quality of the company’s financial reporting.
Quality of revenue can be self checked with this questionnaire:
Quality of Revenue
Conclusions were based on an annual report:
FORM 10-K

WATTS WATER TECHNOLOGIES INC.

Company Summary

​Watts Water Technologies, Inc. is a global leader in water solutions, offering a diverse range of products for plumbing, HVAC, water quality, and drainage applications across residential, commercial, and industrial markets. In 2023, the company achieved record financial results, with revenue increasing 3.9% year-over-year to $2.25 billion and net income rising 4.2% to $180.5 million. This growth was driven by strong demand across its core segments and continued investment in innovation and sustainability initiatives.

Performance

​In 2024, Watts Water Technologies reported record financial results, with revenue increasing 10% year-over-year to $2.25 billion and net income rising 11% to $291.2 million. The company achieved an adjusted operating margin of 17.7% and adjusted earnings per share of $8.86, up 7% from the previous year. Free cash flow reached $332 million, an 18% increase, driven by higher net income and improved working capital. The Americas segment led performance with a 21.8% margin in Q4, while the Europe segment faced challenges, resulting in a 26% decline in earnings.​

Quality of Earnings

The company demonstrates strong adherence to General Accounting Principles, with financial reports that conform to GAAP, are decision-useful, sustainable, and offer returns exceeding the cost of capital. There have been no recent changes to accounting policies, and all required financial reports are submitted on time. Revenue quality is also robust, marked by high predictability—with a substantial portion of clients returning year after year—strong profitability with gross margins exceeding 70%, diversified income sources with no client accounting for more than 15% of revenue, and clear growth in both revenue and net income. Additionally, there are no significant financial report warning signs: earnings contain minimal accrual components, do not narrowly beat benchmarks in a suspicious pattern, and revenue is not recognized prematurely. Expenses are not misrepresented, audit opinions are unqualified, goodwill is properly assessed, and the company does not rely on aggressive accounting tactics such as related-party transactions or off-balance-sheet debt. Operating ccash flows align with net income, earnings are recurring and persistent, and there is no history of restatements or enforcement actions, reinforcing the reliability and quality of the company’s financial reporting.
Quality of revenue can be self checked with this questionnaire:
Quality of Revenue
Conclusions were based on an annual report:
FORM 10-K

MGE ENERGY INC.

Company Summary

​MGE Energy, Inc. is a public utility holding company headquartered in Madison, Wisconsin, serving as the parent of Madison Gas and Electric Co., which provides electricity and natural gas services to customers in south-central and western Wisconsin.

Performance

​In 2024, MGE Energy, Inc. reported steady financial performance with net income rising 2.4% year-over-year to $120.6 million ($3.33 per share), while revenue remained stable at approximately $677 million. The company continued to invest in renewable energy projects, including the completion of the Paris Solar Project in December, contributing to asset growth and supporting its long-term sustainability goals.​

Quality of Earnings

The company demonstrates strong adherence to General Accounting Principles, with financial reports that conform to GAAP, are decision-useful, sustainable, and offer returns exceeding the cost of capital. There have been no recent changes to accounting policies, and all required financial reports are submitted on time. Revenue quality is also robust, marked by high predictability—with a substantial portion of clients returning year after year—strong profitability with gross margins exceeding 70%, diversified income sources with no client accounting for more than 15% of revenue, and clear growth in both revenue and net income. Additionally, there are no significant financial report warning signs: earnings contain minimal accrual components, do not narrowly beat benchmarks in a suspicious pattern, and revenue is not recognized prematurely. Expenses are not misrepresented, audit opinions are unqualified, goodwill is properly assessed, and the company does not rely on aggressive accounting tactics such as related-party transactions or off-balance-sheet debt. Operating ccash flows align with net income, earnings are recurring and persistent, and there is no history of restatements or enforcement actions, reinforcing the reliability and quality of the company’s financial reporting.
Quality of revenue can be self checked with this questionnaire:
Quality of Revenue
Conclusions were based on an annual report:
FORM 10-K

SOUTHERN COMPANY

Company Summary

​​Southern Company is a leading U.S. energy provider headquartered in Atlanta, Georgia, serving approximately 9 million customers through its subsidiaries. The company operates electric utilities in Alabama, Georgia, and Mississippi, and natural gas distribution companies in four states, offering clean, safe, reliable, and affordable energy. Southern Company also engages in wholesale energy generation, distributed energy infrastructure, fiber optics, and telecommunications services.

Performance

​In 2024, Southern Company reported net income of $4.4 billion, or $4.02 per share, up from $4.0 billion, or $3.64 per share, in 2023, reflecting solid earnings growth despite a 5.2% decline in operating revenues to $4.5 billion.​

Quality of Earnings

The company demonstrates strong adherence to General Accounting Principles, with financial reports that conform to GAAP, are decision-useful, sustainable, and offer returns exceeding the cost of capital. There have been no recent changes to accounting policies, and all required financial reports are submitted on time. Revenue quality is also robust, marked by high predictability—with a substantial portion of clients returning year after year—strong profitability with gross margins exceeding 70%, diversified income sources with no client accounting for more than 15% of revenue, and clear growth in both revenue and net income. Additionally, there are no significant financial report warning signs: earnings contain minimal accrual components, do not narrowly beat benchmarks in a suspicious pattern, and revenue is not recognized prematurely. Expenses are not misrepresented, audit opinions are unqualified, goodwill is properly assessed, and the company does not rely on aggressive accounting tactics such as related-party transactions or off-balance-sheet debt. Operating ccash flows align with net income, earnings are recurring and persistent, and there is no history of restatements or enforcement actions, reinforcing the reliability and quality of the company’s financial reporting.
Quality of revenue can be self checked with this questionnaire:
Quality of Revenue
Conclusions were based on an annual report:
FORM 10-K

PayPal Holdings, Inc.

Company Summary

​PayPal Holdings, Inc. is a leading global fintech company that facilitates digital and mobile payments through its platforms—including PayPal, Venmo, Braintree, and Xoom—serving over 426 million active accounts across approximately 200 markets worldwide.

Performance

​In 2024, PayPal Holdings Inc. achieved a 7% year-over-year increase in net revenues, reaching $31.8 billion, and processed a total payment volume of $1.68 trillion, up 10%. However, the company’s GAAP net income declined by 2.3% to $4.15 billion, with a profit margin of 13%, down from 14% in 2023.​

Quality of Earnings

The company demonstrates strong adherence to General Accounting Principles, with financial reports that conform to GAAP, are decision-useful, sustainable, and offer returns exceeding the cost of capital. There have been no recent changes to accounting policies, and all required financial reports are submitted on time. Revenue quality is also robust, marked by high predictability—with a substantial portion of clients returning year after year—strong profitability with gross margins exceeding 70%, diversified income sources with no client accounting for more than 15% of revenue, and clear growth in both revenue and net income. Additionally, there are no significant financial report warning signs: earnings contain minimal accrual components, do not narrowly beat benchmarks in a suspicious pattern, and revenue is not recognized prematurely. Expenses are not misrepresented, audit opinions are unqualified, goodwill is properly assessed, and the company does not rely on aggressive accounting tactics such as related-party transactions or off-balance-sheet debt. Operating ccash flows align with net income, earnings are recurring and persistent, and there is no history of restatements or enforcement actions, reinforcing the reliability and quality of the company’s financial reporting.
Quality of revenue can be self checked with this questionnaire:
Quality of Revenue
Conclusions were based on an annual report:
FORM 10-K

NATIONAL HEALTH INVESTORS INC.

Company Summary

​​National Health Investors, Inc. (NHI) is a U.S.-based real estate investment trust (REIT) specializing in sale-leaseback, joint-venture, mortgage, and mezzanine financing of senior housing and medical investments, with a portfolio comprising independent living, assisted living, memory care communities, skilled nursing facilities, and specialty hospitals across 33 states.

Performance

​In 2024, National Health Investors, Inc. (NHI) achieved a return to growth, with net income increasing to $43.24 million in Q4 and normalized Funds from Operations (FFO) rising for the first time since 2020. The company reported a 12.5% year-over-year growth in net operating income for Q4 and approximately 32% for the full year, driven by strategic portfolio optimization and strong rent collections. Additionally, NHI’s total shareholder return reached 30.6%, significantly outperforming the Nareit Healthcare REIT Index.​

Quality of Earnings

The company demonstrates strong adherence to General Accounting Principles, with financial reports that conform to GAAP, are decision-useful, sustainable, and offer returns exceeding the cost of capital. There have been no recent changes to accounting policies, and all required financial reports are submitted on time. Revenue quality is also robust, marked by high predictability—with a substantial portion of clients returning year after year—strong profitability with gross margins exceeding 70%, diversified income sources with no client accounting for more than 15% of revenue, and clear growth in both revenue and net income. Additionally, there are no significant financial report warning signs: earnings contain minimal accrual components, do not narrowly beat benchmarks in a suspicious pattern, and revenue is not recognized prematurely. Expenses are not misrepresented, audit opinions are unqualified, goodwill is properly assessed, and the company does not rely on aggressive accounting tactics such as related-party transactions or off-balance-sheet debt. Operating ccash flows align with net income, earnings are recurring and persistent, and there is no history of restatements or enforcement actions, reinforcing the reliability and quality of the company’s financial reporting.
Quality of revenue can be self checked with this questionnaire:
Quality of Revenue
Conclusions were based on an annual report:
FORM 10-K

IQVIA HOLDINGS INC.

Company Summary

​IQVIA Holdings Inc. is a leading global provider of advanced analytics, technology solutions, and clinical research services to the life sciences industry, helping healthcare organizations accelerate innovation and improve patient outcomes.

Performance

​In 2024, IQVIA Holdings Inc. reported a 2.8% year-over-year increase in annual revenue, reaching $15.405 billion, with fourth-quarter revenue of $3.958 billion, up 2.3% from the previous year. The company achieved a GAAP net income of $1.373 billion for the year, marking a 1.1% rise, and adjusted net income of $2.042 billion, up 7.4%. Adjusted diluted earnings per share for the year were $11.13, a 9.1% increase. Adjusted EBITDA for 2024 was $3.684 billion, reflecting a 3.2% growth. The Technology & Analytics Solutions segment led with a 9.5% constant currency revenue growth in Q4, while the Research & Development Solutions segment experienced a slight decline. The company also reported record free cash flow of $721 million in Q4, contributing to a 49% year-over-year increase in free cash flow for the year.​

Quality of Earnings

The company demonstrates strong adherence to General Accounting Principles, with financial reports that conform to GAAP, are decision-useful, sustainable, and offer returns exceeding the cost of capital. There have been no recent changes to accounting policies, and all required financial reports are submitted on time. Revenue quality is also robust, marked by high predictability—with a substantial portion of clients returning year after year—strong profitability with gross margins exceeding 70%, diversified income sources with no client accounting for more than 15% of revenue, and clear growth in both revenue and net income. Additionally, there are no significant financial report warning signs: earnings contain minimal accrual components, do not narrowly beat benchmarks in a suspicious pattern, and revenue is not recognized prematurely. Expenses are not misrepresented, audit opinions are unqualified, goodwill is properly assessed, and the company does not rely on aggressive accounting tactics such as related-party transactions or off-balance-sheet debt. Operating ccash flows align with net income, earnings are recurring and persistent, and there is no history of restatements or enforcement actions, reinforcing the reliability and quality of the company’s financial reporting.
Quality of revenue can be self checked with this questionnaire:
Quality of Revenue
Conclusions were based on an annual report:
FORM 10-K

Interactive Brokers Group, Inc.

Company Summary

​​Interactive Brokers Group, Inc. is a leading global electronic brokerage firm headquartered in Greenwich, Connecticut, providing automated trade execution and custody services across more than 160 markets in 28 currencies, catering to individual investors, hedge funds, proprietary trading groups, financial advisors, and introducing brokers worldwide.

Performance

​In 2024, Interactive Brokers Group Inc. achieved record financial results, with annual net revenues surpassing $5 billion for the first time. The company reported a fourth-quarter GAAP net income of $1.99 per share, a 34% increase year-over-year, driven by a 37% rise in commission revenue and an 11% increase in net interest income. Customer trading volumes surged, with stock trading up 65% and options trading up 32%, while the number of customer accounts grew by 30% to 3.34 million. The company’s strong performance led to a 26.9% increase in its stock price during the quarter.​

Quality of Earnings

The company demonstrates strong adherence to General Accounting Principles, with financial reports that conform to GAAP, are decision-useful, sustainable, and offer returns exceeding the cost of capital. There have been no recent changes to accounting policies, and all required financial reports are submitted on time. Revenue quality is also robust, marked by high predictability—with a substantial portion of clients returning year after year—strong profitability with gross margins exceeding 70%, diversified income sources with no client accounting for more than 15% of revenue, and clear growth in both revenue and net income. Additionally, there are no significant financial report warning signs: earnings contain minimal accrual components, do not narrowly beat benchmarks in a suspicious pattern, and revenue is not recognized prematurely. Expenses are not misrepresented, audit opinions are unqualified, goodwill is properly assessed, and the company does not rely on aggressive accounting tactics such as related-party transactions or off-balance-sheet debt. Operating ccash flows align with net income, earnings are recurring and persistent, and there is no history of restatements or enforcement actions, reinforcing the reliability and quality of the company’s financial reporting.
Quality of revenue can be self checked with this questionnaire:
Quality of Revenue
Conclusions were based on an annual report:
FORM 10-K

InterDigital, Inc.

Company Summary

InterDigital, Inc. is a global research and development company specializing in wireless, video, and artificial intelligence (AI) technologies, providing foundational innovations for connected and immersive experiences across various communications and entertainment products and services.

Performance

​In 2024, InterDigital, Inc. achieved record financial performance, reporting annual revenue of $869 million, a 58% increase year-over-year. The fourth quarter alone saw revenue surge to $253 million, marking a 140% year-over-year growth. Adjusted EBITA for Q4 was $198 million, with a margin of 78%, and the full-year adjusted EBITA margin improved to 63%, up 20 percentage points over four years. Net income for Q4 was $133.1 million, a 241% increase, and full-year net income rose 68% to $383 million. Non-GAAP EPS for Q4 reached $5.15, and full-year non-GAAP EPS was $14.97. The company generated $169 million in free cash flow during Q4, ending the year with nearly $1 billion in cash and over $500 million in net cash. Shareholder returns for 2024 totaled $110 million through buybacks and dividends. Looking ahead, InterDigital expects 2025 revenue between $660 million and $760 million, with adjusted EBITA ranging from $400 million to $495 million, and non-GAAP EPS between $9.69 and $12.92.​

Quality of Earnings

The company demonstrates strong adherence to General Accounting Principles, with financial reports that conform to GAAP, are decision-useful, sustainable, and offer returns exceeding the cost of capital. There have been no recent changes to accounting policies, and all required financial reports are submitted on time. Revenue quality is also robust, marked by high predictability—with a substantial portion of clients returning year after year—strong profitability with gross margins exceeding 70%, diversified income sources with no client accounting for more than 15% of revenue, and clear growth in both revenue and net income. Additionally, there are no significant financial report warning signs: earnings contain minimal accrual components, do not narrowly beat benchmarks in a suspicious pattern, and revenue is not recognized prematurely. Expenses are not misrepresented, audit opinions are unqualified, goodwill is properly assessed, and the company does not rely on aggressive accounting tactics such as related-party transactions or off-balance-sheet debt. Operating ccash flows align with net income, earnings are recurring and persistent, and there is no history of restatements or enforcement actions, reinforcing the reliability and quality of the company’s financial reporting.
Quality of revenue can be self checked with this questionnaire:
Quality of Revenue
Conclusions were based on an annual report:
FORM 10-K

Intercontinental Exchange, Inc.

Company Summary

​Intercontinental Exchange, Inc. (ICE) is a global financial services company founded in 2000, headquartered in Atlanta, Georgia. It operates regulated exchanges and clearing houses, including the New York Stock Exchange (NYSE), and provides data services and mortgage technology solutions. ICE’s platforms facilitate trading in financial and commodity markets, offering products such as futures, options, and over-the-counter (OTC) instruments across various asset classes.

Performance

​​In 2024, Intercontinental Exchange (ICE) reported a 16% year-over-year increase in revenue, totaling $9.28 billion, and a 14% rise in GAAP diluted earnings per share to $4.78. Adjusted earnings per share for the year were $6.07, up 8% from the previous year. The company also achieved record operating income of $4.3 billion and adjusted operating income of $5.5 billion. In the fourth quarter, ICE posted net revenues of $2.3 billion and adjusted earnings per share of $1.52, marking a 14% increase compared to the same period in 2023.​

Quality of Earnings

The company demonstrates strong adherence to General Accounting Principles, with financial reports that conform to GAAP, are decision-useful, sustainable, and offer returns exceeding the cost of capital. There have been no recent changes to accounting policies, and all required financial reports are submitted on time. Revenue quality is also robust, marked by high predictability—with a substantial portion of clients returning year after year—strong profitability with gross margins exceeding 70%, diversified income sources with no client accounting for more than 15% of revenue, and clear growth in both revenue and net income. Additionally, there are no significant financial report warning signs: earnings contain minimal accrual components, do not narrowly beat benchmarks in a suspicious pattern, and revenue is not recognized prematurely. Expenses are not misrepresented, audit opinions are unqualified, goodwill is properly assessed, and the company does not rely on aggressive accounting tactics such as related-party transactions or off-balance-sheet debt. Operating ccash flows align with net income, earnings are recurring and persistent, and there is no history of restatements or enforcement actions, reinforcing the reliability and quality of the company’s financial reporting.
Quality of revenue can be self checked with this questionnaire:
Quality of Revenue
Conclusions were based on an annual report:
FORM 10-K

WASTE MANAGEMENT INC.

Company Summary

​Waste Management, Inc., known as WM, is North America’s leading provider of comprehensive environmental services, offering waste collection, recycling, and disposal solutions to residential, commercial, and industrial customers across the United States, Canada, and Puerto Rico.

Performance

​​​In 2024, Waste Management, Inc. (WM) achieved a record 30% operating EBITDA margin, driven by strategic acquisitions and operational efficiencies. The company reported $22.06 billion in revenue, an 8% increase from the previous year, and net income of $2.75 billion, up 19%. Notably, WM acquired Stericycle for $7.2 billion, expanding into medical waste services and anticipating over $125 million in annual cost synergies.​

Quality of Earnings

The company demonstrates strong adherence to General Accounting Principles, with financial reports that conform to GAAP, are decision-useful, sustainable, and offer returns exceeding the cost of capital. There have been no recent changes to accounting policies, and all required financial reports are submitted on time. Revenue quality is also robust, marked by high predictability—with a substantial portion of clients returning year after year—strong profitability with gross margins exceeding 70%, diversified income sources with no client accounting for more than 15% of revenue, and clear growth in both revenue and net income. Additionally, there are no significant financial report warning signs: earnings contain minimal accrual components, do not narrowly beat benchmarks in a suspicious pattern, and revenue is not recognized prematurely. Expenses are not misrepresented, audit opinions are unqualified, goodwill is properly assessed, and the company does not rely on aggressive accounting tactics such as related-party transactions or off-balance-sheet debt. Operating ccash flows align with net income, earnings are recurring and persistent, and there is no history of restatements or enforcement actions, reinforcing the reliability and quality of the company’s financial reporting.
Quality of revenue can be self checked with this questionnaire:
Quality of Revenue
Conclusions were based on an annual report:
FORM 10-K

PROGRESSIVE CORP/OH/

Company Summary

The Progressive Corporation, founded in 1937 by Joseph Lewis and Jack Green, is a leading American insurance company headquartered in Mayfield Village, Ohio. It is the second-largest personal auto insurer in the United States and offers a wide range of insurance products, including personal and commercial auto, residential property, and specialty lines such as motorcycles and boats.

Performance

​​​​In Q1 2025, Progressive Corporation reported a 10% increase in net income, totaling $2.57 billion, or $4.37 per share, compared to $2.33 billion, or $3.94 per share, in the same period the previous year. Net premiums written surged by 17% to $22.21 billion, driven by strong demand across personal and commercial auto insurance lines. The combined ratio improved slightly to 86%, indicating profitable underwriting operations. The company also experienced significant growth in active policies, with personal insurance policies increasing by 18% to 35.1 million and commercial policies up 6%.​

Quality of Earnings

The company demonstrates strong adherence to General Accounting Principles, with financial reports that conform to GAAP, are decision-useful, sustainable, and offer returns exceeding the cost of capital. There have been no recent changes to accounting policies, and all required financial reports are submitted on time. Revenue quality is also robust, marked by high predictability—with a substantial portion of clients returning year after year—strong profitability with gross margins exceeding 70%, diversified income sources with no client accounting for more than 15% of revenue, and clear growth in both revenue and net income. Additionally, there are no significant financial report warning signs: earnings contain minimal accrual components, do not narrowly beat benchmarks in a suspicious pattern, and revenue is not recognized prematurely. Expenses are not misrepresented, audit opinions are unqualified, goodwill is properly assessed, and the company does not rely on aggressive accounting tactics such as related-party transactions or off-balance-sheet debt. Operating ccash flows align with net income, earnings are recurring and persistent, and there is no history of restatements or enforcement actions, reinforcing the reliability and quality of the company’s financial reporting.
Quality of revenue can be self checked with this questionnaire:
Quality of Revenue
Conclusions were based on an annual report:
FORM 10-K

BERKLEY W R CORPORATION

Company Summary

​W. R. Berkley Corporation is a leading American commercial lines property and casualty insurance holding company, founded in 1967 and headquartered in Greenwich, Connecticut. Operating through over 55 specialized businesses, Berkley offers tailored insurance solutions across various industries, products, and regions, with a global presence spanning North America, Europe, Asia-Pacific, and beyond.

Performance

​In Q1 2025, W. R. Berkley Corporation reported a 5.6% decline in net income to $417.6 million ($1.04 per share), primarily due to increased catastrophe-related losses of $111.1 million, up from $30.5 million the previous year. Despite this, the company achieved a 9.9% increase in net written premiums to $3.13 billion and a 12.6% rise in net investment income to $360.3 million. The combined ratio for the quarter was 90.9%, including 3.7 percentage points from catastrophe losses, reflecting the company’s focus on managing volatility as part of its risk-adjusted return strategy.​ In 2024, W. R. Berkley set new financial records, reporting net income of $1.76 billion, a 27.5% increase from the previous year. The company achieved a calendar-year combined ratio of 90.2%, demonstrating effective risk management. Gross and net premiums written grew by 9.6% and 9.3%, respectively, to records of $14.2 billion and $12.0 billion. Net investment income rose 26.6% to a record $1.3 billion, and operating cash flow increased 25.6% to a record $3.7 billion. Total capital returned to shareholders amounted to $835.6 million through dividends and share repurchases.

Quality of Earnings

The company demonstrates strong adherence to General Accounting Principles, with financial reports that conform to GAAP, are decision-useful, sustainable, and offer returns exceeding the cost of capital. There have been no recent changes to accounting policies, and all required financial reports are submitted on time. Revenue quality is also robust, marked by high predictability—with a substantial portion of clients returning year after year—strong profitability with gross margins exceeding 70%, diversified income sources with no client accounting for more than 15% of revenue, and clear growth in both revenue and net income. Additionally, there are no significant financial report warning signs: earnings contain minimal accrual components, do not narrowly beat benchmarks in a suspicious pattern, and revenue is not recognized prematurely. Expenses are not misrepresented, audit opinions are unqualified, goodwill is properly assessed, and the company does not rely on aggressive accounting tactics such as related-party transactions or off-balance-sheet debt. Operating ccash flows align with net income, earnings are recurring and persistent, and there is no history of restatements or enforcement actions, reinforcing the reliability and quality of the company’s financial reporting.
Quality of revenue can be self checked with this questionnaire:
Quality of Revenue
Conclusions were based on an annual report:
FORM 10-K

Morningstar, Inc.

Company Summary

​Morningstar, Inc. is a leading global financial services firm headquartered in Chicago, Illinois, founded in 1984 by Joe Mansueto. The company provides comprehensive investment research, data, and analytics across various asset classes, including mutual funds, stocks, and exchange-traded funds (ETFs). Morningstar serves individual investors, financial advisors, asset managers, and institutional clients through its suite of products, such as Morningstar Direct, Morningstar Advisor Workstation, and Morningstar Premium. As of 2023, the firm managed over $295 billion in assets under advisement and operated in 29 countries.

Performance

In Q4 2024, Morningstar reported a 9.7% increase in revenue to $591.0 million, with organic revenue growth of 10.6%. Operating income surged 78.2% to $168.2 million, and adjusted operating income rose 7.7%. Net income per share increased 58.5% to $2.71, while adjusted diluted net income per share grew 8.6% to $2.14. Free cash flow for the quarter was $112.8 million, up 4.6% year-over-year. For the full year 2024, Morningstar achieved a 11.6% increase in revenue to $2.3 billion, with organic revenue growth of 11.8%. Operating income more than doubled, rising 110.2% to $484.8 million, and adjusted operating income increased 51.2%. Net income per share jumped 160.8% to $8.58, and adjusted diluted net income per share rose 54.1% to $7.89. Free cash flow for the year was $448.9 million, up 127.5% year-over-year.

Quality of Earnings

The company demonstrates strong adherence to General Accounting Principles, with financial reports that conform to GAAP, are decision-useful, sustainable, and offer returns exceeding the cost of capital. There have been no recent changes to accounting policies, and all required financial reports are submitted on time. Revenue quality is also robust, marked by high predictability—with a substantial portion of clients returning year after year—strong profitability with gross margins exceeding 70%, diversified income sources with no client accounting for more than 15% of revenue, and clear growth in both revenue and net income. Additionally, there are no significant financial report warning signs: earnings contain minimal accrual components, do not narrowly beat benchmarks in a suspicious pattern, and revenue is not recognized prematurely. Expenses are not misrepresented, audit opinions are unqualified, goodwill is properly assessed, and the company does not rely on aggressive accounting tactics such as related-party transactions or off-balance-sheet debt. Operating ccash flows align with net income, earnings are recurring and persistent, and there is no history of restatements or enforcement actions, reinforcing the reliability and quality of the company’s financial reporting.
Quality of revenue can be self checked with this questionnaire:
Quality of Revenue
Conclusions were based on an annual report:
FORM 10-K

LPL Financial Holdings Inc.

Company Summary

​LPL Financial Holdings Inc. is the largest independent broker-dealer in the United States, founded in 1989 through the merger of Linsco and Private Ledger. Headquartered in San Diego, California, LPL provides comprehensive brokerage and investment advisory services to over 29,000 financial advisors and institutions nationwide. The company offers an integrated platform that includes technology solutions, clearing services, compliance support, and practice management tools, enabling advisors to deliver personalized financial advice to their clients. As of December 2024, LPL Financial managed approximately $1.7 trillion in advisory and brokerage assets and supported over 6 million investors.

Performance

In Q4 2024, LPL reported net income of $271 million, or $3.59 per diluted share, on revenue of $3.51 billion . For the full year 2024, net income was $1.1 billion, or $14.03 per diluted share, with adjusted EPS of $16.51. As of January 2025, LPL’s advisory and brokerage assets totaled $1.81 trillion, a 4.1% increase from December 2024. LPL Financial Holdings Inc (LPLA) is a equity in the USA market. The price is 315.84 USD currently with a change of 3.17000 (0.01014%) from the previous close. The intraday high is None USD and the intraday low is None USD.

Quality of Earnings

The company demonstrates strong adherence to General Accounting Principles, with financial reports that conform to GAAP, are decision-useful, sustainable, and offer returns exceeding the cost of capital. There have been no recent changes to accounting policies, and all required financial reports are submitted on time. Revenue quality is also robust, marked by high predictability—with a substantial portion of clients returning year after year—strong profitability with gross margins exceeding 70%, diversified income sources with no client accounting for more than 15% of revenue, and clear growth in both revenue and net income. Additionally, there are no significant financial report warning signs: earnings contain minimal accrual components, do not narrowly beat benchmarks in a suspicious pattern, and revenue is not recognized prematurely. Expenses are not misrepresented, audit opinions are unqualified, goodwill is properly assessed, and the company does not rely on aggressive accounting tactics such as related-party transactions or off-balance-sheet debt. Operating ccash flows align with net income, earnings are recurring and persistent, and there is no history of restatements or enforcement actions, reinforcing the reliability and quality of the company’s financial reporting.
Quality of revenue can be self checked with this questionnaire:
Quality of Revenue
Conclusions were based on an annual report:
FORM 10-K

STERLING INFRASTRUCTURE, INC.

Company Summary

​​Sterling Infrastructure, Inc. (NASDAQ: STRL) is a diversified infrastructure services provider specializing in e-infrastructure, transportation, and building solutions, serving sectors such as data centers, e-commerce, transportation, and residential construction across the United States.

Performance

​Sterling Infrastructure, Inc. (NASDAQ: STRL) reported strong financial performance in Q4 and full-year 2024, with Q4 revenues reaching $498.8 million (+3%) and net income surging to $113.2 million ($3.64 per diluted share). Adjusted net income for Q4 was $45.5 million ($1.46 per diluted share) excluding one-time gains. For the full year, revenue grew 7%, with net income of $257.5 million ($8.27 per diluted share) and adjusted net income of $189.9 million ($6.10 per diluted share). The company generated $497.1 million in operating cash flow and ended with $664.2 million in cash. The E-Infrastructure Solutions segment showed notable strength, with 50% operating income growth and expanding margins to 24.1%. Data center revenue increased over 50% year-over-year. For 2025, Sterling projects revenue of $2.00–2.15 billion, net income of $215–230 million, and adjusted EBITDA of $395–420 million.

Quality of Earnings

The company demonstrates strong adherence to General Accounting Principles, with financial reports that conform to GAAP, are decision-useful, sustainable, and offer returns exceeding the cost of capital. There have been no recent changes to accounting policies, and all required financial reports are submitted on time. Revenue quality is also robust, marked by high predictability—with a substantial portion of clients returning year after year—strong profitability with gross margins exceeding 70%, diversified income sources with no client accounting for more than 15% of revenue, and clear growth in both revenue and net income. Additionally, there are no significant financial report warning signs: earnings contain minimal accrual components, do not narrowly beat benchmarks in a suspicious pattern, and revenue is not recognized prematurely. Expenses are not misrepresented, audit opinions are unqualified, goodwill is properly assessed, and the company does not rely on aggressive accounting tactics such as related-party transactions or off-balance-sheet debt. Operating ccash flows align with net income, earnings are recurring and persistent, and there is no history of restatements or enforcement actions, reinforcing the reliability and quality of the company’s financial reporting.
Quality of revenue can be self checked with this questionnaire:
Quality of Revenue
Conclusions were based on an annual report:
FORM 10-K

QUALYS, INC.

Company Summary

​Qualys, Inc. is a leading provider of cloud-based information security and compliance solutions, headquartered in Foster City, California. Founded in 1999, the company offers a unified platform that enables organizations to automate IT asset discovery, vulnerability management, threat detection, and compliance monitoring across their digital environments. With over 10,000 customers in more than 130 countries, Qualys serves a diverse range of industries, including finance, healthcare, manufacturing, and government.

Performance

In Q4 2024, Qualys reported a GAAP earnings per share (EPS) of $1.19, surpassing the estimated $0.92, and a net income increase of 8% year-over-year . The company also announced a $200 million increase to its share repurchase program, reflecting confidence in its financial position and growth prospects. For the full year 2024, Qualys achieved a 10% revenue growth, totaling $607.6 million, and a 16% increase in net income to $229 million . The company maintained an adjusted EBITDA margin of 47% for the year, indicating strong operational efficiency. As of April 25, 2025, Qualys’ stock is trading at $124.89, reflecting a 2.57% increase from the previous close.

Quality of Earnings

The company demonstrates strong adherence to General Accounting Principles, with financial reports that conform to GAAP, are decision-useful, sustainable, and offer returns exceeding the cost of capital. There have been no recent changes to accounting policies, and all required financial reports are submitted on time. Revenue quality is also robust, marked by high predictability—with a substantial portion of clients returning year after year—strong profitability with gross margins exceeding 70%, diversified income sources with no client accounting for more than 15% of revenue, and clear growth in both revenue and net income. Additionally, there are no significant financial report warning signs: earnings contain minimal accrual components, do not narrowly beat benchmarks in a suspicious pattern, and revenue is not recognized prematurely. Expenses are not misrepresented, audit opinions are unqualified, goodwill is properly assessed, and the company does not rely on aggressive accounting tactics such as related-party transactions or off-balance-sheet debt. Operating ccash flows align with net income, earnings are recurring and persistent, and there is no history of restatements or enforcement actions, reinforcing the reliability and quality of the company’s financial reporting.
Quality of revenue can be self checked with this questionnaire:
Quality of Revenue
Conclusions were based on an annual report:
FORM 10-K

Burlington Stores, Inc.

Company Summary

​Burlington Stores, Inc. is a leading off-price retailer in the United States, offering a wide assortment of branded merchandise—including apparel, footwear, accessories, and home goods—at significant discounts through its network of over 1,000 stores nationwide.

Performance

​Burlington Stores, Inc. (NYSE: BURL) reported strong financial performance for the fourth quarter and full year of fiscal 2024. In Q4, total sales reached $3.272 billion, a 10% increase compared to the same period in the previous year. Adjusted earnings per share (EPS) were $4.13, marking a 12% rise year-over-year. Comparable store sales grew by 6%, surpassing the company’s guidance of 0% to 2% growth. For the full fiscal year 2024, Burlington achieved total sales of $11.4 billion, an 11% increase from the previous year. Adjusted EPS for the year was $8.35, a 34% increase compared to the prior year. Looking ahead to fiscal year 2025, the company projects total sales growth of 6% to 8%, with adjusted EPS expected to be between $8.70 and $9.30.

Quality of Earnings

The company demonstrates strong adherence to General Accounting Principles, with financial reports that conform to GAAP, are decision-useful, sustainable, and offer returns exceeding the cost of capital. There have been no recent changes to accounting policies, and all required financial reports are submitted on time. Revenue quality is also robust, marked by high predictability—with a substantial portion of clients returning year after year—strong profitability with gross margins exceeding 70%, diversified income sources with no client accounting for more than 15% of revenue, and clear growth in both revenue and net income. Additionally, there are no significant financial report warning signs: earnings contain minimal accrual components, do not narrowly beat benchmarks in a suspicious pattern, and revenue is not recognized prematurely. Expenses are not misrepresented, audit opinions are unqualified, goodwill is properly assessed, and the company does not rely on aggressive accounting tactics such as related-party transactions or off-balance-sheet debt. Operating ccash flows align with net income, earnings are recurring and persistent, and there is no history of restatements or enforcement actions, reinforcing the reliability and quality of the company’s financial reporting.
Quality of revenue can be self checked with this questionnaire:
Quality of Revenue
Conclusions were based on an annual report:
FORM 10-K

ICF International, Inc.

Company Summary

ICF International, Inc. is a global consulting and technology services company headquartered in Reston, Virginia, offering services such as strategic planning, research, program management, business process management, data analytics, technology, cybersecurity, and marketing strategy and engagement.

Performance

​​ICF International Inc (NASDAQ: ICFI) reported strong financial performance in Q4 and full-year 2024. In Q4, the company achieved revenue of $496.3 million, a 3.8% increase year-over-year. Net income for the quarter was $24.6 million, up 10.8%, with diluted earnings per share (EPS) of $1.30, a 12.1% increase. Adjusted EBITDA margin expanded by 30 basis points to 11.2%. For the full year, revenue totaled $2.02 billion, with net income of $94.2 million and non-GAAP EPS of $7.45, reflecting a 15% increase. The company also reported a 22% year-over-year growth in commercial revenue to $133.2 million. Looking ahead, ICF projects Q1 2025 revenue between $480 million and $500 million, with GAAP EPS expected between $1.35 and $1.45, and non-GAAP EPS ranging from $1.70 to $1.80, comparable to Q1 2024 results. As of April 25, 2025, ICF’s stock is trading at $85.85, reflecting a 1.56% increase from the previous close.

Quality of Earnings

The company demonstrates strong adherence to General Accounting Principles, with financial reports that conform to GAAP, are decision-useful, sustainable, and offer returns exceeding the cost of capital. There have been no recent changes to accounting policies, and all required financial reports are submitted on time. Revenue quality is also robust, marked by high predictability—with a substantial portion of clients returning year after year—strong profitability with gross margins exceeding 70%, diversified income sources with no client accounting for more than 15% of revenue, and clear growth in both revenue and net income. Additionally, there are no significant financial report warning signs: earnings contain minimal accrual components, do not narrowly beat benchmarks in a suspicious pattern, and revenue is not recognized prematurely. Expenses are not misrepresented, audit opinions are unqualified, goodwill is properly assessed, and the company does not rely on aggressive accounting tactics such as related-party transactions or off-balance-sheet debt. Operating ccash flows align with net income, earnings are recurring and persistent, and there is no history of restatements or enforcement actions, reinforcing the reliability and quality of the company’s financial reporting.
Quality of revenue can be self checked with this questionnaire:
Quality of Revenue
Conclusions were based on an annual report:
FORM 10-K

CSG SYSTEMS INTERNATIONAL INC.

Company Summary

CSG Systems International Inc. is a global provider of business support solutions, offering services like billing, customer care, and revenue management to companies in industries such as telecommunications, media, and utilities.

Performance

​​CSG Systems International Inc. has demonstrated consistent growth, with a strong focus on expanding its product offerings in billing, customer care, and revenue management. The company has successfully diversified its client base, securing long-term partnerships with major players in the telecommunications and media sectors. Despite challenges in the broader market, CSG has managed to maintain steady financial performance and continues to invest in innovation and strategic acquisitions to drive future growth.

Quality of Earnings

The company demonstrates strong adherence to General Accounting Principles, with financial reports that conform to GAAP, are decision-useful, sustainable, and offer returns exceeding the cost of capital. There have been no recent changes to accounting policies, and all required financial reports are submitted on time. Revenue quality is also robust, marked by high predictability—with a substantial portion of clients returning year after year—strong profitability with gross margins exceeding 70%, diversified income sources with no client accounting for more than 15% of revenue, and clear growth in both revenue and net income. Additionally, there are no significant financial report warning signs: earnings contain minimal accrual components, do not narrowly beat benchmarks in a suspicious pattern, and revenue is not recognized prematurely. Expenses are not misrepresented, audit opinions are unqualified, goodwill is properly assessed, and the company does not rely on aggressive accounting tactics such as related-party transactions or off-balance-sheet debt. Operating ccash flows align with net income, earnings are recurring and persistent, and there is no history of restatements or enforcement actions, reinforcing the reliability and quality of the company’s financial reporting.
Quality of revenue can be self checked with this questionnaire:
Quality of Revenue
Conclusions were based on an annual report:
FORM 10-K

FEDERAL SIGNAL CORP /DE/

Company Summary

Federal Signal Corporation is a U.S.-based manufacturer specializing in safety and infrastructure products, including street sweepers, emergency vehicle equipment, and public alert systems, serving municipal, industrial, and commercial sectors globally.

Performance

​Federal Signal Corporation (NYSE: FSS) concluded 2024 with a record-setting performance, achieving $1.86 billion in net sales—an 8% increase from the previous year—and a 37% rise in GAAP diluted earnings per share (EPS) to $3.50. The company reported strong operating cash flow of $231 million, up 19% year-over-year, and maintained a robust backlog of $1.03 billion as of December 31, 2024. In the fourth quarter, Federal Signal posted net sales of $472 million, an 11% increase from the same period in 2023, and operating income of $70.1 million, up 11% year-over-year. Adjusted EPS for the quarter was $0.87, an 18% improvement compared to the prior year. Looking ahead, the company projects adjusted EPS for 2025 to range between $3.60 and $3.90, with net sales expected to be between $2.02 billion and $2.10 billion.

Quality of Earnings

The company demonstrates strong adherence to General Accounting Principles, with financial reports that conform to GAAP, are decision-useful, sustainable, and offer returns exceeding the cost of capital. There have been no recent changes to accounting policies, and all required financial reports are submitted on time. Revenue quality is also robust, marked by high predictability—with a substantial portion of clients returning year after year—strong profitability with gross margins exceeding 70%, diversified income sources with no client accounting for more than 15% of revenue, and clear growth in both revenue and net income. Additionally, there are no significant financial report warning signs: earnings contain minimal accrual components, do not narrowly beat benchmarks in a suspicious pattern, and revenue is not recognized prematurely. Expenses are not misrepresented, audit opinions are unqualified, goodwill is properly assessed, and the company does not rely on aggressive accounting tactics such as related-party transactions or off-balance-sheet debt. Operating ccash flows align with net income, earnings are recurring and persistent, and there is no history of restatements or enforcement actions, reinforcing the reliability and quality of the company’s financial reporting.
Quality of revenue can be self checked with this questionnaire:
Quality of Revenue
Conclusions were based on an annual report:
FORM 10-K

EASTGROUP PROPERTIES INC.

Company Summary

​EastGroup Properties Inc. (NYSE: EGP) is a self-administered equity real estate investment trust (REIT) specializing in the development, acquisition, and operation of industrial properties across high-growth U.S. Sunbelt markets, including Texas, Florida, California, Arizona, and North Carolina, with a portfolio encompassing approximately 63.1 million square feet of space.

Performance

​​EastGroup Properties Inc. (NYSE: EGP) delivered strong financial performance in 2024, highlighted by a 7.9% increase in Funds from Operations (FFO) per share and a 3.6% rise in same-property Net Operating Income (NOI). The company expanded its portfolio through strategic acquisitions, adding 1.79 million square feet of operating properties and 26.8 acres of development land for approximately $257 million in Q4 2024. Additionally, EastGroup commenced construction on five development projects totaling 802,000 square feet, with projected costs around $125 million. Looking ahead, the company projects 2025 FFO per share between $8.80 and $9.00, indicating continued growth and stability in the industrial real estate sector.

Quality of Earnings

The company demonstrates strong adherence to General Accounting Principles, with financial reports that conform to GAAP, are decision-useful, sustainable, and offer returns exceeding the cost of capital. There have been no recent changes to accounting policies, and all required financial reports are submitted on time. Revenue quality is also robust, marked by high predictability—with a substantial portion of clients returning year after year—strong profitability with gross margins exceeding 70%, diversified income sources with no client accounting for more than 15% of revenue, and clear growth in both revenue and net income. Additionally, there are no significant financial report warning signs: earnings contain minimal accrual components, do not narrowly beat benchmarks in a suspicious pattern, and revenue is not recognized prematurely. Expenses are not misrepresented, audit opinions are unqualified, goodwill is properly assessed, and the company does not rely on aggressive accounting tactics such as related-party transactions or off-balance-sheet debt. Operating ccash flows align with net income, earnings are recurring and persistent, and there is no history of restatements or enforcement actions, reinforcing the reliability and quality of the company’s financial reporting.
Quality of revenue can be self checked with this questionnaire:
Quality of Revenue
Conclusions were based on an annual report:
FORM 10-K

Expedia Group, Inc.

Company Summary

Expedia Group, Inc. (NASDAQ: EXPE) is a leading global online travel technology company that owns and operates a diverse portfolio of travel fare aggregators and metasearch engines, including Expedia, Hotels.com, Vrbo, Travelocity, Hotwire.com, Orbitz, Ebookers, CheapTickets, CarRentals.com, Expedia Cruises, Wotif, and Trivago.

Performance

​​Expedia Group, Inc. (NASDAQ: EXPE) has experienced strong financial performance in 2024. In Q4, gross bookings increased by 13% year-over-year to $24.4 billion, while revenue grew by 10% to $3.18 billion. Net income more than doubled to $299 million, with adjusted EPS rising by 39% to $2.39. For the full year, gross bookings increased by 7% to $110.9 billion, and revenue rose 7% to $13.7 billion. Net income attributable to common stockholders was $1.23 billion, up 55% from the previous year, and adjusted EPS grew by 25% to $12.11. The company also reinstated a quarterly dividend of $0.40 per share, signaling strong financial health and a commitment to returning value to shareholders.

Quality of Earnings

The company demonstrates strong adherence to General Accounting Principles, with financial reports that conform to GAAP, are decision-useful, sustainable, and offer returns exceeding the cost of capital. There have been no recent changes to accounting policies, and all required financial reports are submitted on time. Revenue quality is also robust, marked by high predictability—with a substantial portion of clients returning year after year—strong profitability with gross margins exceeding 70%, diversified income sources with no client accounting for more than 15% of revenue, and clear growth in both revenue and net income. Additionally, there are no significant financial report warning signs: earnings contain minimal accrual components, do not narrowly beat benchmarks in a suspicious pattern, and revenue is not recognized prematurely. Expenses are not misrepresented, audit opinions are unqualified, goodwill is properly assessed, and the company does not rely on aggressive accounting tactics such as related-party transactions or off-balance-sheet debt. Operating ccash flows align with net income, earnings are recurring and persistent, and there is no history of restatements or enforcement actions, reinforcing the reliability and quality of the company’s financial reporting.
Quality of revenue can be self checked with this questionnaire:
Quality of Revenue
Conclusions were based on an annual report:
FORM 10-K

COMFORT SYSTEMS USA INC.

Company Summary

​Comfort Systems USA, Inc. (NYSE: FIX) is a leading provider of mechanical, electrical, and plumbing (MEP) building systems, offering services such as HVAC, plumbing, electrical systems, modular construction, and building automation across the United States.

Performance

​​Comfort Systems USA, Inc. (NYSE: FIX) reported strong financial growth in 2024, with revenue increasing 37% to $1.87 billion in Q4, and net income rising 59% to $145.9 million, or $4.09 per diluted share. For the full year, revenue reached $7.03 billion, up 35% from the previous year, and net income totaled $522.4 million, or $14.60 per diluted share, a 61% increase. The company’s operating cash flow rose to $849.1 million, and its backlog grew to $5.99 billion. The strong performance is attributed to the demand for energy-efficient building systems, including HVAC, plumbing, and electrical services, as well as Comfort Systems’ expansion into modular cooling solutions for data centers, positioning it well for continued growth.

Quality of Earnings

The company demonstrates strong adherence to General Accounting Principles, with financial reports that conform to GAAP, are decision-useful, sustainable, and offer returns exceeding the cost of capital. There have been no recent changes to accounting policies, and all required financial reports are submitted on time. Revenue quality is also robust, marked by high predictability—with a substantial portion of clients returning year after year—strong profitability with gross margins exceeding 70%, diversified income sources with no client accounting for more than 15% of revenue, and clear growth in both revenue and net income. Additionally, there are no significant financial report warning signs: earnings contain minimal accrual components, do not narrowly beat benchmarks in a suspicious pattern, and revenue is not recognized prematurely. Expenses are not misrepresented, audit opinions are unqualified, goodwill is properly assessed, and the company does not rely on aggressive accounting tactics such as related-party transactions or off-balance-sheet debt. Operating ccash flows align with net income, earnings are recurring and persistent, and there is no history of restatements or enforcement actions, reinforcing the reliability and quality of the company’s financial reporting.
Quality of revenue can be self checked with this questionnaire:
Quality of Revenue
Conclusions were based on an annual report:
FORM 10-K

Acushnet Holdings Corp.

Company Summary

Acushnet Holdings Corp. (NYSE: GOLF) is a leading American golf equipment manufacturer headquartered in Fairhaven, Massachusetts, known for its flagship brands Titleist and FootJoy, which specialize in golf balls, clubs, and apparel. The company also owns Scotty Cameron putters, Vokey Design wedges, Pinnacle golf balls, and KJUS performance wear. Acushnet designs, develops, manufactures, and distributes performance-driven golf products across the United States, Europe, the Middle East, Africa, and Asia.

Performance

Acushnet Holdings Corp. (NYSE: GOLF) delivered strong financial results in 2024, with net sales increasing 3.2% year-over-year to $2.46 billion, or 3.9% on a constant currency basis. Adjusted EBITDA rose 7.5% to $404.4 million, reflecting a margin improvement to 16.5%. In Q4, net sales were $445.2 million, up 7.8% year-over-year, and adjusted EBITDA reached $12.4 million, compared to a loss of $1.5 million in the same period of 2023. The company also increased its quarterly cash dividend by 9.3% to $0.235 per share. Looking ahead, Acushnet projects 2025 net sales between $2.485 billion and $2.535 billion, with adjusted EBITDA expected to range from $405 million to $420 million, indicating continued growth and financial strength.

Quality of Earnings

The company demonstrates strong adherence to General Accounting Principles, with financial reports that conform to GAAP, are decision-useful, sustainable, and offer returns exceeding the cost of capital. There have been no recent changes to accounting policies, and all required financial reports are submitted on time. Revenue quality is also robust, marked by high predictability—with a substantial portion of clients returning year after year—strong profitability with gross margins exceeding 70%, diversified income sources with no client accounting for more than 15% of revenue, and clear growth in both revenue and net income. Additionally, there are no significant financial report warning signs: earnings contain minimal accrual components, do not narrowly beat benchmarks in a suspicious pattern, and revenue is not recognized prematurely. Expenses are not misrepresented, audit opinions are unqualified, goodwill is properly assessed, and the company does not rely on aggressive accounting tactics such as related-party transactions or off-balance-sheet debt. Operating ccash flows align with net income, earnings are recurring and persistent, and there is no history of restatements or enforcement actions, reinforcing the reliability and quality of the company’s financial reporting.
Quality of revenue can be self checked with this questionnaire:
Quality of Revenue
Conclusions were based on an annual report:
FORM 10-K

Gaming & Leisure Properties, Inc.

Company Summary

Gaming & Leisure Properties, Inc. (NASDAQ: GLPI) is a self-managed real estate investment trust (REIT) specializing in acquiring, financing, and owning gaming-related real estate assets across the United States. Established in 2013 as a spin-off from Penn National Gaming, GLPI’s portfolio comprises 68 casino properties in 20 states, leased to major operators like Penn Entertainment, Caesars Entertainment, and Boyd Gaming under long-term, triple-net lease agreements.

Performance

​Gaming & Leisure Properties, Inc. (NASDAQ: GLPI) achieved record financial results in 2024, driven by strategic acquisitions and robust tenant performance. In the fourth quarter, the company reported revenue of $389.6 million, a 5.6% year-over-year increase, and net income of $223.6 million. Earnings per share reached $0.79, surpassing analyst expectations. Adjusted EBITDA rose 6.8% to $354.0 million, and Adjusted Funds From Operations (AFFO) increased 5.1% to $269.7 million, reflecting strong cash flow generation. Throughout the year, GLPI expanded its portfolio to 68 gaming properties across 20 states, including significant investments in Bally’s Chicago Casino and other assets, totaling approximately $1.585 billion at an initial blended yield of 8.3%. The company maintained a quarterly dividend of $0.76 per share, underscoring its commitment to shareholder returns. GLPI’s solid performance and strategic growth initiatives position it well for continued success in the gaming real estate sector.

Quality of Earnings

The company demonstrates strong adherence to General Accounting Principles, with financial reports that conform to GAAP, are decision-useful, sustainable, and offer returns exceeding the cost of capital. There have been no recent changes to accounting policies, and all required financial reports are submitted on time. Revenue quality is also robust, marked by high predictability—with a substantial portion of clients returning year after year—strong profitability with gross margins exceeding 70%, diversified income sources with no client accounting for more than 15% of revenue, and clear growth in both revenue and net income. Additionally, there are no significant financial report warning signs: earnings contain minimal accrual components, do not narrowly beat benchmarks in a suspicious pattern, and revenue is not recognized prematurely. Expenses are not misrepresented, audit opinions are unqualified, goodwill is properly assessed, and the company does not rely on aggressive accounting tactics such as related-party transactions or off-balance-sheet debt. Operating ccash flows align with net income, earnings are recurring and persistent, and there is no history of restatements or enforcement actions, reinforcing the reliability and quality of the company’s financial reporting.
Quality of revenue can be self checked with this questionnaire:
Quality of Revenue
Conclusions were based on an annual report:
FORM 10-K

ALASKA AIR GROUP, INC.

Company Summary

​Alaska Air Group, Inc. (NYSE: ALK) is a U.S.-based airline holding company headquartered in SeaTac, Washington, operating Alaska Airlines, Hawaiian Airlines, and regional carrier Horizon Air, providing passenger and cargo air transportation services across North America and select international destinations.

Performance

​Alaska Air Group Inc. (NYSE: ALK) achieved record revenue of $11.7 billion in 2024, bolstered by the acquisition of Hawaiian Airlines and strong travel demand. The company reported a GAAP net income of $395 million ($3.08 per share) and an adjusted net income of $625 million ($4.87 per share), reflecting a 7.1% adjusted pretax margin—among the highest in the industry. In Q4, revenue surged 38% year-over-year to $3.53 billion, with adjusted earnings per share of $0.97, more than doubling analyst expectations. The company also repurchased $312 million in shares and generated $1.5 billion in operating cash flow for the year. Looking ahead, Alaska Air projects adjusted earnings per share exceeding $5.75 for 2025, supported by ongoing integration efforts and a focus on premium travel offerings.

Quality of Earnings

The company demonstrates strong adherence to General Accounting Principles, with financial reports that conform to GAAP, are decision-useful, sustainable, and offer returns exceeding the cost of capital. There have been no recent changes to accounting policies, and all required financial reports are submitted on time. Revenue quality is also robust, marked by high predictability—with a substantial portion of clients returning year after year—strong profitability with gross margins exceeding 70%, diversified income sources with no client accounting for more than 15% of revenue, and clear growth in both revenue and net income. Additionally, there are no significant financial report warning signs: earnings contain minimal accrual components, do not narrowly beat benchmarks in a suspicious pattern, and revenue is not recognized prematurely. Expenses are not misrepresented, audit opinions are unqualified, goodwill is properly assessed, and the company does not rely on aggressive accounting tactics such as related-party transactions or off-balance-sheet debt. Operating ccash flows align with net income, earnings are recurring and persistent, and there is no history of restatements or enforcement actions, reinforcing the reliability and quality of the company’s financial reporting.
Quality of revenue can be self checked with this questionnaire:
Quality of Revenue
Conclusions were based on an annual report:
FORM 10-K

LINDE PLC

Company Summary

​​Linde plc (NYSE: LIN) is a leading global industrial gases and engineering company, serving a variety of end markets such as chemicals and energy, food and beverages, electronics, healthcare, manufacturing, metals, and mining.

Performance

​​Linde plc (NYSE: LIN) delivered strong financial results in 2024, with adjusted earnings per share (EPS) increasing by 9% to $15.51, or 10% when excluding currency effects, despite flat total sales of $33.0 billion. The company’s adjusted operating profit rose by 7% to $9.7 billion, and the adjusted operating margin expanded by 190 basis points to 29.5%, reflecting effective pricing strategies and productivity initiatives. In the fourth quarter, adjusted EPS grew by 11% year-over-year to $3.97, and the adjusted operating margin reached 29.9%. Linde generated $9.4 billion in operating cash flow for the year, returning $7.1 billion to shareholders through dividends and share repurchases, and ended the year with a robust project backlog of $10.4 billion. Looking ahead, the company projects adjusted EPS growth of 8% to 11% for 2025, supported by its diversified customer base and strategic investments in clean hydrogen and other growth areas.

Quality of Earnings

The company demonstrates strong adherence to General Accounting Principles, with financial reports that conform to GAAP, are decision-useful, sustainable, and offer returns exceeding the cost of capital. There have been no recent changes to accounting policies, and all required financial reports are submitted on time. Revenue quality is also robust, marked by high predictability—with a substantial portion of clients returning year after year—strong profitability with gross margins exceeding 70%, diversified income sources with no client accounting for more than 15% of revenue, and clear growth in both revenue and net income. Additionally, there are no significant financial report warning signs: earnings contain minimal accrual components, do not narrowly beat benchmarks in a suspicious pattern, and revenue is not recognized prematurely. Expenses are not misrepresented, audit opinions are unqualified, goodwill is properly assessed, and the company does not rely on aggressive accounting tactics such as related-party transactions or off-balance-sheet debt. Operating ccash flows align with net income, earnings are recurring and persistent, and there is no history of restatements or enforcement actions, reinforcing the reliability and quality of the company’s financial reporting.
Quality of revenue can be self checked with this questionnaire:
Quality of Revenue
Conclusions were based on an annual report:
FORM 10-K

KIRBY CORPORATION

Company Summary

​​​Kirby Corporation (NYSE: KEX) is the largest tank barge operator in the United States, transporting bulk liquid products such as petrochemicals, black oil, refined petroleum products, and agricultural chemicals throughout the Mississippi River System, the Gulf Intracoastal Waterway, and along all three U.S. coasts.

Performance

​Kirby Corporation (NYSE: KEX) delivered strong financial performance in 2024, with full-year revenues rising to $3.3 billion from $3.1 billion in 2023. Net earnings attributable to Kirby increased to $286.7 million, or $4.91 per share, up from $222.9 million, or $3.72 per share, the previous year. Excluding one-time items, adjusted net earnings were $318.8 million, or $5.46 per share. In the fourth quarter, adjusted earnings per share rose 24% year-over-year to $1.29, surpassing analyst expectations, while revenues reached $802.3 million. The company’s marine transportation segment benefited from strong demand, with inland barge utilization around 90% and coastal utilization in the mid to high 90% range, contributing to healthy operating margins. Kirby also demonstrated robust cash flow, generating $206.5 million from operating activities in Q3 and repurchasing $55.8 million in stock at an average price of $115.46 per share. As of April 25, 2025, Kirby’s stock is trading at $98.20, reflecting investor confidence in its continued growth and operational strength.

Quality of Earnings

The company demonstrates strong adherence to General Accounting Principles, with financial reports that conform to GAAP, are decision-useful, sustainable, and offer returns exceeding the cost of capital. There have been no recent changes to accounting policies, and all required financial reports are submitted on time. Revenue quality is also robust, marked by high predictability—with a substantial portion of clients returning year after year—strong profitability with gross margins exceeding 70%, diversified income sources with no client accounting for more than 15% of revenue, and clear growth in both revenue and net income. Additionally, there are no significant financial report warning signs: earnings contain minimal accrual components, do not narrowly beat benchmarks in a suspicious pattern, and revenue is not recognized prematurely. Expenses are not misrepresented, audit opinions are unqualified, goodwill is properly assessed, and the company does not rely on aggressive accounting tactics such as related-party transactions or off-balance-sheet debt. Operating ccash flows align with net income, earnings are recurring and persistent, and there is no history of restatements or enforcement actions, reinforcing the reliability and quality of the company’s financial reporting.
Quality of revenue can be self checked with this questionnaire:
Quality of Revenue
Conclusions were based on an annual report:
FORM 10-K