Applied Digital Corp. cash flow to debt ratio of -16.42% indicates that the company cannot generate enough cash to cover its debt over time. This level indicates weak financial health.

Applied Digital Corp.'s free cash flow has decreased 522.59% from $-128.01M last year to $-797.00M, signaling decreasing performance

Applied Digital Corp.'s debt to equity ratio is 1.79, which means that the company's assets are unhealthy financed, signaling financial risk. READ MORE: A ratio over 0.60 means the company finances its assets with debt, signaling financial risk. If ratio is negative, the company spent its own equity and risks bankruptcy

Applied Digital Corp.'s debt has increased relative to shareholder equity from 1.09 last year to 1.79 today, signaling weakened financials

Applied Digital Corp. has negative EBITDA, making leverage ratio unreliable

Applied Digital Corp.'s interest coverage ratio is -2.87, which means that the company struggles to meet interest obligations, signaling financial risk.

Applied Digital Corp.'s profit margin has increased (-52.04%) in the last year from -109.26% to -52.41%, signaling increasing performance

Applied Digital Corp.'s short-term liabilities of $558.14M exceed its short-term assets of $430.59M, signaling financial risk

Applied Digital Corp.'s return on assets of 0.00% is lower than the 5.00% threshold, indicating inefficient asset utilization

Applied Digital Corp.'s return on equity of -15.82%, is lower than 15.00%, indicating bad performance

Applied Digital Corp.'s operating cash flow is lower than its net income, indicating that earnings may not be fully backed by cash generation

Applied Digital Corp. had positive net income in only 0.00 out of 5 years, indicating unstable earnings

Applied Digital Corp. has negative free cash flow, indicating the company is burning cash rather than generating it

Applied Digital Corp. has negative free cash flow, indicating cash burn

Applied Digital Corp.'s yearly earnings has decreased 54.79% since last year from $-149.27M to $-231.06M, signaling decreasing performance

Applied Digital Corp.'s yearly revenue has increased 57.74% since last year from $136.62M to $215.51M, signaling increasing performance

ROIC -1.65% (Source: FMP key-metrics). Below the 5% partial-credit threshold. Score: 0 of 2. The 5% and 10% cutoffs anchor to typical US weighted-average cost of capital. Below 5% indicates the company is not generating returns above its likely cost of capital under this definition of invested capital. Invested capital here includes equity, non-current liabilities (pension obligations, deferred taxes, lease obligations), and short-term debt. Cash is not subtracted. Companies with substantial float, lease portfolios, or cash holdings will score lower under this definition than under narrower operating-capital definitions. See methodology.

Applied Digital Corp.'s 3-year revenue CAGR of 193.21% is positive, indicating growing revenue over the past 3 years

Applied Digital Corp. had revenue growth in 5.00 out of 5 years, indicating consistent revenue performance

Applied Digital Corp. had positive ROE in only 0.00 out of 5 years, indicating inconsistent returns on equity

Applied Digital Corp. has insufficient data to evaluate this check.

Applied Digital Corp. has negative trailing-twelve-month earnings; this ratio is not meaningful and the check fails

Applied Digital Corp. is overvalued relative to its fair value price of 0.00 based on EBITDA multiple model

Applied Digital Corp. has negative or missing EBITDA, making EV/EBITDA ratio unreliable

Applied Digital Corp. has insufficient data to evaluate this check.

Applied Digital Corp. has negative trailing-twelve-month earnings; this ratio is not meaningful and the check fails

Applied Digital Corp. has a price-to-book ratio of 6.73x, which exceeds the 5.00x threshold, indicating the stock may be overvalued relative to its book value

Applied Digital Corp. has a price-to-sales ratio of 31.48x, which exceeds the 8.00x threshold, indicating the stock may be overvalued relative to its revenue