Friedman Industries, Incorporated cash flow to debt ratio of 8.46% indicates that the company cannot generate enough cash to cover its debt over time. This level indicates weak financial health.

Friedman Industries, Incorporated's free cash flow has increased -114.65% from $-9.41M last year to $1.38M, signaling increasing performance

Friedman Industries, Incorporated's debt to equity ratio is 0.67, 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

Friedman Industries, Incorporated's debt has increased relative to shareholder equity from 0.38 last year to 0.67 today, signaling weakened financials

Friedman Industries, Incorporated has a net debt to EBITDA ratio of 2.87x, which is below the 3.00x threshold, indicating healthy leverage and financial stability

Friedman Industries, Incorporated's interest coverage ratio of 19.49 indicates that earnings with good margin can cover interest payments on company debt

Friedman Industries, Incorporated's profit margin has increased (120.28%) in the last year from 1.37% to 3.01%, signaling increasing performance

Friedman Industries, Incorporated's short-term assets of $257.04M exceed its short-term liabilities of $76.15M

Friedman Industries, Incorporated's return on assets of 5.79% is higher than the 5.00% threshold, indicating efficient asset utilization

Friedman Industries, Incorporated's return on equity of 13.68%, is lower than 15.00%, indicating bad performance

Friedman Industries, Incorporated's operating cash flow is lower than its net income, indicating that earnings may not be fully backed by cash generation

Friedman Industries, Incorporated had positive net income in 5.00 out of 5 years, indicating stable and consistent earnings

Friedman Industries, Incorporated has positive free cash flow, indicating the company generates cash after capital expenditures

Friedman Industries, Incorporated has a free cash flow yield of 0.56%, which is below the 2.00% threshold, indicating limited cash return relative to market value

Friedman Industries, Incorporated's yearly earnings has increased 221.00% since last year from $6.08M to $19.53M, signaling increasing performance

Friedman Industries, Incorporated's yearly revenue has increased 45.50% since last year from $444.60M to $646.91M, signaling increasing performance

ROIC 7.27% (Source: FMP key-metrics). In the 5–10% partial-credit band. Score: 1 of 2. This band sits within the typical US weighted-average cost of capital range. Methodology choice can change the conclusion: under FMP's invested-capital definition the company is at or near its cost of capital; under narrower operating-capital definitions the same company may score higher. Invested capital here includes equity, non-current liabilities, and short-term debt. Cash is not subtracted. See methodology.

Friedman Industries, Incorporated's 3-year revenue CAGR of 5.72% is positive, indicating growing revenue over the past 3 years

Friedman Industries, Incorporated had revenue growth in 3.00 out of 5 years, indicating consistent revenue performance

Friedman Industries, Incorporated had positive ROE in 5.00 out of 5 years, indicating consistent and reliable returns on equity

Friedman Industries, Incorporated has insufficient data to evaluate this check.

Friedman Industries, Incorporated has an earnings yield of 8.13%, which is above the 4.00% threshold, indicating the stock offers reasonable value relative to its earnings

Friedman Industries, Incorporated is overvalued relative to its fair value price of 7.14 based on EBITDA multiple model

Friedman Industries, Incorporated has an EV/EBITDA ratio of 10.00x, which is below the 20.00x threshold, indicating reasonable valuation relative to its operating earnings

Friedman Industries, Incorporated is undervalued relative to its fair value price of 66.16 based on Earnings Fair Value model

Friedman Industries, Incorporated has a PEG-ratio under 1 which is considered undervalued

Friedman Industries, Incorporated has a price-to-book ratio of 1.58x, which is below the 5.00x threshold, indicating reasonable valuation relative to its book value

Friedman Industries, Incorporated has a price-to-sales ratio of 0.38x, which is below the 8.00x threshold, indicating reasonable valuation relative to its revenue