Hongli Group Inc. cash flow to debt ratio of 7.63% indicates that the company cannot generate enough cash to cover its debt over time. This level indicates weak financial health.

Hongli Group Inc.'s free cash flow has increased -247.99% from $-446.54K last year to $660.82K, signaling increasing performance

Hongli Group Inc.'s debt to equity ratio is 0.20, which means that the company's assets are healthy financed, signaling financial stability. READ MORE: A ratio under 0.60 means the company finances its assets with own equity, signaling financial stability and good management.

Hongli Group Inc.'s debt has increased relative to shareholder equity from 0.18 last year to 0.20 today, signaling weakened financials

Hongli Group Inc. has a net debt to EBITDA ratio of 2.97x, which is below the 3.00x threshold, indicating healthy leverage and financial stability

Hongli Group Inc.'s interest coverage ratio of 5.18 indicates that earnings with good margin can cover interest payments on company debt

Hongli Group Inc.'s profit margin has increased (-174.31%) in the last year from -13.34% to 9.91%, signaling increasing performance

Hongli Group Inc.'s short-term assets of $16.08M exceed its short-term liabilities of $14.36M

Hongli Group Inc.'s return on assets of 2.69% is lower than the 5.00% threshold, indicating inefficient asset utilization

Hongli Group Inc.'s return on equity of 3.43%, is lower than 15.00%, indicating bad performance

Hongli Group Inc.'s operating cash flow is lower than its net income, indicating that earnings may not be fully backed by cash generation

Hongli Group Inc. had positive net income in 4.00 out of 5 years, indicating stable and consistent earnings

Hongli Group Inc. has positive free cash flow, indicating the company generates cash after capital expenditures

Hongli Group Inc. has a free cash flow yield of 0.80%, which is below the 2.00% threshold, indicating limited cash return relative to market value

Hongli Group Inc.'s yearly earnings has increased -203.25% since last year from $-1.88M to $1.94M, signaling increasing performance

Hongli Group Inc.'s yearly revenue has increased 38.96% since last year from $14.11M to $19.60M, signaling increasing performance

ROIC 3.14% (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.

Hongli Group Inc.'s 3-year revenue CAGR of -1.13% is negative, indicating declining revenue over the past 3 years

Hongli Group Inc. had revenue growth in only 2.00 out of 5 years, indicating inconsistent revenue performance

Hongli Group Inc. had positive ROE in 4.00 out of 5 years, indicating consistent and reliable returns on equity

Hongli Group Inc. has insufficient data to evaluate this check.

Hongli Group Inc. has an earnings yield of 2.39%, which is below the 4.00% threshold, indicating the stock may be expensive relative to its earnings

Hongli Group Inc. is overvalued relative to its fair value price of 0.00 based on EBITDA multiple model

Hongli Group Inc. has an EV/EBITDA ratio of 28.54x, which exceeds the 20.00x threshold, indicating the stock may be overvalued relative to its operating earnings

Hongli Group Inc. is overvalued relative to its fair value price of 0.75 based on Earnings Fair Value model

Hongli Group Inc. has a PEG-ratio under 1 which is considered undervalued

Hongli Group Inc. has a price-to-book ratio of 1.41x, which is below the 5.00x threshold, indicating reasonable valuation relative to its book value

Hongli Group Inc. has a price-to-sales ratio of 4.15x, which is below the 8.00x threshold, indicating reasonable valuation relative to its revenue