Construction Partners, Inc. cash flow to debt ratio of 17.25% indicates that the company cannot generate enough cash to cover its debt over time. This level indicates weak financial health.

Construction Partners, Inc.'s free cash flow has increased 26.60% from $121.15M last year to $153.37M, signaling increasing performance

Construction Partners, Inc.'s debt to equity ratio is 0.14, 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.

Construction Partners, Inc.'s debt has decreased relative to shareholder equity from 0.96 last year to 0.14 today, signaling strengthened financials

Construction Partners, Inc. has a net debt to EBITDA ratio of 4.11x, which exceeds the 3.00x threshold, indicating high leverage and potential financial risk

Construction Partners, Inc.'s interest coverage ratio is -5.32, which means that the company struggles to meet interest obligations, signaling financial risk.

Construction Partners, Inc.'s profit margin has increased (8.41%) in the last year from 3.78% to 4.10%, signaling increasing performance

Construction Partners, Inc.'s short-term assets of $934.83M exceed its short-term liabilities of $582.05M

Construction Partners, Inc.'s return on assets of 3.95% is lower than the 5.00% threshold, indicating inefficient asset utilization

Construction Partners, Inc.'s return on equity of 14.61%, is lower than 15.00%, indicating bad performance

Construction Partners, Inc.'s operating cash flow exceeds its net income, indicating high-quality earnings backed by actual cash generation

Construction Partners, Inc. had positive net income in 5.00 out of 5 years, indicating stable and consistent earnings

Construction Partners, Inc. has positive free cash flow, indicating the company generates cash after capital expenditures

Construction Partners, Inc. has a free cash flow yield of 2.23%, which is above the 2.00% threshold, indicating strong cash generation relative to market value

Construction Partners, Inc.'s yearly earnings has increased 47.63% since last year from $68.94M to $101.77M, signaling increasing performance

Construction Partners, Inc.'s yearly revenue has increased 54.20% since last year from $1.82G to $2.81G, signaling increasing performance

ROIC 7.57% (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.

Construction Partners, Inc.'s 3-year revenue CAGR of 29.28% is positive, indicating growing revenue over the past 3 years

Construction Partners, Inc. had revenue growth in 5.00 out of 5 years, indicating consistent revenue performance

Construction Partners, Inc. had positive ROE in 5.00 out of 5 years, indicating consistent and reliable returns on equity

Construction Partners, Inc. is overvalued relative to its fair value price of 21.05 based on Discounted Cash Flow model

Construction Partners, Inc. has an earnings yield of 2.10%, which is below the 4.00% threshold, indicating the stock may be expensive relative to its earnings

Construction Partners, Inc. is overvalued relative to its fair value price of 19.10 based on EBITDA multiple model

Construction Partners, Inc. has an EV/EBITDA ratio of 22.52x, which exceeds the 20.00x threshold, indicating the stock may be overvalued relative to its operating earnings

Construction Partners, Inc. is overvalued relative to its fair value price of 44.51 based on Earnings Fair Value model

Construction Partners, Inc. has a PEG-ratio under 1 which is considered undervalued

Construction Partners, Inc. has a price-to-book ratio of 4.10x, which is below the 5.00x threshold, indicating reasonable valuation relative to its book value

Construction Partners, Inc. has a price-to-sales ratio of 1.95x, which is below the 8.00x threshold, indicating reasonable valuation relative to its revenue