System1, Inc. cash flow to debt ratio of -1.32% indicates that the company cannot generate enough cash to cover its debt over time. This level indicates weak financial health.

System1, Inc.'s free cash flow has increased -20.68% from $-5.29M last year to $-4.19M, signaling increasing performance

System1, Inc.'s debt to equity ratio is -19.95, signaling that the company spent its equity and risk bankruptcy.

System1, Inc.'s debt to equity ratio is -19.95, signaling that the company spent its equity and risk bankruptcy.

System1, Inc. has a net debt to EBITDA ratio of 8.65x, which exceeds the 3.00x threshold, indicating high leverage and potential financial risk

System1, Inc.'s interest coverage ratio is -2.33, which means that the company struggles to meet interest obligations, signaling financial risk.

System1, Inc.'s profit margin has decreased (94.27%) in the last year from -21.71% to -42.18%, signaling decreasing performance

System1, Inc.'s short-term assets of $149.48M exceed its short-term liabilities of $146.44M

System1, Inc.'s return on assets of 0.00% is lower than the 5.00% threshold, indicating inefficient asset utilization

System1, Inc.'s return on equity of -333.08%, is lower than 15.00%, indicating bad performance

System1, Inc.'s operating cash flow is lower than its net income, indicating that earnings may not be fully backed by cash generation

System1, Inc. had positive net income in only 1.00 out of 5 years, indicating unstable earnings

System1, Inc. has negative free cash flow, indicating the company is burning cash rather than generating it

System1, Inc. has negative free cash flow, indicating cash burn

System1, Inc.'s yearly earnings has increased -12.49% since last year from $-74.67M to $-65.34M, signaling increasing performance

System1, Inc.'s yearly revenue has decreased -22.62% since last year from $343.93M to $266.13M, signaling decreasing performance

ROIC -22.66% (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.

System1, Inc.'s 3-year revenue CAGR of -26.31% is negative, indicating declining revenue over the past 3 years

System1, Inc. had revenue growth in only 1.00 out of 5 years, indicating inconsistent revenue performance

System1, Inc. had positive ROE in only 0.00 out of 5 years, indicating inconsistent returns on equity

System1, Inc. has insufficient data to evaluate this check.

System1, Inc. has negative trailing-twelve-month earnings; this ratio is not meaningful and the check fails

System1, Inc. is undervalued relative to its fair value price of 22.31 based on EBITDA multiple model

System1, Inc. has an EV/EBITDA ratio of 9.63x, which is below the 20.00x threshold, indicating reasonable valuation relative to its operating earnings

System1, Inc. is overvalued relative to its fair value price of -53.04 based on Earnings Fair Value model

System1, Inc. has negative trailing-twelve-month earnings; this ratio is not meaningful and the check fails

System1, Inc. has negative shareholder equity; price-to-book is not meaningful and the check fails

System1, Inc. has a price-to-sales ratio of 0.09x, which is below the 8.00x threshold, indicating reasonable valuation relative to its revenue