Ares Management Corporation cash flow to debt ratio of 21.91% indicates that the company cannot generate enough cash to cover its debt over time. This level indicates weak financial health.

Ares Management Corporation's free cash flow has increased 18.34% from $2.70B last year to $3.19B, signaling increasing performance

Ares Management Corporation's debt to equity ratio is 3.75, which means that the company's assets are unhealthy financed, signaling financial risk.

Ares Management Corporation's debt has increased relative to shareholder equity from 3.71 last year to 3.75 today, signaling weakened financials

Ares Management Corporation has a net debt to EBITDA ratio of 5.84x, which exceeds the 3.00x threshold, indicating high leverage and potential financial risk

Ares Management Corporation's interest coverage ratio of 2.01 indicates that earnings with margin can cover interest payments on company debt

Ares Management Corporation's profit margin has decreased (16.52%) in the last year from 11.94% to 9.97%, signaling decreasing performance

Ares Management Corporation's short-term assets of $3.35B exceed its short-term liabilities of $1.49B

Ares Management Corporation's return on assets of 2.15% is lower than the 5.00% threshold, indicating inefficient asset utilization

Ares Management Corporation's return on equity of 15.20%, is higher than 15.00%, indicating good performance

Ares Management Corporation's operating cash flow exceeds its net income, indicating high-quality earnings backed by actual cash generation

Ares Management Corporation had positive net income in 5 out of 5 years, indicating stable and consistent earnings

Ares Management Corporation has positive free cash flow, indicating the company generates cash after capital expenditures

Ares Management Corporation has a free cash flow yield of 7.07%, which is above the 2.00% threshold, indicating strong cash generation relative to market value

Ares Management Corporation's yearly earnings has increased 13.72% since last year from $463.74M to $527.36M, signaling increasing performance

Ares Management Corporation's yearly revenue has increased 66.55% since last year from $3.88B to $6.47B, signaling increasing performance

ROIC 4.53% (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.

Ares Management Corporation's 3-year revenue CAGR of 28.41% is positive, indicating growing revenue over the past 3 years

Ares Management Corporation had revenue growth in 4 out of 5 years, indicating consistent revenue performance

Ares Management Corporation had positive ROE in 5 out of 5 years, indicating consistent and reliable returns on equity

Ares Management Corporation has insufficient data to evaluate this check.

Ares Management Corporation has an earnings yield of 2.04%, which is below the 4.00% threshold, indicating the stock may be expensive relative to its earnings

Ares Management Corporation is overvalued relative to its fair value price of 8.11 based on EBITDA multiple model

Ares Management Corporation has an EV/EBITDA ratio of 25.53x, which exceeds the 20.00x threshold, indicating the stock may be overvalued relative to its operating earnings

Ares Management Corporation is overvalued relative to its fair value price of 136.70 based on Earnings Fair Value model

Ares Management Corporation has a PEG-ratio over 1 which is considered overvalued

Ares Management Corporation has a price-to-book ratio of 3.62x, which is below the 5.00x threshold, indicating reasonable valuation relative to its book value

Ares Management Corporation has a price-to-sales ratio of 4.88x, which is below the 8.00x threshold, indicating reasonable valuation relative to its revenue