Cabot Corp. cash flow to debt ratio of 54.73% indicates that the company generates enough cash to cover its debts. This level indicates strong financial health.

Cabot Corp.'s free cash flow has decreased 13.30% from $451.00M last year to $391.00M, signaling decreasing performance

Cabot Corp.'s debt to equity ratio is 0.79, which means that the company's assets are unhealthy financed, signaling financial risk.

Cabot Corp.'s debt has decreased relative to shareholder equity from 0.93 last year to 0.79 today, signaling strengthened financials

Cabot Corp. has a net debt to EBITDA ratio of 1.21x, which is below the 3.00x threshold, indicating healthy leverage and financial stability

Cabot Corp.'s interest coverage ratio of 6.68 indicates that earnings with good margin can cover interest payments on company debt

Cabot Corp.'s profit margin has decreased (45.05%) in the last year from 9.51% to 5.23%, signaling decreasing performance

Cabot Corp.'s short-term assets of $1.54B exceed its short-term liabilities of $957.00M

Cabot Corp.'s return on assets of 4.78% is lower than the 5.00% threshold, indicating inefficient asset utilization

Cabot Corp.'s return on equity of 12.07%, is lower than 15.00%, indicating bad performance

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

Cabot Corp. had positive net income in 5 out of 5 years, indicating stable and consistent earnings

Cabot Corp. has positive free cash flow, indicating the company generates cash after capital expenditures

Cabot Corp. has a free cash flow yield of 8.76%, which is above the 2.00% threshold, indicating strong cash generation relative to market value

Cabot Corp.'s yearly earnings has decreased 12.89% since last year from $380.00M to $331.00M, signaling decreasing performance

Cabot Corp.'s yearly revenue has decreased 7.04% since last year from $3.99B to $3.71B, signaling decreasing performance

ROIC 8.32% (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.

Cabot Corp.'s 3-year revenue CAGR of -4.93% is negative, indicating declining revenue over the past 3 years

Cabot Corp. had revenue growth in 3 out of 5 years, indicating consistent revenue performance

Cabot Corp. had positive ROE in 5 out of 5 years, indicating consistent and reliable returns on equity

Cabot Corp. is undervalued relative to its fair value price of 114.58 based on Discounted Cash Flow model

Cabot Corp. has an earnings yield of 4.26%, which is above the 4.00% threshold, indicating the stock offers reasonable value relative to its earnings

Cabot Corp. is undervalued relative to its fair value price of 88.11 based on EBITDA multiple model

Cabot Corp. has an EV/EBITDA ratio of 6.83x, which is below the 20.00x threshold, indicating reasonable valuation relative to its operating earnings

Cabot Corp. is undervalued relative to its fair value price of 155.84 based on Earnings Fair Value model

Cabot Corp. had non-positive diluted EPS five years ago; the PEG ratio is not meaningful and the check fails.

Cabot Corp. has a price-to-book ratio of 2.57x, which is below the 5.00x threshold, indicating reasonable valuation relative to its book value

Cabot Corp. has a price-to-sales ratio of 1.23x, which is below the 8.00x threshold, indicating reasonable valuation relative to its revenue