Cumberland Pharmaceuticals Inc. cash flow to debt ratio of 48.45% indicates that the company generates enough cash to cover its debts. This level indicates strong financial health.

Cumberland Pharmaceuticals Inc.'s free cash flow has increased -710.51% from $-791.90K last year to $4.83M, signaling increasing performance

Cumberland Pharmaceuticals Inc.'s debt to equity ratio is 0.27, which means that the company's assets are healthy financed, signaling financial stability.

Cumberland Pharmaceuticals Inc.'s debt has decreased relative to shareholder equity from 0.90 last year to 0.27 today, signaling strengthened financials

Cumberland Pharmaceuticals Inc. has a net cash position, so leverage is healthy.

Cumberland Pharmaceuticals Inc.'s interest coverage ratio is -31.13, which means that the company struggles to meet interest obligations, signaling financial risk.

Cumberland Pharmaceuticals Inc.'s profit margin has decreased (98.23%) in the last year from -17.11% to -33.92%, signaling decreasing performance

Cumberland Pharmaceuticals Inc.'s short-term assets of $37.06M exceed its short-term liabilities of $36.74M

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

Cumberland Pharmaceuticals Inc.'s return on equity of -47.10%, is lower than 15.00%, indicating bad performance

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

Cumberland Pharmaceuticals Inc. had positive net income in only 0 out of 5 years, indicating unstable earnings

Cumberland Pharmaceuticals Inc. has positive free cash flow, indicating the company generates cash after capital expenditures

Cumberland Pharmaceuticals Inc. has a free cash flow yield of 4.14%, which is above the 2.00% threshold, indicating strong cash generation relative to market value

Cumberland Pharmaceuticals Inc.'s yearly earnings has increased -56.23% since last year from $-6.48M to $-2.84M, signaling increasing performance

Cumberland Pharmaceuticals Inc.'s yearly revenue has increased 17.57% since last year from $37.87M to $44.52M, signaling increasing performance

ROIC -34.15% (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.

Cumberland Pharmaceuticals Inc.'s 3-year revenue CAGR of 1.95% is positive, indicating growing revenue over the past 3 years

Cumberland Pharmaceuticals Inc. had revenue growth in only 2 out of 5 years, indicating inconsistent revenue performance

Cumberland Pharmaceuticals Inc. had positive ROE in only 0 out of 5 years, indicating inconsistent returns on equity

Cumberland Pharmaceuticals Inc. is overvalued relative to its fair value price of 5.36 based on Discounted Cash Flow model

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

Cumberland Pharmaceuticals Inc. is overvalued relative to its fair value price of 1.26 based on EBITDA multiple model

Cumberland Pharmaceuticals Inc. has an EV/EBITDA ratio of 39.04x, which exceeds the 20.00x threshold, indicating the stock may be overvalued relative to its operating earnings

Cumberland Pharmaceuticals Inc. is overvalued relative to its fair value price of -6.21 based on Earnings Fair Value model

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

Cumberland Pharmaceuticals Inc. has a price-to-book ratio of 6.82x, which exceeds the 5.00x threshold, indicating the stock may be overvalued relative to its book value

Cumberland Pharmaceuticals Inc. has a price-to-sales ratio of 3.73x, which is below the 8.00x threshold, indicating reasonable valuation relative to its revenue