Designer Brands Inc. cash flow to debt ratio of 9.10% indicates that the company cannot generate enough cash to cover its debt over time. This level indicates weak financial health.

Designer Brands Inc.'s free cash flow has increased 29.04% from $87.27M last year to $112.62M, signaling increasing performance

Designer Brands Inc.'s debt to equity ratio is 4.02, which means that the company's assets are unhealthy financed, signaling financial risk.

Designer Brands Inc.'s debt has decreased relative to shareholder equity from 4.62 last year to 4.02 today, signaling strengthened financials

Designer Brands Inc. has a net debt to EBITDA ratio of 10.84x, which exceeds the 3.00x threshold, indicating high leverage and potential financial risk

Designer Brands Inc.'s interest coverage ratio of 2.86 indicates that earnings with margin can cover interest payments on company debt

Designer Brands Inc.'s profit margin was -0.35% last year and is 0.59% this year, signaling increasing performance

Designer Brands Inc.'s short-term assets of $708.15M exceed its short-term liabilities of $588.47M

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

Designer Brands Inc.'s return on equity of 5.83%, is lower than 15.00%, indicating bad performance

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

Designer Brands Inc. had positive net income in 3 out of 5 years, indicating stable and consistent earnings

Designer Brands Inc. has positive free cash flow, indicating the company generates cash after capital expenditures

Designer Brands Inc. has a free cash flow yield of 36.18%, which is above the 2.00% threshold, indicating strong cash generation relative to market value

Designer Brands Inc.'s yearly earnings has increased 20.62% since last year from $-10.55M to $-8.37M, signaling increasing performance

Designer Brands Inc.'s yearly revenue has decreased 3.87% since last year from $3.01B to $2.89B, signaling decreasing performance

ROIC 6.18% (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.

Designer Brands Inc.'s 3-year revenue CAGR of -4.45% is negative, indicating declining revenue over the past 3 years

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

Designer Brands Inc. had positive ROE in 3 out of 5 years, indicating consistent and reliable returns on equity

Designer Brands Inc. has insufficient data to evaluate this check.

Designer Brands Inc. has an earnings yield of 4.94%, which is above the 4.00% threshold, indicating the stock offers reasonable value relative to its earnings

Designer Brands Inc. is overvalued relative to its fair value price of 0.00 based on Base EBITDA Valuation model

Designer Brands Inc. has an EV/EBITDA ratio of 13.76x, which is below the 20.00x threshold, indicating reasonable valuation relative to its operating earnings

Designer Brands Inc. is undervalued relative to its fair value price of 22.66 based on Base Earnings Fair Value model

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

Designer Brands Inc. has a price-to-book ratio of 1.12x, which is below the 5.00x threshold, indicating reasonable valuation relative to its book value

Designer Brands Inc. has a price-to-sales ratio of 0.12x, which is below the 8.00x threshold, indicating reasonable valuation relative to its revenue