Drilling Tools International Corp. cash flow to debt ratio of 27.81% indicates that the company generates enough cash to cover its debts. This level indicates strong financial health.

Drilling Tools International Corp.'s free cash flow has increased -88.61% from $-16.83M last year to $-1.92M, signaling increasing performance

Drilling Tools International Corp.'s debt to equity ratio is 0.66, which means that the company's assets are unhealthy financed, signaling financial risk.

Drilling Tools International Corp.'s debt has increased relative to shareholder equity from 0.64 last year to 0.66 today, signaling weakened financials

Drilling Tools International Corp. has a net debt to EBITDA ratio of 2.31x, which is below the 3.00x threshold, indicating healthy leverage and financial stability

Drilling Tools International Corp.'s interest coverage ratio is 1.48, which means that the company struggles to meet interest obligations, signaling financial risk.

Drilling Tools International Corp.'s profit margin has decreased (200.71%) in the last year from 1.95% to -1.97%, signaling decreasing performance

Drilling Tools International Corp.'s short-term assets of $64.89M exceed its short-term liabilities of $30.82M

Drilling Tools International Corp.'s return on assets of 0.00% is lower than the 5.00% threshold, indicating inefficient asset utilization

Drilling Tools International Corp.'s return on equity of -2.49%, is lower than 15.00%, indicating bad performance

Drilling Tools International Corp.'s operating cash flow is lower than its net income, indicating that earnings may not be fully backed by cash generation

Drilling Tools International Corp. has insufficient public price history to evaluate earnings stability.

Drilling Tools International Corp. has negative free cash flow, indicating the company is burning cash rather than generating it

Drilling Tools International Corp. has negative free cash flow, indicating cash burn

Drilling Tools International Corp.'s yearly earnings has decreased 224.78% since last year from $3.01M to $-3.76M, signaling decreasing performance

Drilling Tools International Corp.'s yearly revenue has increased 3.35% since last year from $154.45M to $159.63M, signaling increasing performance

ROIC 2.96% (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.

Drilling Tools International Corp.'s 3-year revenue CAGR of 7.21% is positive, indicating growing revenue over the past 3 years

Drilling Tools International Corp. had revenue growth in 4 out of 5 years, indicating consistent revenue performance

Drilling Tools International Corp. has insufficient public price history to evaluate ROE consistency.

Drilling Tools International Corp. has insufficient data to evaluate this check.

Drilling Tools International Corp. has negative trailing-twelve-month earnings; this ratio is not meaningful and the check fails

Drilling Tools International Corp. is undervalued relative to its fair value price of 5.68 based on EBITDA multiple model

Drilling Tools International Corp. has an EV/EBITDA ratio of 5.02x, which is below the 20.00x threshold, indicating reasonable valuation relative to its operating earnings

Drilling Tools International Corp. has insufficient data to evaluate this check.

Drilling Tools International Corp. has negative trailing-twelve-month earnings; this ratio is not meaningful and the check fails

Drilling Tools International Corp. has a price-to-book ratio of 0.67x, which is below the 5.00x threshold, indicating reasonable valuation relative to its book value

Drilling Tools International Corp. has a price-to-sales ratio of 0.52x, which is below the 8.00x threshold, indicating reasonable valuation relative to its revenue