Focus Universal Inc. cash flow to debt ratio of -60.29K% indicates that the company cannot generate enough cash to cover its debt over time. This level indicates weak financial health.

Focus Universal Inc.'s free cash flow has decreased 9.74% from $-4.68M last year to $-5.13M, signaling decreasing performance

Focus Universal Inc.'s debt to equity ratio is 0.02, which means that the company's assets are healthy financed, signaling financial stability.

Focus Universal Inc.'s debt has decreased relative to shareholder equity from 0.04 last year to 0.02 today, signaling strengthened financials

Focus Universal Inc. has a net cash position, so leverage is healthy.

Focus Universal Inc. earns at least as much interest as it pays. Interest obligations are fully covered.

Focus Universal Inc.'s profit margin has decreased (427.76%) in the last year from -803.78% to -4.24K%, signaling decreasing performance

Focus Universal Inc.'s short-term assets of $8.65M exceed its short-term liabilities of $366.47K

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

Focus Universal Inc.'s return on equity of -176.75%, is lower than 15.00%, indicating bad performance

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

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

Focus Universal Inc. has negative free cash flow, indicating the company is burning cash rather than generating it

Focus Universal Inc. has negative free cash flow, indicating cash burn

Focus Universal Inc.'s yearly earnings has decreased 49.61% since last year from $-3.20M to $-4.79M, signaling decreasing performance

Focus Universal Inc.'s yearly revenue has decreased 35.95% since last year from $398.14K to $255.02K, signaling decreasing performance

ROIC -66.64% (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.

Focus Universal Inc.'s 3-year revenue CAGR of -10.32% is negative, indicating declining revenue over the past 3 years

Focus Universal Inc. had revenue growth in only 1 out of 5 years, indicating inconsistent revenue performance

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

Focus Universal Inc. has insufficient data to evaluate this check.

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

Focus Universal Inc. is overvalued relative to its fair value price of 0.00 based on EBITDA multiple model

Focus Universal Inc. has negative or missing EBITDA, making EV/EBITDA ratio unreliable

Focus Universal Inc. has insufficient data to evaluate this check.

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

Focus Universal Inc. has a price-to-book ratio of 0.17x, which is below the 5.00x threshold, indicating reasonable valuation relative to its book value

Focus Universal Inc. has a price-to-sales ratio of 10.60x, which exceeds the 8.00x threshold, indicating the stock may be overvalued relative to its revenue