Freshworks Inc. cash flow to debt ratio of 590.35% indicates that the company generates enough cash to cover a substantial portion of its debt. This level indicates very strong financial health.

Freshworks Inc.'s free cash flow has increased 67.98% from $145.98M last year to $245.22M, signaling increasing performance

Freshworks Inc.'s debt to equity ratio is 0.03, which means that the company's assets are healthy financed, signaling financial stability.

Freshworks Inc.'s debt has decreased relative to shareholder equity from 0.03 last year to 0.03 today, signaling strengthened financials

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

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

Freshworks Inc.'s profit margin has increased (-254.78%) in the last year from -13.24% to 20.49%, signaling increasing performance

Freshworks Inc.'s short-term assets of $1.10B exceed its short-term liabilities of $498.03M

Freshworks Inc.'s return on assets of 12.43% is higher than the 5.00% threshold, indicating efficient asset utilization

Freshworks Inc.'s return on equity of 19.50%, is higher than 15.00%, indicating good performance

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

Freshworks Inc. has insufficient public price history to evaluate earnings stability.

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

Freshworks Inc. has a free cash flow yield of 7.40%, which is above the 2.00% threshold, indicating strong cash generation relative to market value

Freshworks Inc.'s yearly earnings has increased -292.65% since last year from $-95.37M to $183.72M, signaling increasing performance

Freshworks Inc.'s yearly revenue has increased 16.43% since last year from $720.42M to $838.81M, signaling increasing performance

ROIC 3.16% (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.

Freshworks Inc.'s 3-year revenue CAGR of 18.98% is positive, indicating growing revenue over the past 3 years

Freshworks Inc. had revenue growth in 5 out of 5 years, indicating consistent revenue performance

Freshworks Inc. has insufficient public price history to evaluate ROE consistency.

Freshworks Inc. is undervalued relative to its fair value price of 16.90 based on Discounted Cash Flow model

Freshworks Inc. has an earnings yield of 5.68%, which is above the 4.00% threshold, indicating the stock offers reasonable value relative to its earnings

Freshworks Inc. is overvalued relative to its fair value price of 4.61 based on EBITDA multiple model

Freshworks Inc. has an EV/EBITDA ratio of 23.21x, which exceeds the 20.00x threshold, indicating the stock may be overvalued relative to its operating earnings

Freshworks Inc. has insufficient data to evaluate this check.

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

Freshworks Inc. has a price-to-book ratio of 3.64x, which is below the 5.00x threshold, indicating reasonable valuation relative to its book value

Freshworks Inc. has a price-to-sales ratio of 3.60x, which is below the 8.00x threshold, indicating reasonable valuation relative to its revenue