Gulf Resources, Inc. cash flow to debt ratio of 7.74% indicates that the company cannot generate enough cash to cover its debt over time. This level indicates weak financial health.

Gulf Resources, Inc.'s free cash flow has decreased 82.74% from $-32.75M last year to $-59.85M, signaling decreasing performance

Gulf Resources, Inc.'s debt to equity ratio is 0.08, which means that the company's assets are healthy financed, signaling financial stability.

Gulf Resources, Inc.'s debt has increased relative to shareholder equity from 0.05 last year to 0.08 today, signaling weakened financials

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

Gulf Resources, Inc.'s interest coverage ratio is -83.06, which means that the company struggles to meet interest obligations, signaling financial risk.

Gulf Resources, Inc.'s profit margin has decreased (5.13%) in the last year from -205.68% to -216.23%, signaling decreasing performance

Gulf Resources, Inc.'s short-term liabilities of $17.73M exceed its short-term assets of $17.45M, signaling financial risk

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

Gulf Resources, Inc.'s return on equity of -31.41%, is lower than 15.00%, indicating bad performance

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

Gulf Resources, Inc. had positive net income in only 1 out of 5 years, indicating unstable earnings

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

Gulf Resources, Inc. has negative free cash flow, indicating cash burn

Gulf Resources, Inc.'s yearly earnings has increased -4.63% since last year from $-61.80M to $-58.94M, signaling increasing performance

Gulf Resources, Inc.'s yearly revenue has decreased 74.50% since last year from $30.04M to $7.66M, signaling decreasing performance

ROIC -4.43% (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.

Gulf Resources, Inc.'s 3-year revenue CAGR of -48.17% is negative, indicating declining revenue over the past 3 years

Gulf Resources, Inc. had revenue growth in 3 out of 5 years, indicating consistent revenue performance

Gulf Resources, Inc. had positive ROE in only 1 out of 5 years, indicating inconsistent returns on equity

Gulf Resources, Inc. has insufficient data to evaluate this check.

Gulf Resources, Inc. has negative trailing-twelve-month earnings; this ratio is not meaningful and the check fails

Gulf Resources, Inc. is overvalued relative to its fair value price of 0.00 based on EBITDA multiple model

Gulf Resources, Inc. has negative or missing EBITDA, making EV/EBITDA ratio unreliable

Gulf Resources, Inc. is overvalued relative to its fair value price of -16.46 based on Earnings Fair Value model

Gulf Resources, Inc. has negative trailing-twelve-month earnings; this ratio is not meaningful and the check fails

Gulf Resources, Inc. has a price-to-book ratio of 0.04x, which is below the 5.00x threshold, indicating reasonable valuation relative to its book value

Gulf Resources, Inc. has a price-to-sales ratio of 0.22x, which is below the 8.00x threshold, indicating reasonable valuation relative to its revenue