H2O America cash flow to debt ratio of 12.38% indicates that the company cannot generate enough cash to cover its debt over time. This level indicates weak financial health.

H2O America's free cash flow has decreased 50.23% from $-185.11M last year to $-278.10M, signaling decreasing performance

H2O America's debt to equity ratio is 1.03, which means that the company's assets are unhealthy financed, signaling financial risk.

H2O America's debt has decreased relative to shareholder equity from 1.34 last year to 1.03 today, signaling strengthened financials

H2O America has a net debt to EBITDA ratio of 6.09x, which exceeds the 3.00x threshold, indicating high leverage and potential financial risk

H2O America's interest coverage ratio of 2.44 indicates that earnings with margin can cover interest payments on company debt

H2O America's profit margin has increased (2.82%) in the last year from 12.56% to 12.91%, signaling increasing performance

H2O America's short-term liabilities of $273.38M exceed its short-term assets of $190.59M, signaling financial risk

H2O America's return on assets of 1.97% is lower than the 5.00% threshold, indicating inefficient asset utilization

H2O America's return on equity of 6.35%, is lower than 15.00%, indicating bad performance

H2O America's operating cash flow exceeds its net income, indicating high-quality earnings backed by actual cash generation

H2O America had positive net income in 5 out of 5 years, indicating stable and consistent earnings

H2O America has negative free cash flow, indicating the company is burning cash rather than generating it

H2O America has negative free cash flow, indicating cash burn

H2O America's yearly earnings has increased 9.16% since last year from $93.97M to $102.58M, signaling increasing performance

H2O America's yearly revenue has increased 6.97% since last year from $748.44M to $800.59M, signaling increasing performance

ROIC 3.04% (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.

H2O America's 3-year revenue CAGR of 8.85% is positive, indicating growing revenue over the past 3 years

H2O America had revenue growth in 5 out of 5 years, indicating consistent revenue performance

H2O America had positive ROE in 5 out of 5 years, indicating consistent and reliable returns on equity

H2O America has insufficient data to evaluate this check.

H2O America has an earnings yield of 4.38%, which is above the 4.00% threshold, indicating the stock offers reasonable value relative to its earnings

H2O America is overvalued relative to its fair value price of 0.00 based on EBITDA multiple model

H2O America has an EV/EBITDA ratio of 14.07x, which is below the 20.00x threshold, indicating reasonable valuation relative to its operating earnings

H2O America is undervalued relative to its fair value price of 106.48 based on Earnings Fair Value model

H2O America has a PEG-ratio over 1 which is considered overvalued

H2O America has a price-to-book ratio of 1.33x, which is below the 5.00x threshold, indicating reasonable valuation relative to its book value

H2O America has a price-to-sales ratio of 2.95x, which is below the 8.00x threshold, indicating reasonable valuation relative to its revenue