Montauk Renewables, Inc. cash flow to debt ratio of 21.99% indicates that the company cannot generate enough cash to cover its debt over time. This level indicates weak financial health.

Montauk Renewables, Inc.'s free cash flow has decreased 365.28% from $-18.53M last year to $-86.21M, signaling decreasing performance

Montauk Renewables, Inc.'s debt to equity ratio is 0.59, which means that the company's assets are healthy financed, signaling financial stability.

Montauk Renewables, Inc.'s debt has increased relative to shareholder equity from 0.24 last year to 0.59 today, signaling weakened financials

Montauk Renewables, Inc. has a net debt to EBITDA ratio of 3.54x, which exceeds the 3.00x threshold, indicating high leverage and potential financial risk

Montauk Renewables, Inc.'s interest coverage ratio is 0.45, which means that the company struggles to meet interest obligations, signaling financial risk.

Montauk Renewables, Inc.'s profit margin has decreased (24.29%) in the last year from 5.54% to 4.19%, signaling decreasing performance

Montauk Renewables, Inc.'s short-term assets of $37.16M exceed its short-term liabilities of $33.42M

Montauk Renewables, Inc.'s return on assets of 1.68% is lower than the 5.00% threshold, indicating inefficient asset utilization

Montauk Renewables, Inc.'s return on equity of 3.01%, is lower than 15.00%, indicating bad performance

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

Montauk Renewables, Inc. had positive net income in 4 out of 5 years, indicating stable and consistent earnings

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

Montauk Renewables, Inc. has negative free cash flow, indicating cash burn

Montauk Renewables, Inc.'s yearly earnings has decreased 82.04% since last year from $9.73M to $1.75M, signaling decreasing performance

Montauk Renewables, Inc.'s yearly revenue has increased 0.37% since last year from $175.74M to $176.38M, signaling increasing performance

ROIC 0.54% (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.

Montauk Renewables, Inc.'s 3-year revenue CAGR of -4.97% is negative, indicating declining revenue over the past 3 years

Montauk Renewables, Inc. had revenue growth in 4 out of 5 years, indicating consistent revenue performance

Montauk Renewables, Inc. had positive ROE in 4 out of 5 years, indicating consistent and reliable returns on equity

Montauk Renewables, Inc. has insufficient data to evaluate this check.

Montauk Renewables, Inc. has an earnings yield of 3.24%, which is below the 4.00% threshold, indicating the stock may be expensive relative to its earnings

Montauk Renewables, Inc. is overvalued relative to its fair value price of 0.90 based on EBITDA multiple model

Montauk Renewables, Inc. has an EV/EBITDA ratio of 11.07x, which is below the 20.00x threshold, indicating reasonable valuation relative to its operating earnings

Montauk Renewables, Inc. has insufficient data to evaluate this check.

Montauk Renewables, Inc.'s earnings growth over the measurement period is negative; the PEG ratio is not meaningful and the check fails.

Montauk Renewables, Inc. has a price-to-book ratio of 0.93x, which is below the 5.00x threshold, indicating reasonable valuation relative to its book value

Montauk Renewables, Inc. has a price-to-sales ratio of 1.30x, which is below the 8.00x threshold, indicating reasonable valuation relative to its revenue