Netcapital Inc. cash flow to debt ratio of -198.96% indicates that the company cannot generate enough cash to cover its debt over time. This level indicates weak financial health.

Netcapital Inc.'s free cash flow has decreased 9.41% from $-4.88M last year to $-5.34M, signaling decreasing performance

Netcapital Inc.'s debt to equity ratio is 0.11, which means that the company's assets are healthy financed, signaling financial stability.

Netcapital Inc.'s debt has increased relative to shareholder equity from 0.06 last year to 0.11 today, signaling weakened financials

Netcapital Inc. has negative EBITDA, making leverage ratio unreliable

Netcapital Inc.'s interest coverage ratio is -146.19, which means that the company struggles to meet interest obligations, signaling financial risk.

Netcapital Inc.'s profit margin has decreased (3.68K%) in the last year from -100.70% to -3.80K%, signaling decreasing performance

Netcapital Inc.'s short-term liabilities of $5.50M exceed its short-term assets of $399.61K, signaling financial risk

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

Netcapital Inc.'s return on equity of -138.80%, is lower than 15.00%, indicating bad performance

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

Netcapital Inc. had positive net income in 3 out of 5 years, indicating stable and consistent earnings

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

Netcapital Inc. has negative free cash flow, indicating cash burn

Netcapital Inc.'s yearly earnings has decreased 467.58% since last year from $-4.99M to $-28.30M, signaling decreasing performance

Netcapital Inc.'s yearly revenue has decreased 82.44% since last year from $4.95M to $869.46K, signaling decreasing performance

ROIC -40.00% (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.

Netcapital Inc.'s 3-year revenue CAGR of -45.87% is negative, indicating declining revenue over the past 3 years

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

Netcapital Inc. had positive ROE in 3 out of 5 years, indicating consistent and reliable returns on equity

Netcapital Inc. has insufficient data to evaluate this check.

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

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

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

Netcapital Inc. is overvalued relative to its fair value price of -0.79 based on Earnings Fair Value model

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

Netcapital Inc. has a price-to-book ratio of 0.10x, which is below the 5.00x threshold, indicating reasonable valuation relative to its book value

Netcapital Inc. has a price-to-sales ratio of 3.05x, which is below the 8.00x threshold, indicating reasonable valuation relative to its revenue