Optical Cable Corporation cash flow to debt ratio of 12.26% indicates that the company cannot generate enough cash to cover its debt over time. This level indicates weak financial health.

Optical Cable Corporation's free cash flow has increased -191.05% from $-1.23M last year to $1.12M, signaling increasing performance

Optical Cable Corporation's debt to equity ratio is 0.55, which means that the company's assets are healthy financed, signaling financial stability.

Optical Cable Corporation's debt has decreased relative to shareholder equity from 0.62 last year to 0.55 today, signaling strengthened financials

Optical Cable Corporation has a net debt to EBITDA ratio of 29.33x, which exceeds the 3.00x threshold, indicating high leverage and potential financial risk

Optical Cable Corporation's interest coverage ratio of 2.05 indicates that earnings with margin can cover interest payments on company debt

Optical Cable Corporation's profit margin has increased (-120.36%) in the last year from -6.31% to 1.29%, signaling increasing performance

Optical Cable Corporation's short-term assets of $30.76M exceed its short-term liabilities of $16.85M

Optical Cable Corporation's return on assets of 0.00% is lower than the 5.00% threshold, indicating inefficient asset utilization

Optical Cable Corporation's return on equity of 4.67%, is lower than 15.00%, indicating bad performance

Optical Cable Corporation's operating cash flow is lower than its net income, indicating that earnings may not be fully backed by cash generation

Optical Cable Corporation had positive net income in only 2 out of 5 years, indicating unstable earnings

Optical Cable Corporation has positive free cash flow, indicating the company generates cash after capital expenditures

Optical Cable Corporation has a free cash flow yield of 0.82%, which is below the 2.00% threshold, indicating limited cash return relative to market value

Optical Cable Corporation's yearly earnings has increased -65.44% since last year from $-4.21M to $-1.45M, signaling increasing performance

Optical Cable Corporation's yearly revenue has increased 9.55% since last year from $66.67M to $73.04M, signaling increasing performance

ROIC 5.59% (Source: FMP key-metrics). In the 5–10% partial-credit band. Score: 1 of 2. This band sits within the typical US weighted-average cost of capital range. Methodology choice can change the conclusion: under FMP's invested-capital definition the company is at or near its cost of capital; under narrower operating-capital definitions the same company may score higher. Invested capital here includes equity, non-current liabilities, and short-term debt. Cash is not subtracted. See methodology.

Optical Cable Corporation's 3-year revenue CAGR of 1.88% is positive, indicating growing revenue over the past 3 years

Optical Cable Corporation had revenue growth in 4 out of 5 years, indicating consistent revenue performance

Optical Cable Corporation had positive ROE in only 2 out of 5 years, indicating inconsistent returns on equity

Optical Cable Corporation has insufficient data to evaluate this check.

Optical Cable Corporation has an earnings yield of 0.74%, which is below the 4.00% threshold, indicating the stock may be expensive relative to its earnings

Optical Cable Corporation is overvalued relative to its fair value price of 0.00 based on EBITDA multiple model

Optical Cable Corporation has an EV/EBITDA ratio of 381.51x, which exceeds the 20.00x threshold, indicating the stock may be overvalued relative to its operating earnings

Optical Cable Corporation is overvalued relative to its fair value price of -0.83 based on Earnings Fair Value model

Optical Cable Corporation has negative trailing-twelve-month earnings; this ratio is not meaningful and the check fails

Optical Cable Corporation has a price-to-book ratio of 6.13x, which exceeds the 5.00x threshold, indicating the stock may be overvalued relative to its book value

Optical Cable Corporation has a price-to-sales ratio of 1.74x, which is below the 8.00x threshold, indicating reasonable valuation relative to its revenue