Rh cash flow to debt ratio of 11.39% indicates that the company cannot generate enough cash to cover its debt over time. This level indicates weak financial health.

Rh's free cash flow has increased -218.11% from $-213.69M last year to $252.40M, signaling increasing performance

Rh's debt to equity ratio is 67.57, which means that the company's assets are unhealthy financed, signaling financial risk.

Rh's debt has increased relative to shareholder equity from -24.07 last year to 67.57 today, signaling weakened financials

Rh has a net debt to EBITDA ratio of 7.26x, which exceeds the 3.00x threshold, indicating high leverage and potential financial risk

Rh's interest coverage ratio is 1.66, which means that the company struggles to meet interest obligations, signaling financial risk.

Rh's profit margin has increased (32.13%) in the last year from 2.28% to 3.01%, signaling increasing performance

Rh's short-term assets of $1.11B exceed its short-term liabilities of $930.61M

Rh's return on assets of 2.08% is lower than the 5.00% threshold, indicating inefficient asset utilization

Rh's return on equity of 515.43%, is higher than 15.00%, indicating good performance

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

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

Rh has positive free cash flow, indicating the company generates cash after capital expenditures

Rh has a free cash flow yield of 7.27%, which is above the 2.00% threshold, indicating strong cash generation relative to market value

Rh's yearly earnings has increased 72.33% since last year from $72.41M to $124.79M, signaling increasing performance

Rh's yearly revenue has increased 8.14% since last year from $3.18B to $3.44B, signaling increasing performance

ROIC 6.76% (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.

Rh's 3-year revenue CAGR of -1.42% is negative, indicating declining revenue over the past 3 years

Rh had revenue growth in 3 out of 5 years, indicating consistent revenue performance

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

Rh has insufficient data to evaluate this check.

Rh has an earnings yield of 2.98%, which is below the 4.00% threshold, indicating the stock may be expensive relative to its earnings

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

Rh has an EV/EBITDA ratio of 13.68x, which is below the 20.00x threshold, indicating reasonable valuation relative to its operating earnings

Rh is undervalued relative to its fair value price of 310.98 based on Earnings Fair Value model

Rh's earnings growth over the measurement period is negative; the PEG ratio is not meaningful and the check fails.

Rh has a price-to-book ratio of 60.77x, which exceeds the 5.00x threshold, indicating the stock may be overvalued relative to its book value

Rh has a price-to-sales ratio of 1.01x, which is below the 8.00x threshold, indicating reasonable valuation relative to its revenue