ScanSource, Inc. cash flow to debt ratio of 111.03% indicates that the company generates enough cash to cover a substantial portion of its debt. This level indicates very strong financial health.

ScanSource, Inc.'s free cash flow has increased 9.40% from $104.06M last year to $113.84M, signaling increasing performance

ScanSource, Inc.'s debt to equity ratio is 0.37, which means that the company's assets are healthy financed, signaling financial stability.

ScanSource, Inc.'s debt has increased relative to shareholder equity from 0.16 last year to 0.37 today, signaling weakened financials

ScanSource, Inc. has a net debt to EBITDA ratio of 0.20x, which is below the 3.00x threshold, indicating healthy leverage and financial stability

ScanSource, Inc. earns at least as much interest as it pays. Interest obligations are fully covered.

ScanSource, Inc.'s profit margin was 2.35% last year and is 1.96% this year, signaling decreasing performance

ScanSource, Inc.'s short-term assets of $1.51B exceed its short-term liabilities of $859.14M

ScanSource, Inc.'s return on assets of 3.03% is lower than the 5.00% threshold, indicating inefficient asset utilization

ScanSource, Inc.'s return on equity of 7.43%, is lower than 15.00%, indicating bad performance

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

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

ScanSource, Inc. has positive free cash flow, indicating the company generates cash after capital expenditures

ScanSource, Inc. has a free cash flow yield of 13.07%, which is above the 2.00% threshold, indicating strong cash generation relative to market value

ScanSource, Inc.'s yearly earnings has increased 10.24% since last year from $71.55M to $78.87M, signaling increasing performance

ScanSource, Inc.'s yearly revenue has increased 6.09% since last year from $3.04B to $3.23B, signaling increasing performance

ROIC 4.79% (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.

ScanSource, Inc.'s 3-year revenue CAGR of -5.21% is negative, indicating declining revenue over the past 3 years

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

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

ScanSource, Inc. is undervalued relative to its fair value price of 56.05 based on Base Cash Flow Valuation (DCF) model

ScanSource, Inc. has an earnings yield of 7.83%, which is above the 4.00% threshold, indicating the stock offers reasonable value relative to its earnings

ScanSource, Inc. is overvalued relative to its fair value price of 34.57 based on Base EBITDA Valuation model

ScanSource, Inc. has an EV/EBITDA ratio of 8.10x, which is below the 20.00x threshold, indicating reasonable valuation relative to its operating earnings

ScanSource, Inc. is overvalued relative to its fair value price of 32.12 based on Base Earnings Fair Value model

ScanSource, Inc. has a PEG-ratio under 1 which is considered undervalued

ScanSource, Inc. has a price-to-book ratio of 0.94x, which is below the 5.00x threshold, indicating reasonable valuation relative to its book value

ScanSource, Inc. has a price-to-sales ratio of 0.25x, which is below the 8.00x threshold, indicating reasonable valuation relative to its revenue