Simulations Plus, Inc. cash flow to debt ratio of 2.94K% indicates that the company generates enough cash to cover a substantial portion of its debt. This level indicates very strong financial health.

Simulations Plus, Inc.'s free cash flow has increased 36.53% from $12.75M last year to $17.41M, signaling increasing performance

Simulations Plus, Inc.'s debt to equity ratio is 0.00, which means that the company's assets are healthy financed, signaling financial stability.

Simulations Plus, Inc.'s debt has decreased relative to shareholder equity from 0.01 last year to 0.00 today, signaling strengthened financials

Simulations Plus, Inc. has a net cash position, so leverage is healthy.

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

Simulations Plus, Inc.'s profit margin has decreased (30.53%) in the last year from 14.22% to 9.88%, signaling decreasing performance

Simulations Plus, Inc.'s short-term assets of $51.55M exceed its short-term liabilities of $6.72M

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

Simulations Plus, Inc.'s return on equity of 6.18%, is lower than 15.00%, indicating bad performance

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

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

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

Simulations Plus, Inc. has a free cash flow yield of 4.69%, which is above the 2.00% threshold, indicating strong cash generation relative to market value

Simulations Plus, Inc.'s yearly earnings has decreased 750.17% since last year from $9.95M to $-64.72M, signaling decreasing performance

Simulations Plus, Inc.'s yearly revenue has increased 13.09% since last year from $70.01M to $79.18M, signaling increasing performance

ROIC 5.32% (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.

Simulations Plus, Inc.'s 3-year revenue CAGR of 13.67% is positive, indicating growing revenue over the past 3 years

Simulations Plus, Inc. had revenue growth in 5 out of 5 years, indicating consistent revenue performance

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

Simulations Plus, Inc. is overvalued relative to its fair value price of 16.80 based on Discounted Cash Flow model

Simulations Plus, Inc. has an earnings yield of 2.19%, which is below the 4.00% threshold, indicating the stock may be expensive relative to its earnings

Simulations Plus, Inc. is overvalued relative to its fair value price of 6.60 based on EBITDA multiple model

Simulations Plus, Inc. has an EV/EBITDA ratio of 23.08x, which exceeds the 20.00x threshold, indicating the stock may be overvalued relative to its operating earnings

Simulations Plus, Inc. is overvalued relative to its fair value price of 11.48 based on Earnings Fair Value model

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

Simulations Plus, Inc. has a price-to-book ratio of 2.66x, which is below the 5.00x threshold, indicating reasonable valuation relative to its book value

Simulations Plus, Inc. has a price-to-sales ratio of 4.51x, which is below the 8.00x threshold, indicating reasonable valuation relative to its revenue