Service Properties Trust cash flow to debt ratio of 2.15% indicates that the company cannot generate enough cash to cover its debt over time. This level indicates weak financial health.

Service Properties Trust's free cash flow has decreased 15.48% from $139.39M last year to $117.81M, signaling decreasing performance

Service Properties Trust's debt to equity ratio is 5.68, which means that the company's assets are unhealthy financed, signaling financial risk.

Service Properties Trust's debt has decreased relative to shareholder equity from 6.70 last year to 5.68 today, signaling strengthened financials

Service Properties Trust has a net debt to EBITDA ratio of 10.85x, which exceeds the 3.00x threshold, indicating high leverage and potential financial risk

Service Properties Trust's interest coverage ratio is 0.53, which means that the company struggles to meet interest obligations, signaling financial risk.

Service Properties Trust's profit margin has decreased (75.39%) in the last year from -14.52% to -25.48%, signaling decreasing performance

Service Properties Trust's short-term assets of $346.81M exceed its short-term liabilities of $16.43M

Service Properties Trust's return on assets of 0.00% is lower than the 5.00% threshold, indicating inefficient asset utilization

Service Properties Trust's return on equity of -65.18%, is lower than 15.00%, indicating bad performance

Service Properties Trust's operating cash flow is lower than its net income, indicating that earnings may not be fully backed by cash generation

Service Properties Trust had positive net income in only 0 out of 5 years, indicating unstable earnings

Service Properties Trust has positive free cash flow, indicating the company generates cash after capital expenditures

Service Properties Trust has a free cash flow yield of 43.82%, which is above the 2.00% threshold, indicating strong cash generation relative to market value

Service Properties Trust's yearly earnings has increased -26.57% since last year from $-275.53M to $-202.32M, signaling increasing performance

Service Properties Trust's yearly revenue has decreased 4.33% since last year from $1.90B to $1.81B, signaling decreasing performance

ROIC -53.58% (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.

Service Properties Trust's 3-year revenue CAGR of -0.87% is negative, indicating declining revenue over the past 3 years

Service Properties Trust had revenue growth in 4 out of 5 years, indicating consistent revenue performance

Service Properties Trust had positive ROE in only 0 out of 5 years, indicating inconsistent returns on equity

Service Properties Trust has insufficient data to evaluate this check.

Service Properties Trust has negative trailing-twelve-month earnings; this ratio is not meaningful and the check fails

Service Properties Trust is overvalued relative to its fair value price of 0.00 based on EBITDA multiple model

Service Properties Trust has an EV/EBITDA ratio of 11.41x, which is below the 20.00x threshold, indicating reasonable valuation relative to its operating earnings

Service Properties Trust is undervalued relative to its fair value price of 129.68 based on Earnings Fair Value model

Service Properties Trust has negative trailing-twelve-month earnings; this ratio is not meaningful and the check fails

Service Properties Trust has a price-to-book ratio of 1.28x, which is below the 5.00x threshold, indicating reasonable valuation relative to its book value

Service Properties Trust has a price-to-sales ratio of 0.62x, which is below the 8.00x threshold, indicating reasonable valuation relative to its revenue