Valhi, Inc. cash flow to debt ratio of -5.80% indicates that the company cannot generate enough cash to cover its debt over time. This level indicates weak financial health.

Valhi, Inc.'s free cash flow has decreased 726.72% from $13.10M last year to $-82.10M, signaling decreasing performance

Valhi, Inc.'s debt to equity ratio is 0.58, which means that the company's assets are healthy financed, signaling financial stability.

Valhi, Inc.'s debt has increased relative to shareholder equity from 0.56 last year to 0.58 today, signaling weakened financials

Valhi, Inc. has a net debt to EBITDA ratio of 4.80x, which exceeds the 3.00x threshold, indicating high leverage and potential financial risk

Valhi, Inc.'s interest coverage ratio is -0.12, which means that the company struggles to meet interest obligations, signaling financial risk.

Valhi, Inc.'s profit margin has decreased (134.13%) in the last year from 5.13% to -1.75%, signaling decreasing performance

Valhi, Inc.'s short-term assets of $1.26B exceed its short-term liabilities of $449.30M

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

Valhi, Inc.'s return on equity of -3.66%, is lower than 15.00%, indicating bad performance

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

Valhi, Inc. had positive net income in 3 out of 5 years, indicating stable and consistent earnings

Valhi, Inc. has negative free cash flow, indicating the company is burning cash rather than generating it

Valhi, Inc. has negative free cash flow, indicating cash burn

Valhi, Inc.'s yearly earnings has decreased 153.33% since last year from $108.00M to $-57.60M, signaling decreasing performance

Valhi, Inc.'s yearly revenue has increased 1.49% since last year from $2.10B to $2.14B, signaling increasing performance

ROIC -0.32% (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.

Valhi, Inc.'s 3-year revenue CAGR of -2.23% is negative, indicating declining revenue over the past 3 years

Valhi, Inc. had revenue growth in only 2 out of 5 years, indicating inconsistent revenue performance

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

Valhi, Inc. has insufficient data to evaluate this check.

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

Valhi, Inc. is overvalued relative to its fair value price of 2.44 based on EBITDA multiple model

Valhi, Inc. has an EV/EBITDA ratio of 10.69x, which is below the 20.00x threshold, indicating reasonable valuation relative to its operating earnings

Valhi, Inc. is undervalued relative to its fair value price of 58.72 based on Earnings Fair Value model

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

Valhi, Inc. has a price-to-book ratio of 0.34x, which is below the 5.00x threshold, indicating reasonable valuation relative to its book value

Valhi, Inc. has a price-to-sales ratio of 0.22x, which is below the 8.00x threshold, indicating reasonable valuation relative to its revenue