Vertiv Holdings Co cash flow to debt ratio of 62.11% indicates that the company generates enough cash to cover its debts. This level indicates strong financial health.

Vertiv Holdings Co's free cash flow has increased 66.83% from $1.14B last year to $1.89B, signaling increasing performance

Vertiv Holdings Co's debt to equity ratio is 0.68, which means that the company's assets are unhealthy financed, signaling financial risk.

Vertiv Holdings Co's debt has decreased relative to shareholder equity from 1.36 last year to 0.68 today, signaling strengthened financials

Vertiv Holdings Co has a net debt to EBITDA ratio of 0.74x, which is below the 3.00x threshold, indicating healthy leverage and financial stability

Vertiv Holdings Co's interest coverage ratio of 38.58 indicates that earnings with good margin can cover interest payments on company debt

Vertiv Holdings Co's profit margin has increased (143.81%) in the last year from 6.19% to 15.09%, signaling increasing performance

Vertiv Holdings Co's short-term assets of $6.82B exceed its short-term liabilities of $4.41B

Vertiv Holdings Co's return on assets of 10.89% is higher than the 5.00% threshold, indicating efficient asset utilization

Vertiv Holdings Co's return on equity of 42.11%, is higher than 15.00%, indicating good performance

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

Vertiv Holdings Co had positive net income in 5 out of 5 years, indicating stable and consistent earnings

Vertiv Holdings Co has positive free cash flow, indicating the company generates cash after capital expenditures

Vertiv Holdings Co has a free cash flow yield of 1.82%, which is below the 2.00% threshold, indicating limited cash return relative to market value

Vertiv Holdings Co's yearly earnings has increased 168.82% since last year from $495.80M to $1.33B, signaling increasing performance

Vertiv Holdings Co's yearly revenue has increased 27.69% since last year from $8.01B to $10.23B, signaling increasing performance

ROIC 20.78% (Source: FMP key-metrics). At or above the 10% threshold. Score: 2 of 2. The company is generating returns above the upper end of the typical US weighted-average cost of capital range under this definition of invested capital.

Vertiv Holdings Co's 3-year revenue CAGR of 21.59% is positive, indicating growing revenue over the past 3 years

Vertiv Holdings Co had revenue growth in 5 out of 5 years, indicating consistent revenue performance

Vertiv Holdings Co had positive ROE in 5 out of 5 years, indicating consistent and reliable returns on equity

Vertiv Holdings Co is overvalued relative to its fair value price of 83.49 based on Discounted Cash Flow model

Vertiv Holdings Co has an earnings yield of 1.67%, which is below the 4.00% threshold, indicating the stock may be expensive relative to its earnings

Vertiv Holdings Co is overvalued relative to its fair value price of 35.98 based on EBITDA multiple model

Vertiv Holdings Co has an EV/EBITDA ratio of 49.41x, which exceeds the 20.00x threshold, indicating the stock may be overvalued relative to its operating earnings

Vertiv Holdings Co is overvalued relative to its fair value price of 68.20 based on Earnings Fair Value model

Vertiv Holdings Co had non-positive diluted EPS five years ago; the PEG ratio is not meaningful and the check fails.

Vertiv Holdings Co has a price-to-book ratio of 21.83x, which exceeds the 5.00x threshold, indicating the stock may be overvalued relative to its book value

Vertiv Holdings Co has a price-to-sales ratio of 9.05x, which exceeds the 8.00x threshold, indicating the stock may be overvalued relative to its revenue