Petco Health and Wellness Company, Inc. cash flow to debt ratio of 10.98% indicates that the company cannot generate enough cash to cover its debt over time. This level indicates weak financial health.

Petco Health and Wellness Company, Inc.'s free cash flow has increased 276.29% from $49.68M last year to $186.95M, signaling increasing performance

Petco Health and Wellness Company, Inc.'s debt to equity ratio is 2.41, which means that the company's assets are unhealthy financed, signaling financial risk.

Petco Health and Wellness Company, Inc.'s debt has decreased relative to shareholder equity from 2.66 last year to 2.41 today, signaling strengthened financials

Petco Health and Wellness Company, Inc. has a net debt to EBITDA ratio of 7.59x, which exceeds the 3.00x threshold, indicating high leverage and potential financial risk

Petco Health and Wellness Company, Inc.'s interest coverage ratio is 0.99, which means that the company struggles to meet interest obligations, signaling financial risk.

Petco Health and Wellness Company, Inc.'s profit margin has increased (-105.62%) in the last year from -1.66% to 0.09%, signaling increasing performance

Petco Health and Wellness Company, Inc.'s short-term liabilities of $1.13B exceed its short-term assets of $1.02B, signaling financial risk

Petco Health and Wellness Company, Inc.'s return on assets of 0.11% is lower than the 5.00% threshold, indicating inefficient asset utilization

Petco Health and Wellness Company, Inc.'s return on equity of 0.48%, is lower than 15.00%, indicating bad performance

Petco Health and Wellness Company, Inc.'s operating cash flow exceeds its net income, indicating high-quality earnings backed by actual cash generation

Petco Health and Wellness Company, Inc. had positive net income in 3 out of 5 years, indicating stable and consistent earnings

Petco Health and Wellness Company, Inc. has positive free cash flow, indicating the company generates cash after capital expenditures

Petco Health and Wellness Company, Inc. has a free cash flow yield of 24.43%, which is above the 2.00% threshold, indicating strong cash generation relative to market value

Petco Health and Wellness Company, Inc.'s yearly earnings has increased -108.90% since last year from $-101.82M to $9.07M, signaling increasing performance

Petco Health and Wellness Company, Inc.'s yearly revenue has decreased 2.53% since last year from $6.12B to $5.96B, signaling decreasing performance

ROIC 1.93% (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.

Petco Health and Wellness Company, Inc.'s 3-year revenue CAGR of -0.41% is negative, indicating declining revenue over the past 3 years

Petco Health and Wellness Company, Inc. had revenue growth in 3 out of 5 years, indicating consistent revenue performance

Petco Health and Wellness Company, Inc. had positive ROE in 3 out of 5 years, indicating consistent and reliable returns on equity

Petco Health and Wellness Company, Inc. is overvalued relative to its fair value price of 2.52 based on Discounted Cash Flow model

Petco Health and Wellness Company, Inc. has an earnings yield of 0.74%, which is below the 4.00% threshold, indicating the stock may be expensive relative to its earnings

Petco Health and Wellness Company, Inc. is overvalued relative to its fair value price of 0.00 based on EBITDA multiple model

Petco Health and Wellness Company, Inc. has an EV/EBITDA ratio of 9.82x, which is below the 20.00x threshold, indicating reasonable valuation relative to its operating earnings

Petco Health and Wellness Company, Inc. has insufficient data to evaluate this check.

Petco Health and Wellness Company, Inc. had non-positive diluted EPS five years ago; the PEG ratio is not meaningful and the check fails.

Petco Health and Wellness Company, Inc. has a price-to-book ratio of 0.66x, which is below the 5.00x threshold, indicating reasonable valuation relative to its book value

Petco Health and Wellness Company, Inc. has a price-to-sales ratio of 0.13x, which is below the 8.00x threshold, indicating reasonable valuation relative to its revenue