ArcLight Clean Transition Corp. II
ArcLight Clean Transition Corp. II Fundamental Analysis
ArcLight Clean Transition Corp. II (ACTD) shows weak financial fundamentals with a PE ratio of -9.30, profit margin of -4.21%, and ROE of -2.60%. The company generates $3.4B in annual revenue with N/A year-over-year growth of N/A.
Key Strengths
Areas of Concern
The stock receives a Fundamental Health Score of 19.1/100 based on profitability, valuation, growth, and balance sheet metrics. The F grade reflects weak fundamentals and significant financial concerns.
Fundamental Health Score
We analyze ACTD's fundamental strength across five key dimensions:
Efficiency Score
WeakACTD struggles to generate sufficient returns from assets.
Valuation Score
ModerateACTD shows balanced valuation metrics.
Growth Score
WeakACTD faces weak or negative growth trends.
Financial Health Score
ExcellentACTD maintains a strong and stable balance sheet.
Profitability Score
WeakACTD struggles to sustain strong margins.
Key Financial Metrics
Is ACTD Expensive or Cheap?
P/E Ratio
ACTD trades at -9.30 times earnings. This suggests potential undervaluation.
PEG Ratio
When adjusting for growth, ACTD's PEG of 3.65 indicates potential overvaluation.
Price to Book
The market values ArcLight Clean Transition Corp. II at 0.24 times its book value. This may indicate undervaluation.
EV/EBITDA
Enterprise value stands at -33.87 times EBITDA. This is generally considered low.
How Well Does ACTD Make Money?
Net Profit Margin
For every $100 in sales, ArcLight Clean Transition Corp. II keeps $-4.21 as profit after all expenses.
Operating Margin
Core operations generate 4.72 in profit for every $100 in revenue, before interest and taxes.
ROE
Management delivers $-2.60 in profit for every $100 of shareholder equity.
ROA
ArcLight Clean Transition Corp. II generates $-2.52 in profit for every $100 in assets, demonstrating efficient asset deployment.
Following the Money - Real Cash Generation
Operating Cash Flow
ArcLight Clean Transition Corp. II produces operating cash flow of $452.79M, showing steady but balanced cash generation.
Free Cash Flow
ArcLight Clean Transition Corp. II generates weak or negative free cash flow of $-703.92M, restricting financial flexibility.
FCF Per Share
Each share generates $-4.05 in free cash annually.
FCF Yield
ACTD converts -8.66% of its market value into free cash.
Financial Ratios Analysis
Valuation Ratios
P/E Ratio
Price to earnings ratio
-9.30
vs 25 benchmark
PEG Ratio
Price/earnings to growth ratio
3.65
vs 25 benchmark
P/B Ratio
Price to book value ratio
0.24
vs 25 benchmark
P/S Ratio
Price to sales ratio
2.41
vs 25 benchmark
Financial Health
Debt/Equity
Total debt to shareholders' equity
0.02
vs 25 benchmark
Current Ratio
Current assets to current liabilities
1.47
vs 25 benchmark
Efficiency Ratios
ROE
Return on equity percentage
-0.03
vs 25 benchmark
ROA
Return on assets percentage
-0.03
vs 25 benchmark
ROCE
Return on capital employed
0.03
vs 25 benchmark
How ACTD Stacks Against Its Sector Peers
| Metric | ACTD Value | Sector Average | Performance |
|---|---|---|---|
| P/E Ratio | -9.30 | 19.09 | Better (Cheaper) |
| ROE | -2.60% | 843.00% | Weak |
| Net Margin | -4.21% | 3730.00% | Weak |
| Debt/Equity | 0.02 | 0.90 | Strong (Low Leverage) |
| Current Ratio | 1.47 | 661.68 | Neutral |
| ROA | -2.52% | -21651.00% (disorted) | Weak |
ACTD outperforms its industry in 2 out of 6 key metrics, but lagging in ROE.
Historical Growth Performance
5-Year Growth Trajectory
This section reviews ArcLight Clean Transition Corp. II's 5-year compound annual growth rate (CAGR) and compares its performance against the typical investment style of its industry.
Revenue CAGR
N/A
Industry Style: Value, Dividend, Cyclical
EPS CAGR
N/A
Industry Style: Value, Dividend, Cyclical
FCF CAGR
N/A
Industry Style: Value, Dividend, Cyclical