Cavitation Technologies, Inc.
Cavitation Technologies, Inc. Fundamental Analysis
Cavitation Technologies, Inc. (CVAT) shows moderate financial fundamentals with a PE ratio of -6.63, profit margin of -9.22%, and ROE of 69.51%. The company generates $0.0B in annual revenue with weak year-over-year growth of 2.15%.
Key Strengths
Areas of Concern
The stock receives a Fundamental Health Score of -624.1/100 based on profitability, valuation, growth, and balance sheet metrics. The F grade reflects weak fundamentals and significant financial concerns.
Fundamental Health Score
We analyze CVAT's fundamental strength across five key dimensions:
Efficiency Score
WeakCVAT struggles to generate sufficient returns from assets.
Valuation Score
ExcellentCVAT trades at attractive valuation levels.
Growth Score
WeakCVAT faces weak or negative growth trends.
Financial Health Score
ModerateCVAT shows balanced financial health with some risks.
Profitability Score
WeakCVAT struggles to sustain strong margins.
Key Financial Metrics
Is CVAT Expensive or Cheap?
P/E Ratio
CVAT trades at -6.63 times earnings. This suggests potential undervaluation.
PEG Ratio
When adjusting for growth, CVAT's PEG of 0.01 indicates potential undervaluation.
Price to Book
The market values Cavitation Technologies, Inc. at -32.06 times its book value. This may indicate undervaluation.
EV/EBITDA
Enterprise value stands at -3.90 times EBITDA. This is generally considered low.
How Well Does CVAT Make Money?
Net Profit Margin
For every $100 in sales, Cavitation Technologies, Inc. keeps $-9.22 as profit after all expenses.
Operating Margin
Core operations generate -9.12 in profit for every $100 in revenue, before interest and taxes.
ROE
Management delivers $69.51 in profit for every $100 of shareholder equity.
ROA
Cavitation Technologies, Inc. generates $-21.80 in profit for every $100 in assets, demonstrating efficient asset deployment.
Following the Money - Real Cash Generation
Operating Cash Flow
Cavitation Technologies, Inc. generates limited operating cash flow of $-854.57K, signaling weaker underlying cash strength.
Free Cash Flow
Cavitation Technologies, Inc. generates weak or negative free cash flow of $-854.57K, restricting financial flexibility.
FCF Per Share
Each share generates $-0.00 in free cash annually.
FCF Yield
CVAT converts -10.16% of its market value into free cash.
Financial Ratios Analysis
Valuation Ratios
P/E Ratio
Price to earnings ratio
-6.63
vs 25 benchmark
PEG Ratio
Price/earnings to growth ratio
0.009
vs 25 benchmark
P/B Ratio
Price to book value ratio
-32.06
vs 25 benchmark
P/S Ratio
Price to sales ratio
62.90
vs 25 benchmark
Financial Health
Debt/Equity
Total debt to shareholders' equity
-0.62
vs 25 benchmark
Current Ratio
Current assets to current liabilities
0.29
vs 25 benchmark
Efficiency Ratios
ROE
Return on equity percentage
69.51
vs 25 benchmark
ROA
Return on assets percentage
-21.80
vs 25 benchmark
ROCE
Return on capital employed
12.09
vs 25 benchmark
How CVAT Stacks Against Its Sector Peers
| Metric | CVAT Value | Sector Average | Performance |
|---|---|---|---|
| P/E Ratio | -6.63 | 25.38 | Better (Cheaper) |
| ROE | 6950.72% | 1249.00% | Excellent |
| Net Margin | -922.31% | -47065.00% (disorted) | Weak |
| Debt/Equity | -0.62 | 0.78 | Strong (Low Leverage) |
| Current Ratio | 0.29 | 10.41 | Weak Liquidity |
| ROA | -2180.00% | -1500513.00% (disorted) | Weak |
CVAT outperforms its industry in 3 out of 6 key metrics, particularly excelling in ROE, but lagging in Net Margin.
Historical Growth Performance
5-Year Growth Trajectory
This section reviews Cavitation Technologies, Inc.'s 5-year compound annual growth rate (CAGR) and compares its performance against the typical investment style of its industry.
Revenue CAGR
-13.35%
Industry Style: Cyclical, Value, Infrastructure
DecliningEPS CAGR
142.08%
Industry Style: Cyclical, Value, Infrastructure
High GrowthFCF CAGR
142.57%
Industry Style: Cyclical, Value, Infrastructure
High Growth