Nephros, Inc.
Nephros, Inc. Fundamental Analysis
Nephros, Inc. (NEPH) shows weak financial fundamentals with a PE ratio of 29.66, profit margin of 8.26%, and ROE of 15.81%. The company generates $0.0B in annual revenue with weak year-over-year growth of -0.53%.
Key Strengths
Areas of Concern
The stock receives a Fundamental Health Score of 50.7/100 based on profitability, valuation, growth, and balance sheet metrics. The C grade reflects average fundamentals, with notable risks in certain areas.
Fundamental Health Score
We analyze NEPH's fundamental strength across five key dimensions:
Efficiency Score
ExcellentNEPH demonstrates superior asset utilization.
Valuation Score
WeakNEPH trades at a premium to fair value.
Growth Score
WeakNEPH faces weak or negative growth trends.
Financial Health Score
ExcellentNEPH maintains a strong and stable balance sheet.
Profitability Score
ModerateNEPH maintains healthy but balanced margins.
Key Financial Metrics
Is NEPH Expensive or Cheap?
P/E Ratio
NEPH trades at 29.66 times earnings. This indicates a fair valuation.
PEG Ratio
When adjusting for growth, NEPH's PEG of 3.86 indicates potential overvaluation.
Price to Book
The market values Nephros, Inc. at 4.39 times its book value. This suggests the stock is fully valued or overvalued on an asset basis.
EV/EBITDA
Enterprise value stands at 29.03 times EBITDA. This signals the market has high growth expectations.
How Well Does NEPH Make Money?
Net Profit Margin
For every $100 in sales, Nephros, Inc. keeps $8.26 as profit after all expenses.
Operating Margin
Core operations generate 8.06 in profit for every $100 in revenue, before interest and taxes.
ROE
Management delivers $15.81 in profit for every $100 of shareholder equity.
ROA
Nephros, Inc. generates $11.18 in profit for every $100 in assets, demonstrating efficient asset deployment.
Following the Money - Real Cash Generation
Operating Cash Flow
Nephros, Inc. produces operating cash flow of $2.72M, showing steady but balanced cash generation.
Free Cash Flow
Nephros, Inc. generates strong free cash flow of $2.72M, providing ample flexibility for dividends, buybacks, or growth.
FCF Per Share
Each share generates $0.26 in free cash annually.
FCF Yield
NEPH converts 6.27% of its market value into free cash.
Financial Ratios Analysis
Valuation Ratios
P/E Ratio
Price to earnings ratio
29.66
vs 25 benchmark
PEG Ratio
Price/earnings to growth ratio
3.86
vs 25 benchmark
P/B Ratio
Price to book value ratio
4.39
vs 25 benchmark
P/S Ratio
Price to sales ratio
2.45
vs 25 benchmark
Financial Health
Debt/Equity
Total debt to shareholders' equity
0.12
vs 25 benchmark
Current Ratio
Current assets to current liabilities
4.34
vs 25 benchmark
Efficiency Ratios
ROE
Return on equity percentage
0.16
vs 25 benchmark
ROA
Return on assets percentage
0.11
vs 25 benchmark
ROCE
Return on capital employed
0.13
vs 25 benchmark
How NEPH Stacks Against Its Sector Peers
| Metric | NEPH Value | Sector Average | Performance |
|---|---|---|---|
| P/E Ratio | 29.66 | 29.43 | Neutral |
| ROE | 15.81% | 800.00% | Weak |
| Net Margin | 8.26% | -20145.00% (disorted) | Weak |
| Debt/Equity | 0.12 | 0.30 | Strong (Low Leverage) |
| Current Ratio | 4.34 | 4.64 | Strong Liquidity |
| ROA | 11.18% | -17936.00% (disorted) | Strong |
NEPH outperforms its industry in 3 out of 6 key metrics, particularly excelling in ROA, but lagging in ROE.
Historical Growth Performance
5-Year Growth Trajectory
This section reviews Nephros, Inc.'s 5-year compound annual growth rate (CAGR) and compares its performance against the typical investment style of its industry.
Revenue CAGR
-1.80%
Industry Style: Defensive, Growth, Innovation
DecliningEPS CAGR
101.67%
Industry Style: Defensive, Growth, Innovation
High GrowthFCF CAGR
84.51%
Industry Style: Defensive, Growth, Innovation
High Growth