Top Ships Inc.
Top Ships Inc. Fundamental Analysis
Top Ships Inc. (TOPS) shows moderate financial fundamentals with a PE ratio of 4.58, profit margin of 5.84%, and ROE of 3.07%. The company generates $0.1B in annual revenue with moderate year-over-year growth of 3.83%.
Key Strengths
Areas of Concern
The stock receives a Fundamental Health Score of 23.0/100 based on profitability, valuation, growth, and balance sheet metrics. The F grade reflects weak fundamentals and significant financial concerns.
Fundamental Health Score
We analyze TOPS's fundamental strength across five key dimensions:
Efficiency Score
WeakTOPS struggles to generate sufficient returns from assets.
Valuation Score
ExcellentTOPS trades at attractive valuation levels.
Growth Score
WeakTOPS faces weak or negative growth trends.
Financial Health Score
WeakTOPS carries high financial risk with limited liquidity.
Profitability Score
WeakTOPS struggles to sustain strong margins.
Key Financial Metrics
Is TOPS Expensive or Cheap?
P/E Ratio
TOPS trades at 4.58 times earnings. This suggests potential undervaluation.
PEG Ratio
When adjusting for growth, TOPS's PEG of 0.05 indicates potential undervaluation.
Price to Book
The market values Top Ships Inc. at 0.16 times its book value. This may indicate undervaluation.
EV/EBITDA
Enterprise value stands at -4.41 times EBITDA. This is generally considered low.
How Well Does TOPS Make Money?
Net Profit Margin
For every $100 in sales, Top Ships Inc. keeps $5.84 as profit after all expenses.
Operating Margin
Core operations generate 32.40 in profit for every $100 in revenue, before interest and taxes.
ROE
Management delivers $3.07 in profit for every $100 of shareholder equity.
ROA
Top Ships Inc. generates $1.19 in profit for every $100 in assets, demonstrating efficient asset deployment.
Following the Money - Real Cash Generation
Operating Cash Flow
Top Ships Inc. produces operating cash flow of $17.32M, showing steady but balanced cash generation.
Free Cash Flow
Top Ships Inc. generates strong free cash flow of $17.32M, providing ample flexibility for dividends, buybacks, or growth.
FCF Per Share
Each share generates $3.74 in free cash annually.
FCF Yield
TOPS converts 75.19% of its market value into free cash.
Financial Ratios Analysis
Valuation Ratios
P/E Ratio
Price to earnings ratio
4.58
vs 25 benchmark
PEG Ratio
Price/earnings to growth ratio
0.05
vs 25 benchmark
P/B Ratio
Price to book value ratio
0.16
vs 25 benchmark
P/S Ratio
Price to sales ratio
0.27
vs 25 benchmark
Financial Health
Debt/Equity
Total debt to shareholders' equity
1.74
vs 25 benchmark
Current Ratio
Current assets to current liabilities
0.71
vs 25 benchmark
Efficiency Ratios
ROE
Return on equity percentage
0.03
vs 25 benchmark
ROA
Return on assets percentage
0.01
vs 25 benchmark
ROCE
Return on capital employed
0.07
vs 25 benchmark
How TOPS Stacks Against Its Sector Peers
| Metric | TOPS Value | Sector Average | Performance |
|---|---|---|---|
| P/E Ratio | 4.58 | 26.76 | Better (Cheaper) |
| ROE | 3.07% | 1300.00% | Weak |
| Net Margin | 5.84% | -29570.00% (disorted) | Weak |
| Debt/Equity | 1.74 | 0.79 | Weak (High Leverage) |
| Current Ratio | 0.71 | 10.68 | Weak Liquidity |
| ROA | 1.19% | -1545134.00% (disorted) | Weak |
TOPS outperforms its industry in 1 out of 6 key metrics, but lagging in ROE.
Historical Growth Performance
5-Year Growth Trajectory
This section reviews Top Ships Inc.'s 5-year compound annual growth rate (CAGR) and compares its performance against the typical investment style of its industry.
Revenue CAGR
-99.99%
Industry Style: Cyclical, Value, Infrastructure
DecliningEPS CAGR
100.00%
Industry Style: Cyclical, Value, Infrastructure
High GrowthFCF CAGR
-99.99%
Industry Style: Cyclical, Value, Infrastructure
Declining