ZeroFox Holdings, Inc.
ZeroFox Holdings, Inc. Fundamental Analysis
ZeroFox Holdings, Inc. (ZFOX) shows moderate financial fundamentals with a PE ratio of -0.40, profit margin of -1.53%, and ROE of -1.12%. The company generates $0.2B in annual revenue with strong year-over-year growth of 98.35%.
Key Strengths
Areas of Concern
The stock receives a Fundamental Health Score of -197.0/100 based on profitability, valuation, growth, and balance sheet metrics. The F grade reflects weak fundamentals and significant financial concerns.
Fundamental Health Score
We analyze ZFOX's fundamental strength across five key dimensions:
Efficiency Score
WeakZFOX struggles to generate sufficient returns from assets.
Valuation Score
ExcellentZFOX trades at attractive valuation levels.
Growth Score
ExcellentZFOX delivers strong and consistent growth momentum.
Financial Health Score
WeakZFOX carries high financial risk with limited liquidity.
Profitability Score
WeakZFOX struggles to sustain strong margins.
Key Financial Metrics
Is ZFOX Expensive or Cheap?
P/E Ratio
ZFOX trades at -0.40 times earnings. This suggests potential undervaluation.
PEG Ratio
When adjusting for growth, ZFOX's PEG of 0.00 indicates potential undervaluation.
Price to Book
The market values ZeroFox Holdings, Inc. at 0.97 times its book value. This may indicate undervaluation.
EV/EBITDA
Enterprise value stands at 0.09 times EBITDA. This is generally considered low.
How Well Does ZFOX Make Money?
Net Profit Margin
For every $100 in sales, ZeroFox Holdings, Inc. keeps $-1.53 as profit after all expenses.
Operating Margin
Core operations generate -29.48 in profit for every $100 in revenue, before interest and taxes.
ROE
Management delivers $-1.12 in profit for every $100 of shareholder equity.
ROA
ZeroFox Holdings, Inc. generates $-68.87 in profit for every $100 in assets, demonstrating efficient asset deployment.
Following the Money - Real Cash Generation
Operating Cash Flow
ZeroFox Holdings, Inc. generates limited operating cash flow of $-12.14M, signaling weaker underlying cash strength.
Free Cash Flow
ZeroFox Holdings, Inc. generates weak or negative free cash flow of $-12.96M, restricting financial flexibility.
FCF Per Share
Each share generates $-0.10 in free cash annually.
FCF Yield
ZFOX converts -9.03% of its market value into free cash.
Financial Ratios Analysis
Valuation Ratios
P/E Ratio
Price to earnings ratio
-0.40
vs 25 benchmark
PEG Ratio
Price/earnings to growth ratio
0.002
vs 25 benchmark
P/B Ratio
Price to book value ratio
0.97
vs 25 benchmark
P/S Ratio
Price to sales ratio
0.61
vs 25 benchmark
Financial Health
Debt/Equity
Total debt to shareholders' equity
1.39
vs 25 benchmark
Current Ratio
Current assets to current liabilities
0.79
vs 25 benchmark
Efficiency Ratios
ROE
Return on equity percentage
-1.12
vs 25 benchmark
ROA
Return on assets percentage
-0.69
vs 25 benchmark
ROCE
Return on capital employed
-0.17
vs 25 benchmark
How ZFOX Stacks Against Its Sector Peers
| Metric | ZFOX Value | Sector Average | Performance |
|---|---|---|---|
| P/E Ratio | -0.40 | 37.32 | Better (Cheaper) |
| ROE | -112.38% | 1000.00% | Weak |
| Net Margin | -152.73% | 5884884788.00% | Weak |
| Debt/Equity | 1.39 | 0.56 | Weak (High Leverage) |
| Current Ratio | 0.79 | 5.09 | Weak Liquidity |
| ROA | -68.87% | -294709.00% (disorted) | Weak |
ZFOX outperforms its industry in 1 out of 6 key metrics, but lagging in ROE.
Historical Growth Performance
5-Year Growth Trajectory
This section reviews ZeroFox Holdings, Inc.'s 5-year compound annual growth rate (CAGR) and compares its performance against the typical investment style of its industry.
Revenue CAGR
1250.16%
Industry Style: Growth, Innovation, High Beta
High GrowthEPS CAGR
-1386.30%
Industry Style: Growth, Innovation, High Beta
DecliningFCF CAGR
38.70%
Industry Style: Growth, Innovation, High Beta
High Growth