SLP
Simulations Plus, Inc. (SLP) presents several concerning fundamental aspects: a low Interest coverage ratio (EBIT/Interest expense) of 15.48 suggests limited cushion for interest payments, while a high Inventory turnover days of 232.28 implies slow inventory rotation. The Total operating revenue shows a modest YoY growth of 13.09, but Total profit plummeted by -658.99, reflecting poor profitability. Net cash flow from operating activities grew by 36.08, yet the negative weights in the score dictionary highlight its limited impact. The Quick ratio of 2.20 and low Long-term debt to working capital ratio of 0.0091 are positives but insufficient to offset other weaknesses. Historical back-tests show negative average returns for most factors, reinforcing the underperform stance and indicating constrained potential for the stock.
Analysis Checks(5/10)
- SLP scores 0.29/10 on fundamentals and holds a Premium valuation at present. Backed by its 0.54% ROE, -81.66% net margin, -4.57 P/E ratio, 2.31 P/B ratio, and -880.49% earnings growth, these metrics solidify its Underperform investment rating.
