ESS Tech, Inc. Fundamental Analysis (NYSE: GWH)
ESS Tech, Inc. (NYSE: GWH) shows moderate financial fundamentals with a PE ratio of -0.13, profit margin of 55.93%, and ROE of -19.35%. The company generates $-0.0B in annual revenue with weak year-over-year growth of -74.85%.
Key Strengths
Areas of Concern
The stock receives a Fundamental Health Score of -1962.2/100 based on profitability, valuation, growth, and balance sheet metrics. The F grade reflects weak fundamentals and significant financial concerns.
Fundamental Health Score
We analyze GWH's fundamental strength across five key dimensions:
Efficiency Score
WeakGWH struggles to generate sufficient returns from assets.
Valuation Score
ExcellentGWH trades at attractive valuation levels.
Growth Score
ModerateGWH shows steady but slowing expansion.
Financial Health Score
ModerateGWH shows balanced financial health with some risks.
Profitability Score
WeakGWH struggles to sustain strong margins.
Key Financial Metrics
Is GWH Expensive or Cheap?
P/E Ratio
GWH trades at -0.13 times earnings. This suggests potential undervaluation.
PEG Ratio
When adjusting for growth, GWH's PEG of -0.00 indicates potential undervaluation.
Price to Book
The market values ESS Tech, Inc. at -4.90 times its book value. This may indicate undervaluation.
EV/EBITDA
Enterprise value stands at -0.34 times EBITDA. This is generally considered low.
How Well Does GWH Make Money?
Net Profit Margin
For every $100 in sales, ESS Tech, Inc. keeps $55.93 as profit after all expenses.
Operating Margin
Core operations generate 46.65 in profit for every $100 in revenue, before interest and taxes.
ROE
Management delivers $-19.35 in profit for every $100 of shareholder equity.
ROA
ESS Tech, Inc. generates $-2.03 in profit for every $100 in assets, demonstrating efficient asset deployment.
Following the Money - Real Cash Generation
Operating Cash Flow
ESS Tech, Inc. generates strong operating cash flow of $-36.57M, reflecting robust business health.
Free Cash Flow
ESS Tech, Inc. generates strong free cash flow of $-39.46M, providing ample flexibility for dividends, buybacks, or growth.
FCF Per Share
Each share generates $-1.34 in free cash annually.
FCF Yield
GWH converts -4.00% of its market value into free cash.
Financial Ratios Analysis
Valuation Ratios
P/E Ratio
Price to earnings ratio
-0.13
vs 25 benchmark
PEG Ratio
Price/earnings to growth ratio
-0.00
vs 25 benchmark
P/B Ratio
Price to book value ratio
-4.90
vs 25 benchmark
P/S Ratio
Price to sales ratio
-9.72
vs 25 benchmark
Financial Health
Debt/Equity
Total debt to shareholders' equity
-1.11
vs 25 benchmark
Current Ratio
Current assets to current liabilities
0.68
vs 25 benchmark
Efficiency Ratios
ROE
Return on equity percentage
-19.35
vs 25 benchmark
ROA
Return on assets percentage
-2.03
vs 25 benchmark
ROCE
Return on capital employed
-4.40
vs 25 benchmark
How GWH Stacks Against Its Sector Peers
| Metric | GWH Value | Sector Average | Performance |
|---|---|---|---|
| P/E Ratio | -0.13 | 29.88 | Better (Cheaper) |
| ROE | -1934.84% | 1106.00% | Weak |
| Net Margin | 5593.29% | -24767.00% (disorted) | Strong |
| Debt/Equity | -1.11 | 0.94 | Strong (Low Leverage) |
| Current Ratio | 0.68 | 21.64 | Weak Liquidity |
| ROA | -202.71% | -1320894.00% (disorted) | Weak |
GWH outperforms its industry in 3 out of 6 key metrics, particularly excelling in Net Margin, but lagging in ROE.
Historical Growth Performance
5-Year Growth Trajectory
This section reviews ESS Tech, Inc.'s 5-year compound annual growth rate (CAGR) and compares its performance against the typical investment style of its industry.
Revenue CAGR
0.00%
Industry Style: Cyclical, Value, Infrastructure
DecliningEPS CAGR
43.93%
Industry Style: Cyclical, Value, Infrastructure
High GrowthFCF CAGR
18.79%
Industry Style: Cyclical, Value, Infrastructure
High Growth