Sigma Lithium Corporation Fundamental Analysis (NASDAQ: SGML)
Sigma Lithium Corporation Fundamental Analysis (NASDAQ: SGML)
Sigma Lithium Corporation (NASDAQ: SGML) shows weak financial fundamentals with a PE ratio of -48.42, profit margin of -19.68%, and ROE of -37.47%. The company generates $0.1B in annual revenue with weak year-over-year growth of -47.30%.
Key Strengths
Areas of Concern
The stock receives a Fundamental Health Score of -97.4/100 based on profitability, valuation, growth, and balance sheet metrics. The F grade reflects weak fundamentals and significant financial concerns.
Fundamental Health Score
We analyze SGML's fundamental strength across five key dimensions:
Efficiency Score
WeakSGML struggles to generate sufficient returns from assets.
Valuation Score
ExcellentSGML trades at attractive valuation levels.
Growth Score
ModerateSGML shows steady but slowing expansion.
Financial Health Score
WeakSGML carries high financial risk with limited liquidity.
Profitability Score
WeakSGML struggles to sustain strong margins.
Key Financial Metrics
Is SGML Expensive or Cheap?
P/E Ratio
SGML trades at -48.42 times earnings. This suggests potential undervaluation.
PEG Ratio
When adjusting for growth, SGML's PEG of -1.85 indicates potential undervaluation.
Price to Book
The market values Sigma Lithium Corporation at 16.10 times its book value. This suggests the stock is fully valued or overvalued on an asset basis.
EV/EBITDA
Enterprise value stands at 26.25 times EBITDA. This signals the market has high growth expectations.
How Well Does SGML Make Money?
Net Profit Margin
For every $100 in sales, Sigma Lithium Corporation keeps $-19.68 as profit after all expenses.
Operating Margin
Core operations generate 24.36 in profit for every $100 in revenue, before interest and taxes.
ROE
Management delivers $-37.47 in profit for every $100 of shareholder equity.
ROA
Sigma Lithium Corporation generates $-5.79 in profit for every $100 in assets, demonstrating efficient asset deployment.
Following the Money - Real Cash Generation
Operating Cash Flow
Sigma Lithium Corporation generates strong operating cash flow of $35.61M, reflecting robust business health.
Free Cash Flow
Sigma Lithium Corporation generates strong free cash flow of $28.43M, providing ample flexibility for dividends, buybacks, or growth.
FCF Per Share
Each share generates $0.26 in free cash annually.
FCF Yield
SGML converts 2.15% of its market value into free cash.
Financial Ratios Analysis
Valuation Ratios
P/E Ratio
Price to earnings ratio
-48.42
vs 25 benchmark
PEG Ratio
Price/earnings to growth ratio
-1.85
vs 25 benchmark
P/B Ratio
Price to book value ratio
16.10
vs 25 benchmark
P/S Ratio
Price to sales ratio
9.38
vs 25 benchmark
Financial Health
Debt/Equity
Total debt to shareholders' equity
3.26
vs 25 benchmark
Current Ratio
Current assets to current liabilities
0.34
vs 25 benchmark
Efficiency Ratios
ROE
Return on equity percentage
-0.37
vs 25 benchmark
ROA
Return on assets percentage
-0.06
vs 25 benchmark
ROCE
Return on capital employed
0.16
vs 25 benchmark
How SGML Stacks Against Its Sector Peers
| Metric | SGML Value | Sector Average | Performance |
|---|---|---|---|
| P/E Ratio | -48.42 | 27.37 | Better (Cheaper) |
| ROE | -37.47% | 1190.00% | Weak |
| Net Margin | -19.68% | 204.00% | Weak |
| Debt/Equity | 3.26 | 0.73 | Weak (High Leverage) |
| Current Ratio | 0.34 | 3.14 | Weak Liquidity |
| ROA | -5.79% | 2758.00% | Weak |
SGML outperforms its industry in 1 out of 6 key metrics, but lagging in ROE.
Historical Growth Performance
5-Year Growth Trajectory
This section reviews Sigma Lithium Corporation'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, Commodity, Value
DecliningEPS CAGR
-2003.19%
Industry Style: Cyclical, Commodity, Value
DecliningFCF CAGR
165.59%
Industry Style: Cyclical, Commodity, Value
High Growth