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RDGTRidgetech Inc.
$1.68$437
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Ridgetech Inc. (RDGT) Financial Ratios

Latest Ratios: P/E Ratio 0.0x · EV/EBITDA -0.5x · ROE 46.4%. (2007–2025 historical series)

Income StatementBalance SheetCash FlowRatios
AnnualQuarterly

RDGT Valuation Multiples

Price-based multiples — how expensive the stock is relative to earnings, sales, book value, and cash flow

MetricTTMFY 2025FY 2024FY 2023FY 2022FY 2021FY 2020FY 2019FY 2018FY 2017FY 2016
Market Cap$437$38745$30240$309120$91356$322560$390960$471600$242820$259200$172800
Enterprise Value$-2392732$-2354424$23M$24M$30M$25M$39M$17M$4M$-5413649$11M
P/E Ratio →0.000.00————————0.36
P/S Ratio0.000.000.000.000.000.000.000.000.000.000.00
P/B Ratio0.000.000.000.020.010.040.070.090.050.060.06
P/FCF0.000.06———————0.230.07
P/OCF0.000.03———————0.170.07

P/E links to full P/E history page with 30-year chart

RDGT EV Ratios

Enterprise-value multiples — capital-structure-neutral measures of total business value

MetricTTMFY 2025FY 2024FY 2023FY 2022FY 2021FY 2020FY 2019FY 2018FY 2017FY 2016
EV / Revenue—-0.020.150.160.180.190.330.160.04-0.070.12
EV / EBITDA-0.48-0.4712.49————21.37——7.77
EV / EBIT——————————15.91
EV / FCF—-3.72———————-4.714.76

RDGT Profitability

Margins and return-on-capital ratios measuring operating efficiency

Margins

Full margin charts and quarterly trend are on the Earnings History page

MetricTTMFY 2025FY 2024FY 2023FY 2022FY 2021FY 2020FY 2019FY 2018FY 2017FY 2016
Gross Margin3.2%3.2%20.1%23.0%22.2%22.0%21.8%23.3%20.9%20.4%19.7%
Operating Margin-0.9%-0.9%-2.3%-14.1%-1.6%-6.6%-6.0%-0.8%-18.8%-7.5%-0.0%
Net Profit Margin8.5%8.5%-2.7%-14.2%-1.9%-6.1%-5.0%-0.9%-17.7%-6.9%0.5%

Return on Capital

MetricTTMFY 2025FY 2024FY 2023FY 2022FY 2021FY 2020FY 2019FY 2018FY 2017FY 2016
ROE46.4%46.4%-27.4%-107.3%-13.5%-37.6%-32.5%-5.2%-74.9%-24.6%2.4%
ROA12.8%12.8%-4.6%-21.4%-3.0%-7.9%-6.8%-1.3%-24.2%-8.7%0.7%
ROIC-2.4%-2.4%-6.9%-33.8%-4.0%-12.5%-11.6%-2.3%-61.6%-17.8%-0.1%
ROCE-4.1%-4.1%-15.7%-74.2%-7.3%-21.2%-23.5%-4.8%-78.1%-25.9%-0.1%

RDGT Leverage & Debt

Solvency and debt-coverage ratios — lower is generally safer

MetricTTMFY 2025FY 2024FY 2023FY 2022FY 2021FY 2020FY 2019FY 2018FY 2017FY 2016
Debt / Equity0.350.353.022.532.141.922.901.531.020.480.91
Debt / EBITDA2.092.0923.36————32.43——12.32
Net Debt / Equity—-0.081.611.401.331.012.040.980.21-0.210.57
Net Debt / EBITDA-0.48-0.4812.47————20.78——7.65
Debt / FCF—-3.78———————-4.944.69
Interest Coverage——-305.63-314.00-7.00-17.33-8.22——-4120.444.50

Net cash position: cash ($13M) exceeds total debt ($10M)

RDGT Liquidity & Efficiency

Short-term solvency ratios and asset-utilisation metrics

MetricTTMFY 2025FY 2024FY 2023FY 2022FY 2021FY 2020FY 2019FY 2018FY 2017FY 2016
Current Ratio1.741.740.940.971.011.111.061.021.141.401.11
Quick Ratio1.451.450.720.740.800.850.850.770.891.150.86
Cash Ratio0.370.370.270.280.250.340.280.170.280.460.17
Asset Turnover—1.861.631.641.551.251.181.481.301.211.43
Inventory Turnover11.9011.907.607.487.986.127.505.915.666.546.62
Days Sales Outstanding—91.9845.0541.3249.9650.7646.3445.1644.4349.6438.71

RDGT Shareholder Yields

Earnings, FCF, buyback, and dividend yields — total returns to shareholders

Dividends

Full dividend history and growth charts are on the Dividend History page

MetricTTMFY 2025FY 2024FY 2023FY 2022FY 2021FY 2020FY 2019FY 2018FY 2017FY 2016
Dividend Yield———————————
Payout Ratio———————————

Total Shareholder Return Metrics

MetricTTMFY 2025FY 2024FY 2023FY 2022FY 2021FY 2020FY 2019FY 2018FY 2017FY 2016
Earnings Yield100.0%26285.7%————————281.3%
FCF Yield100.0%1632.5%———————443.0%1351.5%
Buyback Yield0.0%0.0%0.0%0.0%0.0%0.0%0.0%0.0%0.0%0.0%0.0%
Total Shareholder Yield0.0%0.0%0.0%0.0%0.0%0.0%0.0%0.0%0.0%0.0%0.0%
Shares Outstanding—$246$64$23$8$8$6$5$5$4$3

Key Metrics

Growth RegimeContracting
ProfitabilityNegative
Balance SheetVulnerable
Cash FlowBurning
Top Statement Risk

Regulatory-driven business model collapse

Margin Erosion Amidst Operational Decline

As reported in recent financial statements, Ridgetech's gross margin has compressed to a razor-thin 3.9% in 2026Q2, reflecting the company's limited pricing power as a price-taker in a market dominated by government-mandated volume-based procurement and intense regional competition for medical distribution contracts.

The persistent negative operating margins suggest that the company's fixed cost base remains misaligned with its shrinking revenue volume. Investors should monitor whether the company can achieve any meaningful scale, as the current cost structure appears to be structurally incompatible with the low-margin nature of pharmaceutical distribution.

Capital Efficiency Decay and Instability

Based on historical quarterly data, Ridgetech's ROIC has fluctuated wildly, reaching a low of -33.0% in 2023Q4, which underscores the company's inability to generate consistent returns on its invested capital amidst ongoing revenue contraction and the loss of key regional procurement tenders.

The erratic nature of these returns suggests that capital allocation has been reactive rather than strategic, likely driven by the need to cover operating deficits. The lack of a stable, positive ROIC trend warrants further investigation into whether the company possesses any remaining competitive advantage in its core markets.

Working Capital Strains and Turnover

According to recent quarterly filings, Ridgetech's asset turnover has remained stagnant at approximately 1.00, indicating that the company is struggling to optimize its inventory and receivables in a high-volume, low-margin environment that is increasingly sensitive to regulatory-driven payment delays from hospital clients.

The volatility in the cash conversion cycle, which has fluctuated significantly over the last ten quarters, suggests that management is facing persistent challenges in managing supplier and customer leverage. This inefficiency likely exacerbates the company's liquidity constraints, making it difficult to maintain the necessary inventory levels for competitive bidding.

Forced Deleveraging and Financial Constraints

As indicated by the latest balance sheet data, Ridgetech has aggressively reduced its debt-to-equity ratio from 2.14 in 2022Q2 to 0.16 in 2026Q2, a shift that appears to be a forced response to shrinking operational scale rather than a strategic decision to optimize the capital structure.

While the low debt levels might appear to provide a buffer, the lack of access to credit may actually hinder the company's ability to scale or participate in larger, more capital-intensive procurement tenders. Investors should monitor whether this deleveraging is a sign of financial discipline or a symptom of a shrinking business that can no longer support traditional debt financing.

Misleading Reliance on Net Income

The market may be misinterpreting Ridgetech's occasional positive net margins as a sign of a successful turnaround, while the negative operating margin suggests the core business remains in decline, obscuring the reality that reported profits are likely derived from non-core, non-recurring sources.

Analysts should prioritize operating cash flow and operating margins over net income to assess the true health of the distribution business. Relying on net income in this context is a common error that masks the underlying operational deficits and the potential for long-term value destruction.

Download Financial Ratios Data

Includes 30+ ratios · 18 years · Updated daily

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RDGT — Frequently Asked Questions

Quick answers to the most common questions about buying RDGT stock.

What is Ridgetech Inc.'s P/E ratio?

Ridgetech Inc.'s current P/E ratio is 0.0x. The historical average is 0.2x.

What is Ridgetech Inc.'s EV/EBITDA?

Ridgetech Inc.'s current EV/EBITDA is -0.5x. This enterprise value multiple compares the company's total value (equity + debt - cash) to its EBITDA. The historical average is 7.4x.

What is Ridgetech Inc.'s ROE?

Ridgetech Inc.'s return on equity (ROE) is 46.4%. This is above the typical threshold of 15-20% considered good for most companies. The historical average is -23.6%.

Is RDGT stock overvalued?

Based on historical data, Ridgetech Inc. is trading at valuation metrics that vary. Compare with industry peers and growth rates for a complete picture.

What are Ridgetech Inc.'s profit margins?

Ridgetech Inc. has 3.2% gross margin and -0.9% operating margin.

How much debt does Ridgetech Inc. have?

Ridgetech Inc.'s Debt/EBITDA ratio is 2.1x, indicating moderate leverage. A ratio between 2-4x is manageable but warrants monitoring.