| INCOME STATEMENT | BALANCE SHEET | CASH FLOW STATEMENT |
| Gross
Margin <10% |
Goodwill in
Assets >30% |
Stock-based Compensation >20% of Net income |
| Revenue Growth
Rate <2% |
Debt to equity
Ratio >4 |
Capital Expenditure >40% of Net income |
| Net Profit Lower than Cash from Operations | Receivables Rising faster than Sales | Low or negative cash flow from Operating Activities |
| EBITDA
Margin <3% |
Inventory Rising faster than Profits | Free Cash Flow Declining |
| Net
Margin <1% |
Assets Turnover Ratio <0.5 | Free Cash Flow Lower than Net income |
| Direct Costs Rising faster than Sales | Current Assets Lower than Current Liabilities | Cash Flow to Debt <0.1 |
| Interest Coverage
Rate <1.5% |
Quick Ratio <0.3 | Operating Cash Flow to Sales <5% |
