ECVTEcovyst Inc.
Is the business good?
The checks split: earnings fully cash-backed (2.3×), but margins compressing.
Mixed fundamental signals. Nine pass/fail tests of year-over-year health from the filings.
Operating profit is fully backed by cash. Conversion is worsening vs a year ago.
Negative operating leverage, costs are rising faster than sales, squeezing margins as it grows.
Against the whole market›
Percentile against every name Ryufin tracks. Higher is better; the tick marks the middle of the market. Context, not one of the checks above.
Where this answer is blind. The F-score rewards improvement, so an already-elite company can score mid-pack.
How good a business is ECVT?
Ecovyst Inc. earns 6.5% on the capital it employs against a 9.0% cost of capital, so growth costs more than it returns.
Return on invested capital · cost of capital 9.0% · 2.5 points below what the capital costs: growth destroys value
- Operating margin
- 9.4%
Operating margin · Specialty Chemicals median 7.4% · 12 months to Q2 2026
- Cash conversion
- 2.29×
Cash conversion · 2.87× a year ago · operating cash flow covers the operating profit after tax
- Share count, year on year
- −4.9%
Share count, year on year · bought back, each share owns more of the company
| Year | Operating margin |
|---|---|
| FY2020 | 10% |
| FY2021 | 8.9% |
| FY2022 | 13% |
| FY2023 | 15% |
| FY2024 | 14% |
| FY2025 | 9.0% |
Details›
- Gross margin12 months to Q2 2026
- 21%
- Operating margin12 months to Q2 2026
- 9.4%
- Net margin12 months to Q2 2026
- −7.1%
- Free cash flow margin
- 8.3%
- Revenue, trailing twelve months
- $869M
- Free cash flow, trailing twelve months
- $72M
- Net income, trailing twelve months
- −$61M
- Return on invested capitaloperating profit after tax ÷ debt + equity − cash
- 6.5%
Margins, capital and share counts from the statements as filed with the SEC; cash conversion is operating cash flow over operating profit after tax.
Specialty Chemicals
Ranks #15 of 33 by RyuScore