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DQDaqo New Energy Corp.
$11.91$806M
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  4. Financial Ratios

Daqo New Energy Corp. (DQ) Financial Ratios

Latest Ratios: P/E Ratio -4.7x · EV/EBITDA N/A · ROE -2.9%. (2007–2025 historical series)

Income StatementBalance SheetCash FlowRatios
AnnualQuarterly

DQ 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$806M$2.0B$1.3B$2.0B$3.0B$3.1B$4.3B$717M$305M$649M$204M
Enterprise Value$-174388308$1.0B$286M$-1044796969$-494558116$2.4B$4.5B$1.0B$440M$818M$432M
P/E Ratio →-4.67——4.631.644.1433.7424.387.806.994.82
P/S Ratio1.212.991.250.860.651.846.372.051.011.840.89
P/B Ratio0.140.340.220.310.451.165.391.260.581.640.75
P/FCF———4.652.4523.6747.06——8.676.55
P/OCF14.3635.50—1.231.214.8420.526.973.194.552.07

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

DQ 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—1.520.28-0.45-0.111.416.612.991.462.321.89
EV / EBITDA———-1.12-0.162.1017.4211.034.235.234.35
EV / EBIT———-1.33-0.162.2523.7922.045.206.367.05
EV / FCF———-2.43-0.4118.1448.89——10.9313.85

DQ 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 Margin-20.7%-20.7%-20.7%39.9%74.0%65.4%34.6%22.9%32.5%40.7%35.1%
Operating Margin-40.6%-40.6%-54.8%33.9%66.0%62.6%27.8%13.6%27.0%36.5%28.6%
Net Profit Margin-25.6%-25.6%-33.5%18.6%39.5%44.6%19.1%8.4%12.6%26.3%19.0%

Return on Capital

MetricTTMFY 2025FY 2024FY 2023FY 2022FY 2021FY 2020FY 2019FY 2018FY 2017FY 2016
ROE-2.9%-2.9%-5.6%6.6%39.3%43.3%18.9%5.4%8.3%27.9%16.9%
ROA-2.7%-2.7%-5.0%5.7%33.3%32.7%10.6%2.9%4.8%13.2%6.6%
ROIC-4.1%-4.1%-10.2%18.0%90.0%54.3%15.1%4.6%10.0%18.2%9.9%
ROCE-4.6%-4.6%-9.0%11.7%63.0%56.1%22.0%6.5%13.2%27.4%16.5%

DQ Leverage & Debt

Solvency and debt-coverage ratios — lower is generally safer

MetricTTMFY 2025FY 2024FY 2023FY 2022FY 2021FY 2020FY 2019FY 2018FY 2017FY 2016
Debt / Equity——0.00—0.00—0.300.670.380.580.90
Debt / EBITDA————0.01—0.954.021.931.472.45
Net Debt / Equity—-0.17-0.17-0.47-0.53-0.270.210.580.260.430.84
Net Debt / EBITDA———-3.26-1.11-0.640.653.471.301.082.29
Debt / FCF———-7.08-2.86-5.541.82——2.267.30
Interest Coverage—————51.337.054.577.867.904.82

Net cash position: cash ($980M) exceeds total debt ($0)

DQ Liquidity & Efficiency

Short-term solvency ratios and asset-utilisation metrics

MetricTTMFY 2025FY 2024FY 2023FY 2022FY 2021FY 2020FY 2019FY 2018FY 2017FY 2016
Current Ratio5.415.415.054.286.643.170.630.391.070.660.29
Quick Ratio5.075.074.764.076.412.570.460.300.970.570.24
Cash Ratio4.154.154.043.634.771.820.270.120.580.280.06
Asset Turnover—0.100.160.310.610.500.550.290.350.470.35
Inventory Turnover4.754.758.288.017.081.778.976.8713.1710.6812.11
Days Sales Outstanding—74.3419.5718.4189.6379.560.155.9212.2322.2230.89

DQ 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 Yield———21.6%61.0%24.2%3.0%4.1%12.8%14.3%20.7%
FCF Yield———21.5%40.8%4.2%2.1%——11.5%15.3%
Buyback Yield0.0%0.0%1.0%26.2%4.2%0.0%0.0%0.0%0.0%0.0%0.0%
Total Shareholder Yield0.0%0.0%1.0%26.2%4.2%0.0%0.0%0.0%0.0%0.0%0.0%
Shares Outstanding—$68M$66M$75M$77M$77M$75M$70M$65M$55M$53M

Key Metrics

Growth RegimeContracting
ProfitabilityWeak
Balance SheetFortress
Cash FlowDeteriorating
Top Statement Risk

Prolonged negative gross margins

Trapped in a Cyclical Value Trap

According to recent SEC filings, DQ's P/B ratio of 0.16 and Forward EV/EBITDA of 0.19 signal extreme distress pricing, but these multiples are rendered meaningless by current negative earnings and a collapsing asset base.

The current valuation multiples do not reflect a traditional discount but rather a market pricing in the potential for permanent capital impairment. With a negative TTM P/E and a P/B well below 1.0, the market is valuing DQ's equity at a fraction of its book value, which itself is being eroded by sustained operating losses. This level of distress pricing suggests investors are applying a severe discount to the company's long-term viability, overshadowing any near-term earnings recovery hopes.

Operational Viability Severely Challenged

As reported in financial statements, DQ's gross margin has deteriorated to -132.0% in 2026Q2, indicating that the cash cost of producing polysilicon now exceeds the market price by a wide margin, calling into question the fundamental viability of its operations.

The plunge into deeply negative gross margins represents a catastrophic breakdown in the company's core earnings power. This is not a cyclical trough but a structural inflection where the company's cost of goods sold, likely inflated by fixed overheads and high energy input costs, is completely disconnected from prevailing market pricing. The operating margin of -159.7% confirms that these losses are compounding below the gross profit line, as revenue cannot cover even the direct costs of production, let alone SG&A or depreciation.

A Fortified Balance Sheet Under Siege

Based on DQ's reported figures, its current ratio of 5.81 remains exceptionally high, but the cash position has been depleted from over $2.7 billion to $555 million over two years, indicating the fortress is being actively liquidated to fund operational shortfalls.

While the absolute level of liquidity appears robust in a static analysis, the dynamic trend is critical. The company's ability to maintain a high current ratio is currently dependent on the liquidation of working capital, such as inventory and receivables, which provided over $980 million in cash inflow over the trailing twelve months. This suggests the liquidity cushion is a drawdown asset, not a renewable source, and its duration is directly tied to the length of the industry downturn.

Capital Employed is Being Destroyed

Daqo's ROIC has been consistently negative, reaching -1.4% in 2026Q2, demonstrating that the substantial capital invested in its manufacturing assets is generating losses rather than returns, a trend that has persisted for over six consecutive quarters.

The sustained negative ROIC indicates a profound failure to generate returns above the cost of capital. This is driven by the collapse in asset turnover, which has fallen to 0.01, meaning the company's $3.4 billion in property, plant & equipment is generating negligible revenue. For a capital-intensive manufacturer, this level of underutilization signals that the company's assets may be approaching obsolescence in value, especially if industry technology standards shift away from its current Siemens-process reactors.

The Peril of Price-to-Book in a Commodity Bust

The most commonly misapplied metric to DQ in its current state is the Price-to-Book ratio, which at 0.16 may suggest a deep value opportunity but instead obscures the potential for significant further asset write-downs as negative gross margins persist.

In a commodity super-cycle downturn, book value becomes an unreliable anchor. DQ's equity base, while currently large at $4.4 billion, is comprised of assets that are not earning their keep and may require impairment testing. Applying a P/B multiple here fails to account for the fact that the 'book' itself is likely overstated relative to the assets' true economic value in a world of chronic oversupply. A more appropriate metric would be a price-to-cash-flow analysis focused on the breakeven point, which would highlight the severe cash burn required to sustain the business at current polysilicon prices.

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Includes 30+ ratios · 19 years · Updated daily

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DQ — Frequently Asked Questions

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

What is Daqo New Energy Corp.'s P/E ratio?

Daqo New Energy Corp.'s current P/E ratio is -4.7x. The historical average is 9.7x.

What is Daqo New Energy Corp.'s ROE?

Daqo New Energy Corp.'s return on equity (ROE) is -2.9%. The historical average is 12.9%.

Is DQ stock overvalued?

Based on historical data, Daqo New Energy Corp. is trading at a P/E of -4.7x. Compare with industry peers and growth rates for a complete picture.

What are Daqo New Energy Corp.'s profit margins?

Daqo New Energy Corp. has -20.7% gross margin and -40.6% operating margin.