Is FLNG a high-quality business?

AlphaMadera's AlphaQuality grade scores FLEX LNG Ltd. on six pillars — profitability, capital efficiency, balance-sheet strength, growth durability, cash generation, and shareholder yield. The composite letter grade reflects how FLNG compares to a Buffett-style quality bar.

What is FLEX LNG Ltd.'s AlphaQuality grade?

AlphaQuality assigns a letter grade (A through F) to FLNG based on a six-pillar quantitative model. The live page shows the composite grade plus each pillar's individual score with the underlying metrics.

What makes FLNG a quality stock?

AlphaQuality looks at return on capital, free-cash-flow margins, debt-to-equity, revenue stability, dividend and buyback policy, and operating-margin trend. Stocks scoring well across all six pillars earn higher grades — the methodology favors compounders over cyclicals.

FLNG - FLEX LNG Ltd.

Price: -- -- | CONSENSUS: Hold DETAILS | PRICE TARGET: $25.00 DETAILS

AlphaQuality

Quantitative six-pillar business-quality grade

Stable Earnings Power

AlphaQuality — archetype-weighted quantitative grade

C- 45.3 / 100 composite

Composite Grade

Composite of six pillars weighted for stable earnings power businesses. Purely quantitative — no stock price or analyst input.

Profitability

Weight: 20%

D 38.1

5yr Avg ROIC 8.6% 53/100
Operating Margin Trend -1.82 pp/yr 4/100

Capital Efficiency

Weight: 15%

B+ 77.7

5yr Avg ROE 18.4% 88/100
5yr Share-Count CAGR 0.3% 58/100

Growth Quality

Weight: 15%

F 22.1

5yr Revenue CAGR 0.3% 23/100
5yr EPS CAGR -17.9% 0/100
Revenue-Growth Years (5) 3/5 60/100

Cash Generation

Weight: 15%

A+ 99.1

5yr FCF Margin 36.5% 100/100
5yr FCF/NI Conversion 1.12x 98/100

Balance Sheet

Weight: 20%

F 15.3

Net Debt / EBITDA 5.74x 9/100
Interest Coverage (EBIT/Int) 1.81x 25/100
Altman Z-Score 0.93 14/100

Stability

Weight: 15%

D- 31.9

EPS Volatility (σ/μ) 0.80 8/100
Piotroski F-Score 4 44/100
Negative-Revenue Years (5) 2/5 60/100

2 of 2 gurus held; 1 new buy; 1 added.

Holders: 2 +1
Avg Δ position: +51.8%
New buys: 1
Full exits: 0

Greenblatt new
Wood increased +52%

How this is calculated

AlphaQuality grades six pillars from 0-100 and weights each by archetype:

Profitability (20%) — 5yr Avg ROIC, Operating Margin Trend
Capital Efficiency (15%) — 5yr Avg ROE, 5yr Share-Count CAGR
Growth Quality (15%) — 5yr Revenue CAGR, 5yr EPS CAGR, Revenue-Growth Years (5)
Cash Generation (15%) — 5yr FCF Margin, 5yr FCF/NI Conversion
Balance Sheet (20%) — Net Debt / EBITDA, Interest Coverage (EBIT/Int), Altman Z-Score
Stability (15%) — EPS Volatility (σ/μ), Piotroski F-Score, Negative-Revenue Years (5)

We deliberately ignore stock price, analyst targets, and consensus ratings so the grade is suitable for backtesting forward returns. A minimum of 5 fiscal years of audited statements is required; distressed and highly leveraged infrastructure businesses are declared ungradable rather than forced into a numeric score.