Quality Investor

Ascend Wellness Holdings, Inc.

Rank #367Decline

AAWH · OTC · Healthcare

Ascend Wellness Holdings, Inc. (AAWH) — Rank #367 by gross profitability (GP/assets 0.19) · ROE 137.6% · Piotroski F-Score 5 / 9.

As-of 2026-09-15 · CIK 0001756390 · all metrics point-in-time as of the filing date.

About

Ascend Wellness Holdings, Inc. engages in the cultivation, manufacture, and distribution of cannabis consumer packaged goods in the United States.

Show more

The company offers flower, pre-rolls, concentrates, vapes, edibles, tablets, and other cannabis-related products under the Common Goods, SimplyHerb, Ozone, Royale, High Wired, Effin', Miss Grass, Lowell Smokes, Flower by Edie Parker, 1906, AiroPro, and Miss Grass brands. It also owns, operates, and manages cannabis cultivation facilities and dispensaries. The company sells its products through company-owned retail stores, and third-party licensed retail cannabis stores. The company was formerly known as Ascend Wellness Holdings, LLC and changed its name to Ascend Wellness Holdings, Inc. in April 2021. Ascend Wellness Holdings, Inc.

was incorporated in 2018 and is headquartered in Rochelle Park, New Jersey.

Industry
Drug Manufacturers - Specialty & Generic
Sector
Healthcare
State
DE
Filer Category
Emerging growth company
Fiscal Year End
December 31

Price History

AAWH-95.0% · -45.0% CAGRSPY+80.5% · +12.5% CAGR

Company Snapshot

P/E, P/B, and dividend yield matter most — book value provides a floor.

Market Cap

$109.13M

P/E (annual)

P/S (annual)

0.2

P/B

P/OCF (annual)

2.9

Shareholder Yield

4.2%

Employees

2,200

Industry

Drug Manufacturers - Specialty & Generic

Exchange

OTC

Signal Flags

2 red
Revenue declining YoYRevenue contracted year over year
Operating margin decliningOperating margin lower than prior year

Quality Profile

Profitability

1/1 pass
GP / assets
0.19
Return on equity
137.6%
Gross margin trend
PASS

Safety

1/1 pass
Balance-sheet safety
PASS
Debt / equity
Current ratio
1.66×
Net cash
-$251.82M

Cash Flow

3/3 pass
Positive FCF
PASS
Cash-backed earnings
PASS
Accruals healthy
PASS
SBC / revenue
0.5%

Growth

1/2 pass
Revenue growth
-10.9%
Piotroski F-Score
5 / 9
Share dilution
-4.2%

Terry Smith quality gate

Passes 0/5 Terry Smith thresholds

2 of 5 thresholds not computable from filed data.

What Growth Is Priced In

Implied revenue growth (10Y)

-3.2%

incredible deal

The annual FCF growth rate today's price requires over a 10-year horizon (discount rate 10%, terminal growth 2.5%).

Buyback tailwind: -4.2% — per-share value needs a total required return of -7.5% once share-count change is priced in.

vs. own 6-year median revenue growth: 24.9%

within its own history

Cost-of-equity sensitivity (implied growth at different discount rates)

r = 8%

-6.9%

r = 10% (base)

-3.2%

r = 12%

-0.1%

Net debt / market cap: 230.5%— material leverage inflates the implied growth read.

Base FCF: $12M3Y mean FCF: $38M

Valuation History

Current multiple vs historical range at each filing date. Band spans 25th-75th percentile.

P / S

Price / revenue per share

0.2xCheap
0.1xmed 0.5x29.0x

P / B

Price / book value per share

N/A
1.0xmed 2.4x100.5x

P / GP

Price / gross profit per share

0.6xCheap
0.4xmed 1.6x106.2x

P / FCF

Price / free cash flow per share

8.4xExpensive
1.3xmed 4.2x8.4x

Asset value and restructuring potential (balance-sheet strength) are the primary reads at this stage.

Profitability

Gross profitability (GP / assets)

0.19

Primary signal (Novy-Marx).

30th pctl of 34 SIC 28 peers

Return on equity

137.6%

Gross margin

33.9%

30th pctl of 34 SIC 28 peers

Revenue growth (YoY)

-10.9%

Gross margin improving

Margin trend vs prior year.

PASS

Operating Leverage

2022202320242025
Revenue vs COGS
Revenue vs OpEx
Op. Income vs Revenue

Growth

Revenue CAGR (3Y)

7.2%

Revenue CAGR (5Y)

28.3%

Earnings CAGR (3Y)

FCF CAGR (3Y)

Anti-fragile safety

Balance-sheet safety

Composite anti-fragile check.

PASS

Debt / equity

Current ratio

1.66×

18th pctl of 34 SIC 28 peers

Quick ratio

0.83×

Net cash

-$251.82M

Cash & equivalents minus total debt.

Cash-flow health

Free cash flow

$12.04M

Operating cash flow minus capex.

Positive free cash flow

PASS

FCF / net income

1.10

Cash-backing of earnings.

FCF/NI divergence

Unfavorable divergence (yellow flag).

PASS

Accruals healthy

Cash-backed earnings.

PASS

SBC / revenue

0.5%

Stock-based comp intensity.

Piotroski F-Score

F-Score

5 / 9

Fundamental-strength score (0-9).

Lifecycle Phase History

20202025
Hypergrowth
Startup
Decline