DDC (DDC Enterprise) Financial Strength: 3 (As of Dec. 2025) — Near Median

Author: Vera Yuan Vera Yuan
Vera Yuan
Vera Yuan
Director of Data and Quant Analytics at GuruFocus
Focused on building reliable datasets, financial models, and research tools for value-minded investors. Committed to turning complex data into practical guidance for value-investing and long-term wealth.
Reviewed by: Charlie Tian Charlie Tian
Charlie Tian
Charlie Tian
Founder & CEO of GuruFocus
Dr. Charlie Tian is the founder and CEO of GuruFocus.com, a leading global investment research platform established in 2004. With a Ph.D. in physics, Dr. Tian transitioned from science to finance, applying a data-driven, disciplined approach to value investing.

DDC DDC Enterprise Ltd DDC
11 GF Score
Price $0.52
! 9 Warning Signs
View Full Analysis

What is DDC Enterprise Financial Strength?

DDC Enterprise DDC -5.82% 11 Financial Strength is 3 as of Dec. 2025, which is at its 10-year median of 3.00. GuruFocus rates DDC with a GF Score™ of 11/100. The stock has 9 warning signs investors should review.

DDC Enterprise has the Financial Strength Rank of 3. It displays poor financial strength and is likely in financial distress. Usually this is caused by too much debt for the company.

Warning Sign:

DDC Enterprise Ltd displays poor financial strength. Usually, this is caused by too much debt for the company.

GuruFocus Financial Strength Rank measures how strong a company's financial situation is. It is rated on a scale of 1 to 10 and is based on these factors:

1. The debt burden that the company has as measured by its Interest Coverage (current year). The higher, the better.
2. Debt to revenue ratio. The lower, the better.
3. Altman Z-Score.
4. Other debt related ratios.

A higher score indicates a stronger financial position, with companies rated 7 or above considered financially stable and unlikely to face distress. Conversely, a score of 3 or below suggests potential financial difficulties, indicating a higher risk of distress.

DDC Enterprise did not have earnings to cover the interest expense. DDC Enterprise's debt to revenue ratio for the quarter that ended in Dec. 2025 was 1.91. As of today, DDC Enterprise's Altman Z-Score is -2.65.


DDC Enterprise  (AMEX:DDC) Financial Strength Explanation

The rank is rated on a scale of 1 to 10. A higher score indicates a stronger financial position, with companies rated 7 or above considered financially stable and unlikely to face distress. Conversely, a score of 3 or below suggests potential financial difficulties, indicating a higher risk of distress.

DDC Enterprise has the Financial Strength Rank of 3. It displays poor financial strength and is likely in financial distress. Usually this is caused by too much debt for the company.


DDC Enterprise Financial Strength Related Terms


DDC vs STCB, DTEAF, BRLS: Financial Strength Comparison

For the Packaged Foods subindustry, DDC Enterprise's Financial Strength, along with its competitors' market caps and Financial Strength data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.


DDC Enterprise Financial Strength vs Consumer Packaged Goods Industry

For the Consumer Packaged Goods industry and Consumer Defensive sector, DDC Enterprise's Financial Strength distribution charts can be found below:

* The bar in red indicates where DDC Enterprise's Financial Strength falls into.


DDC
11GF Score
DDC Enterprise Ltd DDC
Financial Strength is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

DDC Enterprise Financial Strength Calculation

GuruFocus Financial Strength Rank measures how strong a company's financial situation is. It is based on these factors

A company ranks high with financial strength is likely to withstand any business slowdowns and recessions.

1. The debt burden that the company has as measured by its Interest Coverage (current year). The higher, the better.

Note: If both Interest Expense and Interest Income are empty, while Net Interest Income is negative, then use Net Interest Income as Interest Expense.

Interest Coverage is a ratio that determines how easily a company can pay interest expenses on outstanding debt. It is calculated by dividing a company's Operating Income (EBIT) by its Interest Expense:

DDC Enterprise's Interest Expense for the months ended in Dec. 2025 was $-2.74 Mil. Its Operating Income for the months ended in Dec. 2025 was $-34.01 Mil. And its Long-Term Debt & Capital Lease Obligation for the quarter that ended in Dec. 2025 was $23.32 Mil.

DDC Enterprise's Interest Coverage for the quarter that ended in Dec. 2025 is

DDC Enterprise did not have earnings to cover the interest expense.

The higher the ratio, the stronger the company's financial strength is.

2. Debt to revenue ratio. The lower, the better.

DDC Enterprise's Debt to Revenue Ratio for the quarter that ended in Dec. 2025 is

Debt to Revenue Ratio=Total Debt (Q: Dec. 2025 ) / Revenue
=(Short-Term Debt & Capital Lease Obligation + Long-Term Debt & Capital Lease Obligation) / Revenue
=(64.521 + 23.323) / 46.04
=1.91

3. Altman Z-Score.

Z-Score model is an accurate forecaster of failure up to two years prior to distress. It can be considered the assessment of the distress of industrial corporations.

The zones of discrimination were as such:

When Z-Score is less than 1.81, it is in Distress Zones.
When Z-Score is greater than 2.99, it is in Safe Zones.
When Z-Score is between 1.81 and 2.99, it is in Grey Zones.

DDC Enterprise has a Z-score of -2.65, indicating it is in Distress Zones. This implies bankrupcy possibility in the next two years.

Warning Sign:

Altman Z-score of -2.65 is in distress zone. This implies bankruptcy possibility in the next two years.

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

Frequently Asked Questions Learn more about Financial Strength →
What does a Financial Strength of 3 mean?
DDC Enterprise (DDC) has a Financial Strength of 3 as of Dec. 2025. The financial strength rank measures the strength of a company's balance sheet based on revenue and debt. View historical data on DDC Enterprise and its competitors. This is near median its historical median of 3.00. Over the past decade, DDC Enterprise's Financial Strength has ranged from 1.00 to 5.00.
Is DDC Enterprise's Financial Strength too high?
DDC Enterprise's current Financial Strength of 3 is near median its 10-year median of 3.00. Over the past 10 years, this metric has ranged from a low of 1.00 to a high of 5.00. Overall, DDC Enterprise has a GF Score™ of 11/100, reflecting its overall financial health beyond just this single metric.
How does DDC Enterprise's Financial Strength compare to STCB and DTEAF?
DDC Enterprise's Financial Strength of 3 can be compared against companies in the Consumer Packaged Goods industry. Historically, DDC Enterprise's own Financial Strength has ranged from 1.00 to 5.00 over the past decade. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Financial Strength for a Consumer Packaged Goods company?
A good Financial Strength depends on the Consumer Packaged Goods industry context. However, Financial Strength should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high Financial Strength mean?
A high Financial Strength can signal that a stock is expensive relative to its fundamentals. The financial strength rank measures the strength of a company's balance sheet based on revenue and debt. View historical data on DDC Enterprise and its competitors. DDC Enterprise's current Financial Strength is 3, which is near median its own 10-year median of 3.00. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is DDC Enterprise stock overvalued right now?
DDC Enterprise (DDC) has a current Financial Strength of 3. The current Financial Strength is 3, which is near median its 10-year median of 3.00. DDC Enterprise's overall GF Score™ is 11/100 with 9 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Financial Strength calculated?
Financial Strength is calculated from a company's financial statements. For DDC Enterprise (DDC), the current Financial Strength is 3 as of Dec. 2025. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.

DDC Enterprise Business Description

Address 368 9th Avenue, 6th Floor, New York, NY, USA, 10001
DDC Enterprise Ltd is a content driven consumer brand offering easy, convenient ready-to-heat, ready-to-cook, ready-to-eat and plant-based meal products i.e. meal products consisting largely or solely of vegetables, fruits, grains, and other foods derived from plant-based protein, rather than animal protein while promoting healthier lifestyle choices to the Millennial and Generation Z customer-base. The company is also engaged in the provision of advertising services and the operation of experience stores to offer cooking classes. Geographically, the company operates and markets majorly in PRC.
11GF Score

Get the complete analysis for DDC

Financial Strength is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

$0.52
Price