Freedom Holding Corp. (FRHC) — RQD Stock Rating Cockpit

Per the Roarable RQD rating, FRHC scores 47 out of 100, a D grade, with the verdict "Roarable Sell — Underperform / Distribution Warning." The five pillars are: Fundamental Cash Engine at 7/20 (ROIC 11%; FCF yield -0.12%), Whale 13F Flow at 12/20 (institutional accumulation and options positioning), Insider Conviction at 4/20 (SEC Form 4 and Congressional PTR cluster flow), Macro Regime Fit at 11/20 (Beta 1.0; sector sensitivity), and Forensic Balance Sheet at 13/20 (Altman Z 2.5; Piotroski F 5/9; Debt/Equity 0.5).

For a prospective investor, the weakest pillar is insider conviction, and the cash engine is also weak: the negative FCF yield means the company is not currently generating free cash relative to its valuation. The forensic balance sheet is the strongest pillar, with a middling Altman Z-Score, a Piotroski F-Score of 5 out of 9, and moderate leverage. Upside drivers in this framework are institutional accumulation and balance sheet resilience. The main valuation tradeoff is that the stock trades at a P/E (TTM) of 76.4 and a forward P/E of 71.1, which the rating's cash-generation pillars do not support. Beta of 1.0 means the stock is expected to move roughly with the broader market, so the rating's macro pillar contributes modestly rather than as a distinct risk.

Per the profile, Freedom Holding Corp. (FRHC) is a NASDAQ-listed issuer in the Financials sector, Investment Bankers/Brokers/Service industry. The source data does not describe its products, customer base, or revenue model beyond this classification. Its market capitalization is $11.7B per the market data section.

Per the SEC financials, revenue rose from $1647.3M (FY 2023) to $2191.3M (FY 2025), while net income moved from $379.1M to $153.3M over the same span. Per the market data section, the net margin is 7%, and gross and operating margins are each reported as 0%. The source reports ROIC of 11%, an Altman Z-Score of 2.5, a Piotroski F-Score of 5/9, and a Debt/Equity ratio of 0.5. FCF was negative in FY 2025 (-$13.5M) and FY 2023 (-$1064.4M), positive in FY 2024 ($1600.2M).

The news wire contains six items, all tagged to FRHC and all flagged YELLOW with the impact label MARKET WIRE. Headlines reference a Yahoo Finance Canada quote and history page; a claim that the stock could be 64% overvalued following a greenest-companies recognition; a GuruFocus note that the stock is up 4.6% while GF Value suggests it is overvalued; a Stock Titan item on a planned Kazakhstan cloud for 2027; a MarketBeat note that the stock set a new 52-week high; and a Simply Wall St piece questioning whether the stock is already priced high. The butterfly supply-chain graph reports no supply-chain links and no proprietary signals.

Per the Butterfly Supply-Chain Graph, supply chain status is NONE, with no butterfly links. Upstream and downstream dependencies, sector correlations beyond the sector and industry classification, and second-order bottlenecks are not available in source data. The only sector-level context is the Financials / Investment Bankers/Brokers/Service classification.

• What is the company's business mix and revenue breakdown, given that the source data gives only a sector classification?
• Why are operating income, gross margin, and EPS reported as zero or N/A across all periods?
• What is the debt level and cash position for FY 2023 and FY 2024, where the source reports N/A?
• What drove the swing in net income from $379.1M (FY 2023) to $76.3M (FY 2024) before recovering to $153.3M (FY 2025)?
• Does the FY 2024 FCF of $1600.2M reflect recurring cash generation, given the negative FCF in the other two periods?