Etsy, Inc. (ETSY) Financials
A multiple compares the market's price with a filed figure; it says what the market pays, not how the business is doing. The market capitalization is the vendor's as of Oct 13, 2026; every other figure is from the SEC filings on this page. Not financial advice.
Newest figures come from the 10-Q for Q2 FY2026, filed Aug 5, 2026. Each column of the statement tables below links to the filing it was taken from, and every filing is listed on the ETSY SEC filings page.
Etsy, Inc. (ETSY) reported $2.9B in revenue over the twelve months to Jun 30, 2026, up 6.7% from the prior twelve months. This page shows its income statement, balance sheet, cash flow statement, and key financial ratios. View 13 years of annual fundamentals and quarterly data, with year-over-year growth rates and compound annual growth rates (CAGR). All figures are derived from SEC filings (10-K and 10-Q reports).
Etsy converts modest accounting profit into substantial cash, but buybacks and liabilities have steadily weakened its balance-sheet cushion.
In FY2025, operating cash flow of$693M was more than four times net income of$163M , showing that reported earnings were depressed relative to cash generation. Free-cash-flow margin nevertheless remained at23.5% versus26.3% in FY2024, so the cash engine weakened less than profitability did.
The latest balance sheet has liabilities of
The company repurchased
Financial Health Signals
Scored against operating companies for FY2025. Each of the six dimensions is a percentile rank within that peer group; the overall is their average, with missing dimensions counted as zero out of six. A high score means strong standing among peers, not absolute cross-industry strength. How this score is calculated →
Health score ≠ stock price. This rates the quality of Etsy, Inc.'s business: profitability, growth, balance sheet strength. It doesn't tell you whether the stock is a good buy at today's price. Not financial advice. Use it alongside valuation analysis and your own research.
Etsy, Inc. has an operating margin of 9.2%, meaning the company retains $9 of operating profit per $100 of revenue. This results in a moderate score of 53/100, indicating healthy but not exceptional operating efficiency. This is down from 13.5% the prior year.
Etsy, Inc.'s revenue grew a modest 2.7% year-over-year to $2.9B. This slow but positive growth earns a score of 39/100.
Etsy, Inc.'s current ratio of 1.44 indicates adequate short-term liquidity, earning a score of 39/100. The company can meet its near-term obligations, though with limited headroom.
Etsy, Inc. converts 23.5% of revenue into free cash flow ($678.0M). This strong cash generation earns a score of 90/100.
Etsy, Inc. scores 1.47, below the 1.81 distress threshold. The score is driven primarily by a large market capitalization ($7.1B) relative to total liabilities ($3.9B). This indicates elevated financial distress risk and warrants close attention to liquidity and debt levels.
Distress-screening estimate for non-financial companies. Not computed for banks or insurers, where the Altman model does not apply.
Etsy, Inc. passes 5 of 9 financial strength tests. 3 of 4 profitability signals pass, 2 of 3 leverage/liquidity signals pass, neither operating efficiency signal passes.
For every $1 of reported earnings, Etsy, Inc. generates $4.25 in operating cash flow ($693.4M OCF vs $163.0M net income). This indicates profits are well-supported by actual cash generation, not accounting adjustments.
Etsy, Inc. earns $14.38 in operating income for every $1 of interest expense ($266.2M vs $18.5M). This wide margin provides strong safety for debt servicing, even if earnings decline temporarily.
Key Financial Metrics
Earnings & Revenue
Etsy, Inc. generated $668.3M in revenue in Q2 2026. This represents an increase of 6.2% from the same quarter a year earlier. Against the prior quarter it is up 5.9%.
Etsy, Inc.'s EBITDA was $140.5M in Q2 2026, measuring earnings before interest, taxes, depreciation, and amortization. This represents an increase of 29.3% from the same quarter a year earlier. Against the prior quarter it is up 3.9%.
Etsy, Inc. reported -$46.6M in net income in Q2 2026. This represents a decrease of 261.8% from the same quarter a year earlier. Against the prior quarter it is down 166.9%.
Etsy, Inc. earned -$0.36 per diluted share (EPS) in Q2 2026. This represents a decrease of 244.0% from the same quarter a year earlier. Against the prior quarter it is down 160.0%.
Cash & Balance Sheet
Etsy, Inc. generated $39.3M in free cash flow in Q2 2026, representing cash available after capex. This represents a decrease of 61.2% from the same quarter a year earlier. Against the prior quarter it is down 50.4%.
Etsy, Inc. held $901.3M in cash against $2.3B in long-term debt as of Q2 2026.
Not reported for Q2 2026.
Margins & Returns
Etsy, Inc.'s gross margin was 72.4% in Q2 2026, indicating the percentage of revenue retained after direct costs. This is down 0.8 percentage points from the same quarter a year earlier. Against the prior quarter it is up 0.3 percentage points.
Etsy, Inc.'s operating margin was 18.7% in Q2 2026, reflecting core business profitability. This is up 3.8 percentage points from the same quarter a year earlier. Against the prior quarter it is down 0.2 percentage points.
Etsy, Inc.'s net profit margin was -7.0% in Q2 2026, showing the share of revenue converted to profit. This is down 11.6 percentage points from the same quarter a year earlier. Against the prior quarter it is down 18.0 percentage points.
Not reported for Q2 2026.
Capital Allocation
Etsy, Inc. invested $100.9M in research and development in Q2 2026. This represents an increase of 1.6% from the same quarter a year earlier. Against the prior quarter it is up 1.9%.
Etsy, Inc. spent $249.7M on share buybacks in Q2 2026, returning capital to shareholders by reducing shares outstanding. This represents a decrease of 25.4% from the same quarter a year earlier. Against the prior quarter it is up 71.9%.
Etsy, Inc. invested $1.2M in capex in Q2 2026, funding long-term assets and infrastructure. This represents a decrease of 82.0% from the same quarter a year earlier. Against the prior quarter it is down 16.8%.
ETSY Income Statement
Figures in USD, abbreviated K (thousand), M (million), B (billion), T (trillion). Negative values carry a minus sign and red type. Each change compares the year with the year before it, and each quarter with the same quarter a year earlier.
| Metric | Q2'2610-Q | Q1'2610-Q | Q4'2510-Q | Q3'2510-Q | Q2'2510-Q | Q1'2510-Q | Q4'2410-K | Q3'2410-Q |
|---|---|---|---|---|---|---|---|---|
| Revenue | $668.3M+6.2% | $631.3M+3.1% | $964.1M+13.1% | $678.0M+2.4% | $629.1M-2.9% | $612.2M-5.2% | $852.2M+1.2% | $662.4M+4.1% |
| Cost of Revenue | $184.3M+9.3% | $175.7M+4.7% | $286.7M+31.7% | $194.6M+4.9% | $168.6M-8.4% | $167.8M-10.3% | $217.7M-14.9% | $185.6M-1.7% |
| Gross Profit | $484.0M+5.1% | $455.6M+2.5% | $677.4M+6.8% | $483.4M+1.4% | $460.5M-0.7% | $444.4M-3.1% | $634.5M+8.2% | $476.8M+6.5% |
| R&D Expenses | $100.9M+1.6% | $99.1M-1.7% | $136.7M+22.6% | $113.4M+5.7% | $99.3M-13.2% | $100.8M-8.2% | $111.5M-5.1% | $107.3M-5.9% |
| SG&A Expenses | $66.9M-12.0% | $62.5M-15.5% | $103.4M+25.0% | $79.5M-7.8% | $76.0M-20.8% | $73.9M-17.0% | $82.7M-10.6% | $86.2M+2.5% |
| Operating Income | $125.3M+33.1% | $119.8M+3194.4% | $93.3M-39.9% | $82.7M-4.7% | $94.1M+34.1% | -$3.9M-105.7% | $155.1M+34.4% | $86.8M-2.0% |
| EBITDA | $140.5M+29.3% | $135.2M+915.0% | $118.2M-34.9% | $127.9M+11.6% | $108.7M+11.8% | $13.3M-86.0% | $181.5M+31.1% | $114.6M+3.5% |
| Interest Expense | $5.6M+49.2% | N/A | N/A | $5.7M+65.2% | $3.8M+9.0% | N/A | N/A | $3.4M |
| Income Tax | $20.6M-11.3% | $24.6M+20.0% | $23.3M-51.8% | $16.6M+0.8% | $23.3M-10.4% | $20.5M+23.1% | $48.4M+87.0% | $16.4M+80.4% |
| Net Income | -$46.6M-261.8% | $69.7M+233.8% | $110.8M-14.6% | $75.5M+31.6% | $28.8M-45.6% | -$52.1M-182.7% | $129.6M+54.9% | $57.4M-34.7% |
| EPS (Basic) | -$0.49-275.0% | $0.72+246.9% | $1.09-5.2% | $0.76+52.0% | $0.28-39.1% | -$0.49-192.5% | $1.15+66.7% | $0.50-30.6% |
| EPS (Diluted) | -$0.36-244.0% | $0.60+222.4% | $0.92-8.9% | $0.63+40.0% | $0.25-39.0% | -$0.49-202.1% | $1.01+62.9% | $0.45-29.7% |
| Diluted Shares (Avg) | 120M-1.3% | 121M+13.0% | N/A | 125M-4.4% | 122M-8.7% | 107M-20.9% | N/A | 131M-5.9% |
ETSY Balance Sheet
Figures in USD, abbreviated K (thousand), M (million), B (billion), T (trillion). Negative values carry a minus sign and red type. Each change compares the year with the year before it, and each quarter with the same quarter a year earlier.
| Metric | Q2'2610-Q | Q1'2610-Q | Q4'2510-Q | Q3'2510-Q | Q2'2510-Q | Q1'2510-Q | Q4'2410-K | Q3'2410-Q |
|---|---|---|---|---|---|---|---|---|
| Total Assets | $2.4B-4.6% | $2.7B+26.4% | $2.8B+16.9% | $2.7B+8.6% | $2.6B+4.5% | $2.1B-15.1% | $2.4B-10.0% | $2.4B-0.3% |
| Current Assets | $1.9B+13.8% | $2.1B+90.3% | $2.0B+47.7% | $1.8B+35.8% | $1.6B+21.3% | $1.1B-21.0% | $1.3B-15.5% | $1.3B-1.7% |
| Cash & Equivalents | $901.3M-22.0% | $1.2B+96.5% | $1.4B+67.1% | $1.2B+52.5% | $1.2B+52.1% | $617.9M-21.7% | $811.2M-11.3% | $818.9M+10.4% |
| Short-Term Investments | $221.0M-3.5% | $211.4M-3.3% | $224.1M-1.9% | $259.2M+14.7% | $229.0M-4.9% | $218.5M-14.3% | $228.3M-3.3% | $226.0M-3.8% |
| Accounts Receivable | $8.7M+33.8% | $8.7M-2.6% | $8.7M-0.1% | $7.4M-14.3% | $6.5M-37.3% | $8.9M-45.9% | $8.7M-64.8% | $8.6M-55.5% |
| Long-Term Investments | $160.7M+26.9% | $150.6M+16.3% | $134.4M+20.3% | $108.3M+1.2% | $126.6M+35.4% | $129.5M+53.4% | $111.7M+28.9% | $107.0M+39.7% |
| Goodwill | $37.4M-1.7% | $37.6M+3.7% | $38.1M-72.2% | $38.1M-72.5% | $38.1M-72.4% | $36.2M-73.7% | $137.1M-0.9% | $138.6M+0.8% |
| Total Liabilities | $3.8B+4.1% | $3.8B+26.0% | $3.9B+23.6% | $3.8B+22.8% | $3.7B+19.4% | $3.0B-1.6% | $3.2B-1.6% | $3.1B-0.2% |
| Current Liabilities | $1.3B+161.2% | $1.3B+140.9% | $1.4B+105.0% | $565.1M+2.2% | $486.4M-13.8% | $519.1M-8.1% | $665.1M-6.4% | $553.0M+0.8% |
| Non-Current Liabilities | $2.6B-19.8% | $2.6B+2.2% | $2.6B+2.0% | $3.2B+27.3% | $3.2B+26.9% | $2.5B-0.2% | $2.5B-0.3% | $2.5B-0.4% |
| Long-Term Debt | $2.3B-21.6% | $2.3B+2.0% | $2.3B+2.0% | $3.0B+30.3% | $3.0B+30.3% | $2.3B+0.2% | $2.3B+0.2% | $2.3B+0.2% |
| Total Equity | -$1.4B-24.1% | -$1.1B-24.9% | -$1.1B-44.7% | -$1.1B-78.2% | -$1.1B-77.1% | -$910.3M-55.9% | -$758.9M-39.6% | -$624.3M-0.3% |
| Retained Earnings | -$2.8B-19.0% | -$2.5B-22.4% | -$2.4B-34.8% | -$2.4B-44.1% | -$2.3B-50.4% | -$2.0B-39.4% | -$1.8B-31.4% | -$1.7B-22.6% |
Not reported in any period shown, so not listed: Inventory.
ETSY Cash Flow Statement
Figures in USD, abbreviated K (thousand), M (million), B (billion), T (trillion). Negative values carry a minus sign and red type. Each change compares the year with the year before it, and each quarter with the same quarter a year earlier.
| Metric | Q2'2610-Q | Q1'2610-Q | Q4'2510-Q | Q3'2510-Q | Q2'2510-Q | Q1'2510-Q | Q4'2410-K | Q3'2410-Q |
|---|---|---|---|---|---|---|---|---|
| Operating Cash Flow | $40.6M-62.5% | $80.7M+64.2% | $317.1M+0.7% | $219.0M+0.7% | $108.1M-28.4% | $49.2M-28.8% | $315.0M+6.7% | $217.4M-0.5% |
| Depreciation & Amortization | $15.2M+4.3% | $15.3M-10.9% | $24.9M-5.7% | $45.2M+62.8% | $14.6M-46.1% | $17.2M-36.0% | $26.4M+14.6% | $27.7M+25.1% |
| Stock-Based Compensation | $51.2M-3.3% | $53.0M-5.7% | N/A | $60.8M-12.3% | $52.9M-29.2% | $56.2M-20.5% | N/A | $69.3M-1.2% |
| Capital Expenditures | $1.2M-82.0% | $1.5M-54.3% | $1.3M-68.6% | $4.0M-5.8% | $6.9M+87.7% | $3.2M+43.9% | $4.0M-22.4% | $4.3M+9.4% |
| Free Cash Flow | $39.3M-61.2% | $79.3M+72.5% | $315.9M+1.6% | $215.0M+0.8% | $101.3M-31.3% | $45.9M-31.2% | $310.9M+7.2% | $213.2M-0.7% |
| Investing Cash Flow | -$30.5M-140.1% | -$16.5M+20.1% | $552K+103.4% | -$24.0M-166.4% | $76.2M+2989.4% | -$20.7M+17.6% | -$16.3M+15.4% | -$9.0M+20.0% |
| Financing Cash Flow | -$270.9M-182.9% | -$158.4M+22.6% | -$165.3M+41.5% | -$126.7M+23.9% | $326.9M+286.5% | -$204.8M-25.6% | -$282.4M-144.1% | -$166.5M+45.3% |
| Share Buybacks | $249.7M-25.4% | $145.2M-23.2% | $133.2M-48.7% | $119.8M-23.0% | $334.7M+122.5% | $189.2M+19.5% | $259.6M+179.2% | $155.6M-47.6% |
Not reported in any period shown, so not listed: Dividends Paid.
ETSY Financial Ratios
Margins and returns are percentages; the remaining ratios are unitless multiples. Each change compares the year with the year before it, and each quarter with the same quarter a year earlier.
| Metric | Q2'2610-Q | Q1'2610-Q | Q4'2510-Q | Q3'2510-Q | Q2'2510-Q | Q1'2510-Q | Q4'2410-K | Q3'2410-Q |
|---|---|---|---|---|---|---|---|---|
| Gross Margin | 72.4%-0.8pp | 72.2%-0.4pp | 70.3%-4.2pp | 71.3%-0.7pp | 73.2%+1.6pp | 72.6%+1.6pp | 74.5%+4.8pp | 72.0%+1.7pp |
| Operating Margin | 18.7%+3.8pp | 19.0%+19.6pp | 9.7%-8.5pp | 12.2%-0.9pp | 15.0%+4.1pp | -0.6%-11.2pp | 18.2%+4.5pp | 13.1%-0.8pp |
| Net Margin | -7.0%-11.6pp | 11.0%+19.6pp | 11.5%-3.7pp | 11.1%+2.5pp | 4.6%-3.6pp | -8.5%-18.3pp | 15.2%+5.3pp | 8.7%-5.2pp |
| Return on Assets | -1.9%-3.0pp | 2.6%+5.1pp | 3.9%-1.4pp | 2.9%+0.5pp | 1.1%-1.0pp | -2.5%-5.0pp | 5.4%+2.2pp | 2.4%-1.2pp |
| Current Ratio | 1.48-1.9x | 1.69-0.4x | 1.44-0.6x | 3.17+0.8x | 3.39+1.0x | 2.14-0.3x | 2.00-0.2x | 2.39-0.1x |
| Asset Turnover | 0.270.0x | 0.24-0.1x | 0.340.0x | 0.260.0x | 0.250.0x | 0.290.0x | 0.350.0x | 0.270.0x |
| FCF Margin | 5.9%-10.2pp | 12.6%+5.1pp | 32.8%-3.7pp | 31.7%-0.5pp | 16.1%-6.7pp | 7.5%-2.8pp | 36.5%+2.1pp | 32.2%-1.6pp |
Not reported in any period shown, so not listed: Return on Equity, Debt-to-Equity.
Note: Shareholder equity is negative (-$1.1B), which causes debt-to-equity and return on equity ratios to appear negative or not meaningful. This can occur from accumulated losses or large share buyback programs.
Similar Companies
Newest fiscal year on record for each company. The health score is the peer-relative Financial Health Score for that year; a dash means no score is published for it.
| Company | Fiscal year | Revenue | Net income | Net margin | Market cap | Health score |
|---|---|---|---|---|---|---|
| Etsy, Inc. ETSY | FY2025 | $2.9B | $163.0M | 5.7% | $7.1B | 52/100 |
| Global-E Online Ltd. GLBE | FY2025 | $962.2M | $68.3M | 7.1% | $6.8B | 59/100 |
| Vipshop Holdings Limited VIPS | FY2025 | $15.1B | $1.0B | 6.8% | $6.1B | 52/100 |
| Maplebear Inc. CART | FY2025 | $3.7B | $447.0M | 11.9% | $11.3B | 57/100 |
| Wayfair Inc. W | FY2025 | $12.5B | -$313.0M | -2.5% | $14.5B | 25/100 |
| Chewy, Inc. CHWY | FY2025 | $12.6B | $222.8M | 1.8% | $7.6B | 50/100 |
Where Etsy, Inc. Ranks
Frequently Asked Questions
What is Etsy, Inc.'s annual revenue?
Etsy, Inc. (ETSY) reported $2.9B in total revenue for fiscal year 2025. This represents a 2.7% change compared to the previous fiscal year. Revenue measures the total income earned from the company's primary business operations before any expenses are deducted.
How fast is Etsy, Inc.'s revenue growing?
Etsy, Inc. (ETSY) revenue grew by 2.7% year-over-year, from $2.8B to $2.9B in fiscal year 2025.
Is Etsy, Inc. profitable?
Yes, Etsy, Inc. (ETSY) reported a net income of $163.0M in fiscal year 2025, with a net profit margin of 5.7%.
What is Etsy, Inc.'s EBITDA?
Etsy, Inc. (ETSY) had EBITDA of $368.1M in fiscal year 2025, measuring earnings before interest, taxes, depreciation, and amortization.
How much debt does Etsy, Inc. have?
As of fiscal year 2025, Etsy, Inc. (ETSY) had $1.4B in cash and equivalents against $2.3B in long-term debt.
What is Etsy, Inc.'s gross margin?
Etsy, Inc. (ETSY) had a gross margin of 71.6% in fiscal year 2025, indicating the percentage of revenue retained after direct costs of goods sold.
What is Etsy, Inc.'s operating margin?
Etsy, Inc. (ETSY) had an operating margin of 9.2% in fiscal year 2025, reflecting the profitability of core business operations before interest and taxes.
What is Etsy, Inc.'s net profit margin?
Etsy, Inc. (ETSY) had a net profit margin of 5.7% in fiscal year 2025, representing the share of revenue converted into profit after all expenses.
What is Etsy, Inc.'s free cash flow?
Etsy, Inc. (ETSY) generated $678.0M in free cash flow during fiscal year 2025. This represents a -8.2% change compared to the previous fiscal year. Free cash flow represents the cash a company generates after accounting for capital expenditures, and is widely used to assess financial flexibility and shareholder value.
What is Etsy, Inc.'s operating cash flow?
Etsy, Inc. (ETSY) generated $693.4M in operating cash flow during fiscal year 2025, representing cash generated from core business activities.
What are Etsy, Inc.'s total assets?
Etsy, Inc. (ETSY) had $2.8B in total assets as of fiscal year 2025, including both current and long-term assets.
What are Etsy, Inc.'s capital expenditures?
Etsy, Inc. (ETSY) invested $15.4M in capital expenditures during fiscal year 2025, funding long-term assets and infrastructure.
How much does Etsy, Inc. spend on research and development?
Etsy, Inc. (ETSY) invested $450.2M in research and development during fiscal year 2025.
What is Etsy, Inc.'s current ratio?
Etsy, Inc. (ETSY) had a current ratio of 1.44 as of fiscal year 2025, which is considered adequate.
What is Etsy, Inc.'s return on assets (ROA)?
Etsy, Inc. (ETSY) had a return on assets of 5.8% for fiscal year 2025, measuring how efficiently the company uses its assets to generate profit.
What is Etsy, Inc.'s P/E ratio?
Etsy, Inc. (ETSY) trades at 33.7x earnings, its market capitalization divided by net income of $209.3M net income, trailing 12 months to June 30, 2026. The market capitalization is $7.1B as of Oct 13, 2026; a multiple compares that price with a filed figure and says nothing about the quality of the business.
What is Etsy, Inc.'s price-to-sales ratio?
Etsy, Inc. (ETSY) trades at 2.4x sales, its market capitalization divided by revenue of $2.9B revenue, trailing 12 months to June 30, 2026. The market capitalization is $7.1B as of Oct 13, 2026; a multiple compares that price with a filed figure and says nothing about the quality of the business.
Why is Etsy, Inc.'s debt-to-equity ratio negative or not reported?
Etsy, Inc. (ETSY) has negative shareholder equity of -$1.1B as of fiscal year 2025, so no debt-to-equity ratio is reported: dividing debt by equity that is not positive produces a number that cannot be read as leverage. This can occur when accumulated losses exceed invested capital, or after large share buyback programs. Other solvency metrics like the current ratio or interest coverage may be more informative.
What is Etsy, Inc.'s Altman Z-Score?
Etsy, Inc. (ETSY) has an Altman Z-Score of 1.47, placing it in the Distress Zone (elevated bankruptcy risk). The Z-Score combines five financial ratios (working capital, retained earnings, EBIT, market capitalization, and revenue relative to total assets) to predict the likelihood of bankruptcy. Scores above 2.99 indicate financial safety while scores below 1.81 suggest financial distress. Learn more in our complete guide to financial health indicators.
What is Etsy, Inc.'s Piotroski F-Score?
Etsy, Inc. (ETSY) has a Piotroski F-Score of 5 out of 9, indicating neutral financial health. The F-Score evaluates nine binary signals across profitability (positive ROA, positive cash flow, improving ROA, earnings quality), leverage (decreasing debt, improving liquidity, no share dilution), and operating efficiency (improving gross margin, improving asset turnover). Scores of 7 to 9 indicate strong and improving fundamentals. Learn more in our complete guide to financial health indicators.
Are Etsy, Inc.'s earnings high quality?
Etsy, Inc. (ETSY) has an earnings quality ratio of 4.25x, considered cash-backed (high quality). This ratio compares operating cash flow to net income. A ratio above 1.0x means the company generates more cash than its reported earnings, indicating sustainable, cash-backed profits. Ratios below 1.0x suggest earnings rely on accounting accruals rather than actual cash generation. Learn more in our complete guide to financial health indicators.
Can Etsy, Inc. cover its interest payments?
Etsy, Inc. (ETSY) has an interest coverage ratio of 14.38x, meaning it can comfortably cover its interest obligations. This ratio divides operating income by interest expense. Ratios above 5x indicate strong debt-servicing ability, while ratios below 2x suggest the company may face difficulty meeting interest payments if earnings decline. Learn more in our complete guide to financial health indicators.
How financially healthy is Etsy, Inc.?
Etsy, Inc. (ETSY) scores 52 out of 100 on our Financial Health Score, indicating moderate standing within its operating companies peer group. The score is a 0-100 composite of six dimensions (Profitability, Growth, Leverage, Liquidity, Cash Flow, Returns), each ranked as a percentile relative to companies in the same scoring family (banks against banks, REITs against REITs, and so on) rather than across all industries. It rates the quality of the business, not whether the stock is fairly priced, and is not financial advice. Learn more in our complete guide to financial health indicators.