Legacy Housing Corporation (LEGH) 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 20, 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 LEGH SEC filings page.
Legacy Housing Corporation (LEGH) reported $179.4M in revenue over the twelve months to Jun 30, 2026, down 2.6% from the prior twelve months. This page shows its income statement, balance sheet, cash flow statement, and key financial ratios. View 8 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).
Legacy Housing converts profits into cash with little leverage, but 2025 exposed weaker sales and less efficient overhead absorption.
Cash conversion held up better than accounting earnings: net income fell from$61.6M in FY2024 to$41.8M in FY2025. Operating cash flow nevertheless rose from$36.0M to$37.2M , and free cash flow remained positive, indicating earnings quality weakened less than the profit decline suggests.
Balance-sheet growth has not required comparable borrowing: total assets expanded from
Gross margin eased from
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 Legacy Housing Corporation'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.
Legacy Housing Corporation has an operating margin of 29.4%, meaning the company retains $29 of operating profit per $100 of revenue. This strong profitability earns a score of 95/100, reflecting efficient cost management and pricing power. This is down from 34.5% the prior year.
Legacy Housing Corporation's revenue declined 10.7% year-over-year, from $184.2M to $164.6M. This contraction results in a growth score of 13/100.
Legacy Housing Corporation carries a low D/E ratio of 0.10, meaning only $0.10 of long-term debt for every $1 of shareholders' equity. This conservative leverage earns a score of 80/100, indicating a strong balance sheet with room for future borrowing.
With a current ratio of 3.51, Legacy Housing Corporation holds $3.51 in current assets for every $1 of short-term obligations. This comfortable liquidity earns a score of 84/100.
Legacy Housing Corporation converts 17.1% of revenue into free cash flow ($28.2M). This strong cash generation earns a score of 67/100.
Legacy Housing Corporation earns a strong 7.9% return on equity (ROE), meaning it generates $8 of profit for every $100 of shareholders' equity. This efficient capital use earns a returns score of 71/100. This is down from 12.5% the prior year.
Legacy Housing Corporation scores 9.17, well above the 2.99 safe threshold. The score is driven primarily by a large market capitalization ($645.7M) relative to total liabilities ($51.7M). This indicates low bankruptcy risk based on profitability, leverage, and asset efficiency.
Distress-screening estimate for non-financial companies. Not computed for banks or insurers, where the Altman model does not apply.
Legacy Housing Corporation passes 3 of 8 computable financial strength tests (1 of the nine could not be computed from available data). 2 of 4 profitability signals pass, 1 of 2 leverage/liquidity signals pass, neither operating efficiency signal passes.
For every $1 of reported earnings, Legacy Housing Corporation generates $0.89 in operating cash flow ($37.2M OCF vs $41.8M net income). This mixed ratio suggests some earnings may rely on non-cash accounting items.
Legacy Housing Corporation earns $1,728.82 in operating income for every $1 of interest expense ($48.4M vs $28K). This wide margin provides strong safety for debt servicing, even if earnings decline temporarily.
Key Financial Metrics
Earnings & Revenue
Legacy Housing Corporation generated $66.3M in revenue in Q2 2026. This represents an increase of 32.3% from the same quarter a year earlier. Against the prior quarter it is up 93.1%.
Legacy Housing Corporation's EBITDA was $27.1M in Q2 2026, measuring earnings before interest, taxes, depreciation, and amortization. This represents an increase of 57.2% from the same quarter a year earlier. Against the prior quarter it is up 107.2%.
Legacy Housing Corporation reported $23.5M in net income in Q2 2026. This represents an increase of 59.8% from the same quarter a year earlier. Against the prior quarter it is up 114.9%.
Legacy Housing Corporation earned $0.99 per diluted share (EPS) in Q2 2026. This represents an increase of 65.0% from the same quarter a year earlier. Against the prior quarter it is up 115.2%.
Cash & Balance Sheet
Legacy Housing Corporation generated $12.3M in free cash flow in Q2 2026, representing cash available after capex. This represents an increase of 234.7% from the same quarter a year earlier. Against the prior quarter it is up 127.7%.
Legacy Housing Corporation held $29.0M in cash as of Q2 2026; long-term debt is not reported for that period.
Not reported for Q2 2026.
Margins & Returns
Legacy Housing Corporation's gross margin was 49.5% in Q2 2026, indicating the percentage of revenue retained after direct costs. This is up 1.2 percentage points from the same quarter a year earlier. Against the prior quarter it is down 7.1 percentage points.
Legacy Housing Corporation's operating margin was 39.9% in Q2 2026, reflecting core business profitability. This is up 6.3 percentage points from the same quarter a year earlier. Against the prior quarter it is up 3.8 percentage points.
Legacy Housing Corporation's net profit margin was 35.4% in Q2 2026, showing the share of revenue converted to profit. This is up 6.1 percentage points from the same quarter a year earlier. Against the prior quarter it is up 3.6 percentage points.
Legacy Housing Corporation's ROE was 4.2% in Q2 2026, measuring profit generated per dollar of shareholder equity. This is up 1.3 percentage points from the same quarter a year earlier. Against the prior quarter it is up 2.1 percentage points.
Capital Allocation
Legacy Housing Corporation spent $93K on share buybacks in Q2 2026, returning capital to shareholders by reducing shares outstanding. This represents a decrease of 98.4% from the same quarter a year earlier. Against the prior quarter it is down 83.8%.
Legacy Housing Corporation invested $5.1M in capex in Q2 2026, funding long-term assets and infrastructure. This represents an increase of 115.0% from the same quarter a year earlier. Against the prior quarter it is up 233.8%.
Not reported for Q2 2026.
LEGH 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 | $66.3M+32.3% | $34.4M-3.7% | $38.3M-29.4% | $40.5M-8.6% | $50.2M+18.0% | $35.7M-17.5% | $54.2M+60.7% | $44.3M-11.4% |
| Cost of Revenue | $33.5M+29.2% | $14.9M-13.1% | $18.7M-29.8% | $23.0M+7.5% | $25.9M+20.3% | $17.2M-16.0% | $26.7M+64.7% | $21.4M-13.9% |
| Gross Profit | $32.8M+35.5% | $19.4M+5.2% | $19.5M-29.0% | $17.5M-23.5% | $24.2M+15.7% | $18.5M-18.9% | $27.5M+57.1% | $22.9M-8.8% |
| SG&A Expenses | $6.9M+21.1% | $5.8M-8.3% | $10.2M+114.5% | $7.3M+20.6% | $5.7M+2.3% | $6.4M+8.2% | $4.8M-34.1% | $6.1M-0.7% |
| Operating Income | $26.5M+57.3% | $12.4M+6.9% | $10.3M-33.6% | $9.7M-36.6% | $16.8M+4.9% | $11.6M-30.8% | $15.5M+59.5% | $15.3M-19.4% |
| EBITDA | $27.1M+57.2% | $13.1M+8.7% | $10.9M-31.9% | $10.1M-36.1% | $17.2M+4.4% | $12.0M-30.0% | $16.1M+55.4% | $15.8M-18.6% |
| Interest Expense | $17K-41.4% | $28K+460.0% | $7K+133.3% | -$13K-107.4% | $29K-87.7% | $5K-98.2% | $3K-99.1% | $175K-42.2% |
| Income Tax | $3.0M-3.8% | $2.1M-14.5% | $2.6M-32.9% | $1.6M-54.2% | $3.1M-14.6% | $2.5M-27.3% | $3.9M-11.3% | $3.5M+4.2% |
| Net Income | $23.5M+59.8% | $10.9M+6.3% | $8.2M-43.5% | $8.6M-45.3% | $14.7M-9.2% | $10.3M-32.1% | $14.5M+105.1% | $15.8M-1.8% |
| EPS (Basic) | $0.99+62.3% | $0.46+7.0% | $0.34-44.3% | $0.36-44.6% | $0.61-9.0% | $0.43-30.6% | $0.61+110.3% | $0.65-1.5% |
| EPS (Diluted) | $0.99+65.0% | $0.46+12.2% | $0.37-36.2% | $0.35-45.3% | $0.60-7.7% | $0.41-31.7% | $0.58+107.1% | $0.640.0% |
| Diluted Shares (Avg) | 24M-3.2% | 24M-3.9% | N/A | 24M-1.5% | 25M-0.7% | 25M-1.3% | N/A | 25M-1.3% |
Not reported in any period shown, so not listed: R&D Expenses.
LEGH 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 | $615.7M+11.5% | $591.5M+8.6% | $580.3M+8.6% | $557.9M+7.0% | $552.0M+7.2% | $544.6M+6.8% | $534.2M+5.4% | $521.4M+5.2% |
| Current Assets | $181.2M+45.5% | $174.3M+33.5% | $164.7M+32.5% | $172.6M+53.4% | $124.6M-10.6% | $130.5M-10.8% | $124.3M+7.5% | $112.5M+18.3% |
| Cash & Equivalents | $29.0M+1000.9% | $14.1M+313.3% | $8.5M+637.9% | $13.6M+2277.4% | $2.6M+4285.0% | $3.4M+449.8% | $1.1M+53.6% | $570K+4.4% |
| Short-Term Investments | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 |
| Inventory | $43.9M+8.4% | $50.4M+21.7% | $39.9M+6.2% | $39.6M+35.4% | $40.5M+30.7% | $41.4M+20.9% | $37.5M-8.4% | $29.2M-17.3% |
| Accounts Receivable | $7.0M+67.3% | $5.1M+1.6% | $5.5M+36.7% | $4.6M-6.8% | $4.2M-2.1% | $5.0M+15.5% | $4.0M-14.9% | $5.0M+24.3% |
| Long-Term Investments | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 |
| Goodwill | $2.5M | $2.5M | $2.5M | N/A | N/A | N/A | N/A | N/A |
| Total Liabilities | $53.4M+36.2% | $52.5M+28.4% | $51.7M+28.5% | $36.3M-13.8% | $39.2M-24.2% | $40.9M-31.4% | $40.2M-42.5% | $42.1M-36.3% |
| Current Liabilities | $51.0M+60.9% | $48.5M+45.5% | $46.9M+43.1% | $30.1M-7.1% | $31.7M-0.2% | $33.4M-14.3% | $32.7M-12.3% | $32.4M-26.3% |
| Non-Current Liabilities | $2.5M-67.5% | $4.0M-47.5% | $4.9M-35.1% | $6.2M-36.0% | $7.5M-62.3% | $7.5M-63.7% | $7.5M-77.1% | $9.8M-56.1% |
| Total Equity | $562.2M+9.6% | $539.0M+7.0% | $528.6M+7.0% | $521.6M+8.8% | $512.8M+10.7% | $503.7M+11.8% | $494.0M+13.1% | $479.3M+11.6% |
| Retained Earnings | $397.6M+14.8% | $374.1M+12.8% | $363.2M+13.0% | $355.0M+15.7% | $346.4M+19.0% | $331.7M+20.7% | $321.4M+23.7% | $306.9M+21.5% |
Not reported in any period shown, so not listed: Long-Term Debt.
LEGH 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 | $17.4M+187.8% | $7.0M+41.6% | $19.0M+141.1% | $7.2M-48.3% | $6.1M+75.3% | $4.9M-54.6% | $7.9M+195.6% | $13.8M+534.6% |
| Depreciation & Amortization | $600K+50.0% | $670K+58.4% | $579K+14.9% | $396K-17.7% | $400K-11.9% | $423K0.0% | $504K+12.8% | $481K+16.7% |
| Stock-Based Compensation | N/A | $24K-86.0% | N/A | N/A | N/A | $171K-33.5% | N/A | N/A |
| Capital Expenditures | $5.1M+115.0% | $1.5M+21.3% | $3.3M+76.5% | $2.0M-56.9% | $2.4M+36.7% | $1.3M+44.8% | $1.9M-39.9% | $4.7M+55.4% |
| Free Cash Flow | $12.3M+234.7% | $5.4M+48.6% | $15.7M+161.4% | $5.1M-43.8% | $3.7M+114.1% | $3.6M-63.3% | $6.0M+152.7% | $9.1M+1166.7% |
| Investing Cash Flow | -$1.6M-36.9% | -$654K+66.8% | -$22.8M-339.1% | $3.9M+207.0% | -$1.2M-102.1% | -$2.0M-172.3% | -$5.2M-135.1% | -$3.7M+68.2% |
| Financing Cash Flow | -$992K+82.5% | -$664K+1.6% | -$1.3M+40.6% | -$141K+98.5% | -$5.7M-64.9% | -$675K+95.1% | -$2.1M-119.8% | -$9.7M-216.1% |
| Share Buybacks | $93K-98.4% | $573K-18.1% | $1.1M | -$1K-95.0% | $5.8M+65.7% | $700K-62.6% | $0 | $20K |
Not reported in any period shown, so not listed: Dividends Paid.
LEGH 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 | 49.5%+1.2pp | 56.5%+4.7pp | 51.0%+0.3pp | 43.3%-8.5pp | 48.3%-1.0pp | 51.8%-0.9pp | 50.8%-1.2pp | 51.7%+1.4pp |
| Operating Margin | 39.9%+6.3pp | 36.0%+3.5pp | 26.9%-1.7pp | 24.0%-10.6pp | 33.5%-4.2pp | 32.5%-6.2pp | 28.6%-0.2pp | 34.6%-3.5pp |
| Net Margin | 35.4%+6.1pp | 31.8%+3.0pp | 21.4%-5.4pp | 21.4%-14.3pp | 29.3%-8.8pp | 28.8%-6.2pp | 26.8%+5.8pp | 35.7%+3.5pp |
| Return on Equity | 4.2%+1.3pp | 2.0%0.0pp | 1.6%-1.4pp | 1.7%-1.6pp | 2.9%-0.6pp | 2.0%-1.3pp | 2.9%+1.3pp | 3.3%-0.4pp |
| Return on Assets | 3.8%+1.2pp | 1.8%0.0pp | 1.4%-1.3pp | 1.6%-1.5pp | 2.7%-0.5pp | 1.9%-1.1pp | 2.7%+1.3pp | 3.0%-0.2pp |
| Current Ratio | 3.56-0.4x | 3.59-0.3x | 3.51-0.3x | 5.74+2.3x | 3.93-0.5x | 3.91+0.2x | 3.80+0.7x | 3.47+1.3x |
| Debt-to-Equity | 0.100.0x | 0.100.0x | 0.100.0x | 0.070.0x | 0.080.0x | 0.08-0.1x | 0.08-0.1x | 0.09-0.1x |
| Asset Turnover | 0.110.0x | 0.060.0x | 0.070.0x | 0.070.0x | 0.090.0x | 0.070.0x | 0.100.0x | 0.080.0x |
| FCF Margin | 18.6%+11.3pp | 15.8%+5.6pp | 41.0%+29.9pp | 12.7%-7.9pp | 7.3%+3.3pp | 10.2%-12.8pp | 11.1%+44.9pp | 20.6%+22.3pp |
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 |
|---|---|---|---|---|---|---|
| Legacy Housing Corporation LEGH | FY2025 | $164.6M | $41.8M | 25.4% | $645.7M | 68/100 |
| Beazer Homes USA, Inc. New BZH | FY2025 | $2.4B | $45.6M | 1.9% | $893.2M | 27/100 |
| Hovnanian Enterprises, Inc. HOV | FY2025 | $3.0B | $63.9M | 2.1% | $540.9M | 23/100 |
| LGI Homes, Inc. LGIH | FY2025 | $1.7B | $72.6M | 4.3% | $954.8M | 13/100 |
| Dream Finders Homes, Inc. DFH | FY2025 | $4.3B | $217.4M | 5.0% | $783.1M | 21/100 |
| Cavco Industries Inc. CVCO | FY2026 | $2.2B | $191.2M | 8.5% | $3.9B | 71/100 |
Where Legacy Housing Corporation Ranks
Frequently Asked Questions
What is Legacy Housing Corporation's annual revenue?
Legacy Housing Corporation (LEGH) reported $164.6M in total revenue for fiscal year 2025. This represents a -10.7% 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 Legacy Housing Corporation's revenue growing?
Legacy Housing Corporation (LEGH) revenue declined by 10.7% year-over-year, from $184.2M to $164.6M in fiscal year 2025.
Is Legacy Housing Corporation profitable?
Yes, Legacy Housing Corporation (LEGH) reported a net income of $41.8M in fiscal year 2025, with a net profit margin of 25.4%.
What is Legacy Housing Corporation's EBITDA?
Legacy Housing Corporation (LEGH) had EBITDA of $50.3M in fiscal year 2025, measuring earnings before interest, taxes, depreciation, and amortization.
What is Legacy Housing Corporation's gross margin?
Legacy Housing Corporation (LEGH) had a gross margin of 48.4% in fiscal year 2025, indicating the percentage of revenue retained after direct costs of goods sold.
What is Legacy Housing Corporation's operating margin?
Legacy Housing Corporation (LEGH) had an operating margin of 29.4% in fiscal year 2025, reflecting the profitability of core business operations before interest and taxes.
What is Legacy Housing Corporation's net profit margin?
Legacy Housing Corporation (LEGH) had a net profit margin of 25.4% in fiscal year 2025, representing the share of revenue converted into profit after all expenses.
What is Legacy Housing Corporation's return on equity (ROE)?
Legacy Housing Corporation (LEGH) has a return on equity of 7.9% for fiscal year 2025, measuring how efficiently the company generates profit from shareholder equity.
What is Legacy Housing Corporation's free cash flow?
Legacy Housing Corporation (LEGH) generated $28.2M in free cash flow during fiscal year 2025. This represents a 5.1% 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 Legacy Housing Corporation's operating cash flow?
Legacy Housing Corporation (LEGH) generated $37.2M in operating cash flow during fiscal year 2025, representing cash generated from core business activities.
What are Legacy Housing Corporation's total assets?
Legacy Housing Corporation (LEGH) had $580.3M in total assets as of fiscal year 2025, including both current and long-term assets.
What are Legacy Housing Corporation's capital expenditures?
Legacy Housing Corporation (LEGH) invested $9.0M in capital expenditures during fiscal year 2025, funding long-term assets and infrastructure.
What is Legacy Housing Corporation's current ratio?
Legacy Housing Corporation (LEGH) had a current ratio of 3.51 as of fiscal year 2025, which is generally considered healthy.
What is Legacy Housing Corporation's debt-to-equity ratio?
Legacy Housing Corporation (LEGH) had a debt-to-equity ratio of 0.10 as of fiscal year 2025, measuring the company's financial leverage by comparing total debt to shareholder equity.
What is Legacy Housing Corporation's return on assets (ROA)?
Legacy Housing Corporation (LEGH) had a return on assets of 7.2% for fiscal year 2025, measuring how efficiently the company uses its assets to generate profit.
What is Legacy Housing Corporation's P/E ratio?
Legacy Housing Corporation (LEGH) trades at 12.6x earnings, its market capitalization divided by net income of $51.2M net income, trailing 12 months to June 30, 2026. The market capitalization is $645.7M as of Oct 20, 2026; a multiple compares that price with a filed figure and says nothing about the quality of the business.
What is Legacy Housing Corporation's price-to-sales ratio?
Legacy Housing Corporation (LEGH) trades at 3.6x sales, its market capitalization divided by revenue of $179.4M revenue, trailing 12 months to June 30, 2026. The market capitalization is $645.7M as of Oct 20, 2026; a multiple compares that price with a filed figure and says nothing about the quality of the business.
What is Legacy Housing Corporation's Altman Z-Score?
Legacy Housing Corporation (LEGH) has an Altman Z-Score of 9.17, placing it in the Safe Zone (low 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 Legacy Housing Corporation's Piotroski F-Score?
Legacy Housing Corporation (LEGH) has a Piotroski F-Score of 3 out of 8 computable signals; 1 of the nine could not be computed from available data, so the full-scale strength rating is not shown. 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 Legacy Housing Corporation's earnings high quality?
Legacy Housing Corporation (LEGH) has an earnings quality ratio of 0.89x, considered mixed 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 Legacy Housing Corporation cover its interest payments?
Legacy Housing Corporation (LEGH) has an interest coverage ratio of 1,728.82x, 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 Legacy Housing Corporation?
Legacy Housing Corporation (LEGH) scores 68 out of 100 on our Financial Health Score, indicating strong 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.