Montrose Environmental Group, Inc. (MEG) Financials
Newest figures come from the 10-Q for Q1 FY2026, filed May 7, 2026. Each column of the statement tables below links to the filing it was taken from, and every filing is listed on the MEG SEC filings page.
Montrose Environmental Group, Inc. (MEG) reported $821.2M in revenue over the twelve months to Mar 31, 2026, up 14.2% 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).
2025 shows a business converting growth into cash, but higher debt and below-operating costs still suppress reported profit.
In FY2025, operating cash flow of$107.5M and free cash flow of$91.2M show that the year's operating improvement translated into cash rather than remaining purely accounting-based. Yet a net loss of$843K alongside operating income of$11.7M indicates that interest and other below-operating items still absorb the operating profit.
Gross margin was broadly stable near
Long-term debt reached
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 Montrose Environmental Group, 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.
Montrose Environmental Group, Inc. has an operating margin of 1.4%, meaning the company retains $1 of operating profit per $100 of revenue. This results in a moderate score of 33/100, indicating healthy but not exceptional operating efficiency. This is up from -5.3% the prior year.
Montrose Environmental Group, Inc.'s revenue surged 19.3% year-over-year to $830.5M, reflecting rapid business expansion. This strong growth earns a score of 76/100.
Montrose Environmental Group, Inc. has elevated debt relative to equity (D/E of 0.61), meaning the company relies heavily on borrowed funds. This high leverage results in a low score of 14/100, reflecting increased financial risk.
Montrose Environmental Group, Inc.'s current ratio of 1.43 indicates adequate short-term liquidity, earning a score of 39/100. The company can meet its near-term obligations, though with limited headroom.
Montrose Environmental Group, Inc. has a free cash flow margin of 11.0%, earning a moderate score of 52/100. The company generates positive cash flow after capital investments, but with room for improvement.
Montrose Environmental Group, Inc. posts a -0.2% return on equity (ROE), meaning it loses less than $1 for every $100 of shareholders' equity. This results in a returns score of 32/100. This is up from -14.0% the prior year.
Montrose Environmental Group, Inc. scores 1.49, below the 1.81 distress threshold. The score is driven primarily by a large market capitalization ($800.8M) relative to total liabilities ($530.1M). 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.
Montrose Environmental Group, Inc. passes 5 of 9 financial strength tests. 3 of 4 profitability signals pass, no leverage/liquidity signals pass (rising debt, declining liquidity, or share dilution), both operating efficiency signals pass.
Montrose Environmental Group, Inc. reported a net loss of $843K while generating $107.5M in operating cash flow. Operations generated cash despite the loss, but with no positive earnings behind it, the ratio between the two carries no quality signal.
Montrose Environmental Group, Inc. earns $0.60 in operating income for every $1 of interest expense ($11.7M vs $19.6M). This narrow margin raises concern about the company's ability to service its debt if operating income declines.
Key Financial Metrics
Earnings & Revenue
Montrose Environmental Group, Inc. generated $168.5M in revenue in Q1 2026. This represents a decrease of 5.2% from the same quarter a year earlier. Against the prior quarter it is down 12.8%.
Montrose Environmental Group, Inc.'s EBITDA was $6.6M in Q1 2026, measuring earnings before interest, taxes, depreciation, and amortization. This represents an increase of 141.5% from the same quarter a year earlier. Against the prior quarter it is down 29.6%.
Montrose Environmental Group, Inc. reported -$12.7M in net income in Q1 2026. This represents an increase of 34.4% from the same quarter a year earlier. Against the prior quarter it is down 54.4%.
Montrose Environmental Group, Inc. earned -$0.35 per diluted share (EPS) in Q1 2026. This represents an increase of 45.3% from the same quarter a year earlier.
Cash & Balance Sheet
Montrose Environmental Group, Inc. recorded an outflow of $17.3M in free cash flow in Q1 2026, representing a cash shortfall after capex. This represents a decrease of 836.3% from the same quarter a year earlier. Against the prior quarter it is down 137.2%.
Montrose Environmental Group, Inc. held $10.0M in cash against $310.1M in long-term debt as of Q1 2026.
Not reported for Q1 2026.
Margins & Returns
Montrose Environmental Group, Inc.'s gross margin was 39.8% in Q1 2026, indicating the percentage of revenue retained after direct costs. This is up 0.7 percentage points from the same quarter a year earlier. Against the prior quarter it is up 1.2 percentage points.
Montrose Environmental Group, Inc.'s operating margin was -3.6% in Q1 2026, reflecting core business profitability. This is up 2.4 percentage points from the same quarter a year earlier. Against the prior quarter it is down 2.3 percentage points.
Montrose Environmental Group, Inc.'s net profit margin was -7.5% in Q1 2026, showing the share of revenue converted to profit. This is up 3.4 percentage points from the same quarter a year earlier. Against the prior quarter it is down 3.3 percentage points.
Montrose Environmental Group, Inc.'s ROE was -2.9% in Q1 2026, measuring profit generated per dollar of shareholder equity. This is up 1.5 percentage points from the same quarter a year earlier. Against the prior quarter it is down 1.1 percentage points.
Capital Allocation
Montrose Environmental Group, Inc. spent $10.0M on share buybacks in Q1 2026, returning capital to shareholders by reducing shares outstanding.
Montrose Environmental Group, Inc. invested $5.7M in capex in Q1 2026, funding long-term assets and infrastructure. This represents an increase of 79.7% from the same quarter a year earlier. Against the prior quarter it is up 5.3%.
Not reported for Q1 2026.
MEG 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 | Q1'2610-Q | Q4'2510-Q | Q3'2510-Q | Q2'2510-Q | Q1'2510-Q | Q4'2410-K | Q3'2410-Q | Q2'2410-Q |
|---|---|---|---|---|---|---|---|---|
| Revenue | $168.5M-5.2% | $193.3M+2.2% | $224.9M+25.9% | $234.5M+35.3% | $177.8M+14.5% | $189.1M+14.1% | $178.7M+6.4% | $173.3M+8.9% |
| Cost of Revenue | $101.5M-6.4% | $118.7M+6.0% | $136.3M+29.1% | $132.8M+27.6% | $108.4M+12.3% | $112.0M+9.8% | $105.6M+3.4% | $104.1M+6.0% |
| Gross Profit | $67.0M-3.4% | $74.6M-3.3% | $88.6M+21.2% | $101.7M+46.9% | $69.4M+18.1% | $77.1M+20.8% | $73.1M+11.1% | $69.2M+13.7% |
| SG&A Expenses | $61.3M-7.4% | $65.2M-22.8% | $65.7M+7.9% | $73.7M+24.4% | $66.2M+16.0% | $84.4M+38.2% | $60.9M+7.0% | $59.2M+7.2% |
| Operating Income | -$6.1M+42.7% | -$2.6M+88.7% | $9.9M+955.9% | $14.9M+663.6% | -$10.6M-5.1% | -$22.8M-156.4% | -$1.2M+66.3% | -$2.7M+56.5% |
| EBITDA | $6.6M+141.5% | $9.3M+224.5% | $22.9M+89.5% | $27.7M+180.9% | $2.7M+71.2% | -$7.5M-345.3% | $12.1M+43.4% | $9.9M+85.9% |
| Interest Expense | -$5.5M-7.9% | -$4.7M-5.7% | -$5.0M-21.8% | -$4.8M-19.9% | -$5.1M-53.2% | -$4.4M-94.4% | -$4.1M-98.0% | -$4.0M-111.8% |
| Income Tax | $2.3M-19.8% | $924K-73.7% | $7.3M+432.2% | $988K-62.3% | $2.9M+482.4% | $3.5M+192.0% | $1.4M+3.3% | $2.6M+1634.4% |
| Net Income | -$12.7M+34.4% | -$8.2M+70.9% | $8.4M+179.3% | $18.4M+280.5% | -$19.4M-44.9% | -$28.2M-1858.6% | -$10.6M-40.4% | -$10.2M-41.8% |
| EPS (Basic) | -$0.35+45.3% | N/A | $0.24+161.5% | $0.48+223.1% | -$0.64-20.8% | N/A | -$0.390.0% | -$0.39-2.6% |
| EPS (Diluted) | -$0.35+45.3% | N/A | $0.21+153.8% | $0.42 | -$0.64-20.8% | N/A | -$0.390.0% | -$0.39-2.6% |
| Diluted Shares (Avg) | 36M+4.5% | N/A | 40M+16.6% | 43M | 35M+13.6% | N/A | 34M+13.6% | 33M+10.9% |
Not reported in any period shown, so not listed: R&D Expenses.
MEG 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 | Q1'2610-Q | Q4'2510-Q | Q3'2510-Q | Q2'2510-Q | Q1'2510-Q | Q4'2410-K | Q3'2410-Q | Q2'2410-Q |
|---|---|---|---|---|---|---|---|---|
| Total Assets | $948.0M-4.4% | $981.3M-0.9% | $985.7M-2.1% | $998.1M+5.7% | $992.2M+8.1% | $990.4M+21.2% | $1.0B+20.4% | $943.9M+14.3% |
| Current Assets | $216.6M-13.1% | $240.4M+1.0% | $256.0M+3.7% | $260.9M+8.7% | $249.4M+22.0% | $238.0M+18.5% | $246.9M+15.9% | $240.0M+19.6% |
| Cash & Equivalents | $10.0M-66.8% | $11.2M-13.2% | $6.7M-48.4% | $10.5M-38.0% | $30.3M+219.2% | $12.9M-44.3% | $13.0M-43.7% | $16.9M-27.5% |
| Accounts Receivable | $117.6M-15.8% | $155.4M-2.2% | $165.3M+8.2% | $160.0M+17.9% | $139.7M+33.4% | $158.9M+41.4% | $152.8M+30.2% | $135.7M+30.8% |
| Goodwill | $466.6M-0.4% | $466.8M-0.2% | $469.0M-2.8% | $469.0M+7.7% | $468.4M+1.1% | $467.8M+28.4% | $482.6M+35.4% | $435.5M+18.2% |
| Total Liabilities | $507.9M+11.6% | $530.1M+17.5% | $527.0M+13.4% | $494.0M+22.8% | $455.1M-9.1% | $451.2M+31.7% | $464.8M+26.2% | $402.2M+11.8% |
| Current Liabilities | $117.6M-3.4% | $168.0M+5.9% | $154.4M+20.4% | $146.8M+11.4% | $121.8M-3.0% | $158.7M+25.6% | $128.2M-4.9% | $131.7M+5.7% |
| Non-Current Liabilities | $390.3M+17.1% | $362.1M+23.8% | $372.6M+10.7% | $347.3M+28.4% | $333.3M-11.2% | $292.5M+35.2% | $336.5M+44.2% | $270.5M+15.0% |
| Long-Term Debt | $310.1M+31.6% | $277.1M+35.3% | $302.4M+29.8% | $264.6M+40.2% | $235.6M-16.1% | $204.8M+37.5% | $233.0M+52.7% | $188.7M+21.0% |
| Total Equity | $440.1M-0.9% | $451.2M+1.1% | $458.7M+2.1% | $470.3M+4.8% | $444.1M+36.9% | $446.3M+38.9% | $449.2M+42.6% | $448.8M+43.4% |
| Retained Earnings | -$286.2M+2.0% | -$273.5M-0.3% | -$265.3M-8.5% | -$273.7M-17.0% | -$292.0M-30.5% | -$272.7M-29.6% | -$244.4M-17.0% | -$233.9M-16.1% |
Not reported in any period shown, so not listed: Short-Term Investments, Inventory, Long-Term Investments.
MEG 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 | Q1'2610-Q | Q4'2510-Q | Q3'2510-Q | Q2'2510-Q | Q1'2510-Q | Q4'2410-K | Q3'2410-Q | Q2'2410-Q |
|---|---|---|---|---|---|---|---|---|
| Operating Cash Flow | -$11.6M-311.4% | $51.9M+62.5% | $28.1M+146.8% | $21.9M+2349.0% | $5.5M+125.0% | $32.0M+119.6% | $11.4M-32.7% | $894K-95.8% |
| Depreciation & Amortization | $12.6M-5.0% | $11.9M-22.5% | $13.0M-2.1% | $12.8M+2.0% | $13.3M+14.1% | $15.4M+28.3% | $13.2M+11.6% | $12.5M+9.8% |
| Stock-Based Compensation | $9.1M-33.9% | N/A | $9.2M-21.6% | $10.8M-8.4% | $13.7M+21.7% | N/A | $11.8M+2.4% | $11.8M+6.7% |
| Capital Expenditures | $5.7M+79.7% | $5.4M+139.6% | $5.8M+402.3% | $2.0M-81.6% | $3.2M-56.7% | $2.2M-51.2% | $1.2M-71.2% | $10.6M-36.7% |
| Free Cash Flow | -$17.3M-836.3% | $46.5M+56.7% | $22.3M+117.9% | $19.9M+304.3% | $2.4M+108.0% | $29.7M+198.9% | $10.2M-20.8% | -$9.8M-309.1% |
| Investing Cash Flow | -$5.5M-49.1% | -$3.2M-278.7% | -$4.7M+90.5% | -$4.2M+81.5% | -$3.7M+94.3% | -$855K+81.6% | -$49.3M-392.6% | -$22.9M+69.6% |
| Financing Cash Flow | $15.9M-0.1% | -$43.9M-43.5% | -$28.0M-182.9% | -$37.2M-226.3% | $16.0M-78.2% | -$30.6M-230.9% | $33.8M+588.5% | $29.5M+4142.0% |
| Dividends Paid | $0-100.0% | $0-100.0% | $1.4M-49.1% | $0-100.0% | $2.8M-2.3% | $2.8M-32.9% | $2.8M-32.9% | $2.8M-32.9% |
| Share Buybacks | $10.0M | N/A | N/A | N/A | N/A | N/A | N/A | N/A |
MEG 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 | Q1'2610-Q | Q4'2510-Q | Q3'2510-Q | Q2'2510-Q | Q1'2510-Q | Q4'2410-K | Q3'2410-Q | Q2'2410-Q |
|---|---|---|---|---|---|---|---|---|
| Gross Margin | 39.8%+0.7pp | 38.6%-2.2pp | 39.4%-1.5pp | 43.4%+3.4pp | 39.0%+1.2pp | 40.8%+2.3pp | 40.9%+1.7pp | 40.0%+1.7pp |
| Operating Margin | -3.6%+2.4pp | -1.3%+10.8pp | 4.4%+5.1pp | 6.4%+7.9pp | -5.9%+0.5pp | -12.1%-6.7pp | -0.7%+1.4pp | -1.5%+2.3pp |
| Net Margin | -7.5%+3.4pp | -4.3%+10.7pp | 3.7%+9.6pp | 7.8%+13.7pp | -10.9%-2.3pp | -14.9%-14.1pp | -5.9%-1.4pp | -5.9%-1.4pp |
| Return on Equity | -2.9%+1.5pp | -1.8%+4.5pp | 1.8%+4.2pp | 3.9%+6.2pp | -4.4%-0.2pp | -6.3%-5.9pp | -2.4%0.0pp | -2.3%0.0pp |
| Return on Assets | -1.3%+0.6pp | -0.8%+2.0pp | 0.9%+1.9pp | 1.8%+2.9pp | -1.9%-0.5pp | -2.9%-2.7pp | -1.1%-0.2pp | -1.1%-0.2pp |
| Current Ratio | 1.84-0.2x | 1.43-0.1x | 1.66-0.3x | 1.780.0x | 2.05+0.4x | 1.50-0.1x | 1.93+0.3x | 1.82+0.2x |
| Debt-to-Equity | 0.70+0.2x | 0.61+0.2x | 0.66+0.1x | 0.56+0.1x | 0.53-0.3x | 0.460.0x | 0.520.0x | 0.42-0.1x |
| Asset Turnover | 0.180.0x | 0.200.0x | 0.23+0.1x | 0.23+0.1x | 0.180.0x | 0.190.0x | 0.180.0x | 0.180.0x |
| FCF Margin | -10.3%-11.6pp | 24.1%+8.4pp | 9.9%+4.2pp | 8.5%+14.1pp | 1.3%+20.2pp | 15.7%+9.7pp | 5.7%-2.0pp | -5.6%-8.6pp |
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 |
|---|---|---|---|---|---|---|
| Montrose Environmental Group, Inc. MEG | FY2025 | $830.5M | -$843K | -0.1% | $800.8M | 41/100 |
| Enviri Corporation NVRI | FY2025 | $2.2B | -$167.6M | -7.5% | $556.8M | 25/100 |
| Perma-Fix Environmental Services, Inc. PESI | FY2025 | $61.7M | -$13.8M | -22.4% | $292.0M | 24/100 |
| Casella Waste Systems Inc CWST | FY2025 | $1.8B | $7.9M | 0.4% | $5.3B | 47/100 |
| American Battery Technology Company ABAT | FY2026 | $21.7M | -$73.4M | N/A | $280.9M | 57/100 |
| ESGL Holdings Limited ESGL | FY2024 | $6.1M | -$633K | -10.4% | $136.9M | 12/100 |
Where Montrose Environmental Group, Inc. Ranks
Frequently Asked Questions
What is Montrose Environmental Group, Inc.'s annual revenue?
Montrose Environmental Group, Inc. (MEG) reported $830.5M in total revenue for fiscal year 2025. This represents a 19.3% 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 Montrose Environmental Group, Inc.'s revenue growing?
Montrose Environmental Group, Inc. (MEG) revenue grew by 19.3% year-over-year, from $696.4M to $830.5M in fiscal year 2025.
Is Montrose Environmental Group, Inc. profitable?
No, Montrose Environmental Group, Inc. (MEG) reported a net income of -$843K in fiscal year 2025, with a net profit margin of -0.1%.
What is Montrose Environmental Group, Inc.'s EBITDA?
Montrose Environmental Group, Inc. (MEG) had EBITDA of $62.6M in fiscal year 2025, measuring earnings before interest, taxes, depreciation, and amortization.
How much debt does Montrose Environmental Group, Inc. have?
As of fiscal year 2025, Montrose Environmental Group, Inc. (MEG) had $11.2M in cash and equivalents against $277.1M in long-term debt.
What is Montrose Environmental Group, Inc.'s gross margin?
Montrose Environmental Group, Inc. (MEG) had a gross margin of 40.3% in fiscal year 2025, indicating the percentage of revenue retained after direct costs of goods sold.
What is Montrose Environmental Group, Inc.'s operating margin?
Montrose Environmental Group, Inc. (MEG) had an operating margin of 1.4% in fiscal year 2025, reflecting the profitability of core business operations before interest and taxes.
What is Montrose Environmental Group, Inc.'s net profit margin?
Montrose Environmental Group, Inc. (MEG) had a net profit margin of -0.1% in fiscal year 2025, representing the share of revenue converted into profit after all expenses.
What is Montrose Environmental Group, Inc.'s return on equity (ROE)?
Montrose Environmental Group, Inc. (MEG) has a return on equity of -0.2% for fiscal year 2025, measuring how efficiently the company generates profit from shareholder equity.
What is Montrose Environmental Group, Inc.'s free cash flow?
Montrose Environmental Group, Inc. (MEG) generated $91.2M in free cash flow during fiscal year 2025. This represents a 10006.3% 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 Montrose Environmental Group, Inc.'s operating cash flow?
Montrose Environmental Group, Inc. (MEG) generated $107.5M in operating cash flow during fiscal year 2025, representing cash generated from core business activities.
What are Montrose Environmental Group, Inc.'s total assets?
Montrose Environmental Group, Inc. (MEG) had $981.3M in total assets as of fiscal year 2025, including both current and long-term assets.
What are Montrose Environmental Group, Inc.'s capital expenditures?
Montrose Environmental Group, Inc. (MEG) invested $16.3M in capital expenditures during fiscal year 2025, funding long-term assets and infrastructure.
What is Montrose Environmental Group, Inc.'s current ratio?
Montrose Environmental Group, Inc. (MEG) had a current ratio of 1.43 as of fiscal year 2025, which is considered adequate.
What is Montrose Environmental Group, Inc.'s debt-to-equity ratio?
Montrose Environmental Group, Inc. (MEG) had a debt-to-equity ratio of 0.61 as of fiscal year 2025, measuring the company's financial leverage by comparing total debt to shareholder equity.
What is Montrose Environmental Group, Inc.'s return on assets (ROA)?
Montrose Environmental Group, Inc. (MEG) had a return on assets of -0.1% for fiscal year 2025, measuring how efficiently the company uses its assets to generate profit.
What is Montrose Environmental Group, Inc.'s Altman Z-Score?
Montrose Environmental Group, Inc. (MEG) has an Altman Z-Score of 1.49, 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 Montrose Environmental Group, Inc.'s Piotroski F-Score?
Montrose Environmental Group, Inc. (MEG) 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 Montrose Environmental Group, Inc.'s earnings high quality?
Montrose Environmental Group, Inc. (MEG) reported a net loss of $843K while generating $107.5M in operating cash flow. Operations generated cash despite the loss, but with no positive earnings behind it, the ratio between the two carries no quality signal. 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 Montrose Environmental Group, Inc. cover its interest payments?
Montrose Environmental Group, Inc. (MEG) has an interest coverage ratio of 0.60x, meaning it can struggle to 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 Montrose Environmental Group, Inc.?
Montrose Environmental Group, Inc. (MEG) scores 41 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.