Nextpower Inc. (NXT) 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 5, 2026; every other figure is from the SEC filings on this page. Not financial advice.
Newest figures come from the 10-Q for Q2 FY2027, filed Aug 3, 2026. Each column of the statement tables below links to the filing it was taken from, and every filing is listed on the NXT SEC filings page.
Nextpower Inc. (NXT) reported $3.6B in revenue over the twelve months to Jul 3, 2026, up 17.0% from the prior twelve months. This page shows its income statement, balance sheet, cash flow statement, and key financial ratios. View 6 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).
Sales are still expanding, but margin compression and weaker cash conversion show the latest growth is less efficient.
Between FY2024 and FY2026, free-cash-flow margin fell from16.9% to14.4% even as revenue expanded, indicating growth is absorbing more cash than the earlier expansion phase. In FY2026, net income of$586M exceeded operating cash flow of$563M , reversing FY2025's cash-over-earnings pattern and making reported profit less fully realized in cash.
Despite another year of sales growth, operating margin narrowed from
Reported equity shifted from
Financial Health Signals
Scored against operating companies for FY2026. 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 Nextpower 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.
Nextpower Inc. has an operating margin of 19.6%, meaning the company retains $20 of operating profit per $100 of revenue. This strong profitability earns a score of 78/100, reflecting efficient cost management and pricing power. This is down from 21.6% the prior year.
Nextpower Inc.'s revenue surged 20.3% year-over-year to $3.6B, reflecting rapid business expansion. This strong growth earns a score of 81/100.
Nextpower Inc. has a moderate D/E ratio of 0.74. This balance of debt and equity financing earns a leverage score of 53/100.
With a current ratio of 2.45, Nextpower Inc. holds $2.45 in current assets for every $1 of short-term obligations. This comfortable liquidity earns a score of 70/100.
Nextpower Inc. converts 14.4% of revenue into free cash flow ($513.6M). This strong cash generation earns a score of 82/100.
Nextpower Inc. earns a strong 25.1% return on equity (ROE), meaning it generates $25 of profit for every $100 of shareholders' equity. This efficient capital use earns a returns score of 86/100. This is down from 31.8% the prior year.
Nextpower Inc. scores 5.67, well above the 2.99 safe threshold. The score is driven primarily by a large market capitalization ($12.8B) relative to total liabilities ($1.7B). 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.
Nextpower Inc. passes 3 of 7 computable financial strength tests (2 of the nine could not be computed from available data). 2 of 4 profitability signals pass, all 1 leverage/liquidity signals pass, neither operating efficiency signal passes.
For every $1 of reported earnings, Nextpower Inc. generates $0.96 in operating cash flow ($562.9M OCF vs $585.9M net income). This mixed ratio suggests some earnings may rely on non-cash accounting items.
Nextpower Inc. earns $265.83 in operating income for every $1 of interest expense ($697.3M vs $2.6M). This wide margin provides strong safety for debt servicing, even if earnings decline temporarily.
Key Financial Metrics
Earnings & Revenue
Nextpower Inc. generated $935.2M in revenue in Q2 2027. This represents an increase of 3.3% from the same quarter a year earlier. Against the prior quarter it is up 6.2%.
Nextpower Inc.'s EBITDA was $199.7M in Q2 2027, measuring earnings before interest, taxes, depreciation, and amortization. This represents an increase of 5.8% from the same quarter a year earlier. Against the prior quarter it is up 22.8%.
Nextpower Inc. reported $165.4M in net income in Q2 2027. This represents an increase of 12.6% from the same quarter a year earlier. Against the prior quarter it is up 9.8%.
Nextpower Inc. earned $1.07 per diluted share (EPS) in Q2 2027. This represents an increase of 10.3% from the same quarter a year earlier. Against the prior quarter it is up 9.2%.
Cash & Balance Sheet
Nextpower Inc. generated $105.2M in free cash flow in Q2 2027, representing cash available after capex. This represents a decrease of 38.6% from the same quarter a year earlier. Against the prior quarter it is down 31.5%.
Nextpower Inc. held $1.2B in cash as of Q2 2027; long-term debt is not reported for that period.
Not reported for Q2 2027.
Margins & Returns
Nextpower Inc.'s gross margin was 35.9% in Q2 2027, indicating the percentage of revenue retained after direct costs. This is up 3.6 percentage points from the same quarter a year earlier. Against the prior quarter it is up 2.1 percentage points.
Nextpower Inc.'s operating margin was 20.4% in Q2 2027, reflecting core business profitability. This is up 0.4 percentage points from the same quarter a year earlier. Against the prior quarter it is up 3.0 percentage points.
Nextpower Inc.'s net profit margin was 17.7% in Q2 2027, showing the share of revenue converted to profit. This is up 1.5 percentage points from the same quarter a year earlier. Against the prior quarter it is up 0.6 percentage points.
Nextpower Inc.'s ROE was 6.5% in Q2 2027, measuring profit generated per dollar of shareholder equity. This is down 0.9 percentage points from the same quarter a year earlier. It is unchanged from the prior quarter.
Capital Allocation
Nextpower Inc. invested $44.5M in research and development in Q2 2027. This represents an increase of 65.5% from the same quarter a year earlier. Against the prior quarter it is up 3.1%.
Nextpower Inc. invested $15.9M in capex in Q2 2027, funding long-term assets and infrastructure. This represents an increase of 2.7% from the same quarter a year earlier. Against the prior quarter it is down 10.7%.
Not reported for Q2 2027.
NXT 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 | Q2'2710-Q | Q4'2610-Q | Q3'2610-Q | Q2'2610-Q | Q1'2610-Q | Q4'2510-K | Q3'2510-Q | Q2'2510-Q |
|---|---|---|---|---|---|---|---|---|
| Revenue | $935.2M+3.3% | $880.5M-4.7% | $909.4M+33.9% | $905.3M+42.4% | $864.3M+20.0% | $924.3M+25.5% | $679.4M-4.4% | $635.6M+10.9% |
| Cost of Revenue | $599.3M-2.1% | $583.1M-5.7% | $621.2M+41.7% | $612.4M+49.1% | $582.5M+20.7% | $618.7M+56.2% | $438.5M-12.4% | $410.8M-3.2% |
| Gross Profit | $335.9M+14.7% | $297.4M-2.7% | $288.1M+19.6% | $292.9M+30.3% | $281.7M+18.7% | $305.7M-10.2% | $240.9M+14.9% | $224.8M+50.8% |
| R&D Expenses | $44.5M+65.5% | $43.2M+83.0% | $29.3M+45.8% | $26.9M+40.1% | $21.6M+30.5% | $23.6M+41.3% | $20.1M+55.8% | $19.2M+168.6% |
| SG&A Expenses | $100.4M+18.7% | $100.6M+15.9% | $82.7M+17.2% | $84.6M+17.3% | $73.9M+21.6% | $86.8M+63.4% | $70.6M+45.9% | $72.1M+50.7% |
| Operating Income | $190.9M+5.3% | $153.6M-21.4% | $176.1M+17.2% | $181.3M+35.9% | $186.2M+16.3% | $195.3M-27.8% | $150.2M+1.2% | $133.5M+41.9% |
| EBITDA | $199.7M+5.8% | $162.6M-18.9% | $184.5M+19.3% | $188.7M+38.3% | $192.0M+19.2% | $200.4M-26.3% | $154.7M+3.4% | $136.4M+43.5% |
| Interest Expense | $253K-65.3% | $338K-85.6% | $339K-91.1% | $730K-80.1% | $1.2M-62.9% | $2.4M-38.8% | $3.8M+17.7% | $3.7M+0.5% |
| Income Tax | $33.6M-6.4% | $9.0M-77.9% | $49.3M+15.0% | $35.9M+80.0% | $33.8M+24.4% | $40.8M-31.8% | $42.8M+10.4% | $19.9M+398.3% |
| Net Income | $165.4M+12.6% | $150.6M-8.7% | $131.2M+13.8% | $146.9M+27.3% | $157.2M+29.2% | $164.9M-58.3% | $115.3M+178.5% | $115.4M+194.0% |
| EPS (Basic) | $1.10+11.1% | $1.02-6.4% | $0.88+10.0% | $0.99+23.7% | $1.06+23.3% | $1.09-50.2% | $0.80+19.4% | $0.80+25.0% |
| EPS (Diluted) | $1.07+10.3% | $0.98-7.5% | $0.85+7.6% | $0.97+22.8% | $1.04+23.8% | $1.06 | $0.79 | $0.79 |
| Diluted Shares (Avg) | 155M+2.1% | N/A | 154M+3.3% | 152M+2.0% | 151M+1.1% | N/A | 149M | 149M |
NXT 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 | Q2'2710-Q | Q4'2610-Q | Q3'2610-Q | Q2'2610-Q | Q1'2610-Q | Q4'2510-K | Q3'2510-Q | Q2'2510-Q |
|---|---|---|---|---|---|---|---|---|
| Total Assets | $4.3B+16.2% | $4.1B+27.6% | $3.8B+27.4% | $3.7B+32.5% | $3.4B+29.0% | $3.2B+26.7% | $3.0B+42.4% | $2.8B+36.1% |
| Current Assets | $3.0B+24.2% | $2.8B+31.9% | $2.6B+28.3% | $2.4B+36.6% | $2.2B+31.5% | $2.2B+22.0% | $2.0B+40.6% | $1.8B+33.3% |
| Cash & Equivalents | $1.2B+43.6% | $1.1B+42.9% | $952.6M+37.4% | $845.3M+50.4% | $743.4M+57.5% | $766.1M+61.6% | $693.5M+88.6% | $561.9M+50.7% |
| Short-Term Investments | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 |
| Inventory | $261.6M+18.3% | $262.3M+25.2% | $275.3M+26.7% | $221.2M+23.4% | $227.1M+36.8% | $209.4M+3.8% | $217.3M+7.2% | $179.3M-8.7% |
| Accounts Receivable | $444.7M-19.0% | $417.0M-11.7% | $452.2M-1.2% | $549.2M+53.6% | $553.6M+37.7% | $472.5M+23.5% | $457.9M+25.4% | $357.6M+3.2% |
| Long-Term Investments | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 |
| Goodwill | $488.9M+3.2% | $488.9M+31.8% | $485.3M+30.9% | $473.7M+27.8% | $444.9M+35.5% | $371.0M+39.9% | $370.6M+39.8% | $370.6M+39.8% |
| Total Liabilities | $1.7B+1.3% | $1.7B+11.1% | $1.6B+5.8% | $1.7B+13.2% | $1.6B+6.2% | $1.6B+2.5% | $1.6B-70.1% | $1.5B-68.2% |
| Current Liabilities | $1.1B+0.6% | $1.2B+12.6% | $1.1B+19.9% | $1.1B+38.9% | $1.0B+28.5% | $1.0B+15.9% | $904.6M+19.1% | $806.3M+4.4% |
| Non-Current Liabilities | $578.7M+2.7% | $575.0M+8.3% | $564.4M-13.7% | $563.4M-17.2% | $550.8M-19.9% | $530.9M-16.4% | $654.0M-85.3% | $680.1M-82.6% |
| Long-Term Debt | N/A | N/A | N/A | N/A | N/A | $0-100.0% | $138.8M-4.1% | $140.5M-3.5% |
| Total Equity | $2.6B+28.8% | $2.3B+43.4% | $2.2B+50.9% | $2.0B+54.9% | $1.8B+61.2% | $1.6B+64.1% | $1.4B+145.7% | $1.3B+148.6% |
| Retained Earnings | -$1.8B+19.8% | -$2.0B+22.9% | -$2.1B+21.8% | -$2.3B+20.4% | -$2.4B+18.5% | -$2.6B+16.6% | -$2.7B+17.0% | -$2.8B+14.6% |
NXT 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 | Q2'2710-Q | Q4'2610-Q | Q3'2610-Q | Q2'2610-Q | Q1'2610-Q | Q4'2510-K | Q3'2510-Q | Q2'2510-Q |
|---|---|---|---|---|---|---|---|---|
| Operating Cash Flow | $121.1M-35.2% | $171.4M-27.8% | $123.3M-14.3% | $186.9M+21.5% | $81.3M-32.7% | $237.3M+112.9% | $143.8M+122.0% | $153.8M+471.5% |
| Depreciation & Amortization | $8.8M+19.1% | $9.0M+76.5% | $8.4M+91.0% | $7.4M+150.2% | $5.8M+515.2% | $5.1M+317.0% | $4.4M+295.0% | $2.9M+202.1% |
| Stock-Based Compensation | $29.6M-6.4% | N/A | $33.9M+25.5% | $31.7M+5.9% | $22.3M+1.9% | N/A | $27.0M+106.9% | $29.9M+64.1% |
| Capital Expenditures | $15.9M+2.7% | $17.8M+76.7% | $4.7M-47.1% | $15.5M+28.8% | $11.3M+289.6% | $10.1M+336.4% | $8.9M+265.8% | $12.0M+1586.8% |
| Free Cash Flow | $105.2M-38.6% | $153.6M-32.4% | $118.5M-12.1% | $171.4M+20.9% | $70.1M-40.6% | $227.2M+108.1% | $134.9M+116.3% | $141.8M+441.2% |
| Investing Cash Flow | -$21.9M+50.7% | -$28.6M-62.4% | -$15.8M-76.7% | -$44.5M+4.4% | -$98.1M+13.3% | -$17.6M-525.6% | -$8.9M-265.8% | -$46.5M-6433.7% |
| Financing Cash Flow | $19.8M+148.8% | -$520K+99.6% | -$197K+93.9% | -$40.5M-134.6% | -$6.0M+40.3% | -$147.2M-5917.5% | -$3.2M+95.2% | -$17.3M-106.4% |
| Share Buybacks | N/A | N/A | N/A | N/A | N/A | $0-100.0% | $0 | N/A |
Not reported in any period shown, so not listed: Dividends Paid.
NXT 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 | Q2'2710-Q | Q4'2610-Q | Q3'2610-Q | Q2'2610-Q | Q1'2610-Q | Q4'2510-K | Q3'2510-Q | Q2'2510-Q |
|---|---|---|---|---|---|---|---|---|
| Gross Margin | 35.9%+3.6pp | 33.8%+0.7pp | 31.7%-3.8pp | 32.4%-3.0pp | 32.6%-0.4pp | 33.1%-13.2pp | 35.5%+5.9pp | 35.4%+9.4pp |
| Operating Margin | 20.4%+0.4pp | 17.4%-3.7pp | 19.4%-2.7pp | 20.0%-1.0pp | 21.6%-0.7pp | 21.1%-15.6pp | 22.1%+1.2pp | 21.0%+4.6pp |
| Net Margin | 17.7%+1.5pp | 17.1%-0.7pp | 14.4%-2.5pp | 16.2%-1.9pp | 18.2%+1.3pp | 17.8%-35.8pp | 17.0%+11.1pp | 18.2%+11.3pp |
| Return on Equity | 6.5%-0.9pp | 6.5%-3.7pp | 6.1%-2.0pp | 7.4%-1.6pp | 8.7%-2.2pp | 10.1%-29.7pp | 8.1% | 9.0% |
| Return on Assets | 3.9%-0.1pp | 3.7%-1.5pp | 3.5%-0.4pp | 4.0%-0.2pp | 4.6%0.0pp | 5.2%-10.5pp | 3.9%+1.9pp | 4.2%+2.2pp |
| Current Ratio | 2.69+0.5x | 2.45+0.4x | 2.36+0.2x | 2.180.0x | 2.160.0x | 2.09+0.1x | 2.20+0.3x | 2.21+0.5x |
| Debt-to-Equity | 0.67-0.2x | 0.74+0.7x | 0.77+0.7x | 0.85+0.7x | 0.88+0.7x | 0.00-0.1x | 0.10 | 0.11 |
| Asset Turnover | 0.220.0x | 0.22-0.1x | 0.240.0x | 0.250.0x | 0.250.0x | 0.290.0x | 0.23-0.1x | 0.23-0.1x |
| FCF Margin | 11.3%-7.7pp | 17.4%-7.1pp | 13.0%-6.8pp | 18.9%-3.4pp | 8.1%-8.3pp | 24.6%+9.8pp | 19.9%+11.1pp | 22.3%+17.7pp |
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 |
|---|---|---|---|---|---|---|
| Nextpower Inc. NXT | FY2026 | $3.6B | $585.9M | 16.5% | $12.8B | 75/100 |
| First Solar, Inc. FSLR | FY2025 | $5.2B | $1.5B | 29.3% | $18.8B | 75/100 |
| Enphase Energy, Inc. ENPH | FY2025 | $1.5B | $172.1M | 11.7% | $4.4B | 56/100 |
| Sunrun Inc RUN | FY2025 | $3.0B | $450K | 0.0% | $1.9B | 30/100 |
| Aurora Innovation, Inc. AUR | FY2025 | $3.0M | -$816.0M | N/A | $11.4B | 56/100 |
| Procore Technologies, Inc. PCOR | FY2025 | $1.3B | -$101.0M | -7.6% | $7.7B | 51/100 |
Where Nextpower Inc. Ranks
Frequently Asked Questions
What is Nextpower Inc.'s annual revenue?
Nextpower Inc. (NXT) reported $3.6B in total revenue for fiscal year 2026. This represents a 20.3% 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 Nextpower Inc.'s revenue growing?
Nextpower Inc. (NXT) revenue grew by 20.3% year-over-year, from $3.0B to $3.6B in fiscal year 2026.
Is Nextpower Inc. profitable?
Yes, Nextpower Inc. (NXT) reported a net income of $585.9M in fiscal year 2026, with a net profit margin of 16.5%.
What is Nextpower Inc.'s EBITDA?
Nextpower Inc. (NXT) had EBITDA of $727.9M in fiscal year 2026, measuring earnings before interest, taxes, depreciation, and amortization.
What is Nextpower Inc.'s gross margin?
Nextpower Inc. (NXT) had a gross margin of 32.6% in fiscal year 2026, indicating the percentage of revenue retained after direct costs of goods sold.
What is Nextpower Inc.'s operating margin?
Nextpower Inc. (NXT) had an operating margin of 19.6% in fiscal year 2026, reflecting the profitability of core business operations before interest and taxes.
What is Nextpower Inc.'s net profit margin?
Nextpower Inc. (NXT) had a net profit margin of 16.5% in fiscal year 2026, representing the share of revenue converted into profit after all expenses.
What is Nextpower Inc.'s return on equity (ROE)?
Nextpower Inc. (NXT) has a return on equity of 25.1% for fiscal year 2026, measuring how efficiently the company generates profit from shareholder equity.
What is Nextpower Inc.'s free cash flow?
Nextpower Inc. (NXT) generated $513.6M in free cash flow during fiscal year 2026. This represents a -17.4% 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 Nextpower Inc.'s operating cash flow?
Nextpower Inc. (NXT) generated $562.9M in operating cash flow during fiscal year 2026, representing cash generated from core business activities.
What are Nextpower Inc.'s total assets?
Nextpower Inc. (NXT) had $4.1B in total assets as of fiscal year 2026, including both current and long-term assets.
What are Nextpower Inc.'s capital expenditures?
Nextpower Inc. (NXT) invested $49.3M in capital expenditures during fiscal year 2026, funding long-term assets and infrastructure.
How much does Nextpower Inc. spend on research and development?
Nextpower Inc. (NXT) invested $120.9M in research and development during fiscal year 2026.
What is Nextpower Inc.'s current ratio?
Nextpower Inc. (NXT) had a current ratio of 2.45 as of fiscal year 2026, which is generally considered healthy.
What is Nextpower Inc.'s debt-to-equity ratio?
Nextpower Inc. (NXT) had a debt-to-equity ratio of 0.74 as of fiscal year 2026, measuring the company's financial leverage by comparing total debt to shareholder equity.
What is Nextpower Inc.'s return on assets (ROA)?
Nextpower Inc. (NXT) had a return on assets of 14.4% for fiscal year 2026, measuring how efficiently the company uses its assets to generate profit.
What is Nextpower Inc.'s P/E ratio?
Nextpower Inc. (NXT) trades at 21.5x earnings, its market capitalization divided by net income of $594.1M net income, trailing 12 months to July 3, 2026. The market capitalization is $12.8B as of Oct 5, 2026; a multiple compares that price with a filed figure and says nothing about the quality of the business.
What is Nextpower Inc.'s price-to-sales ratio?
Nextpower Inc. (NXT) trades at 3.5x sales, its market capitalization divided by revenue of $3.6B revenue, trailing 12 months to July 3, 2026. The market capitalization is $12.8B as of Oct 5, 2026; a multiple compares that price with a filed figure and says nothing about the quality of the business.
What is Nextpower Inc.'s Altman Z-Score?
Nextpower Inc. (NXT) has an Altman Z-Score of 5.67, 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 Nextpower Inc.'s Piotroski F-Score?
Nextpower Inc. (NXT) has a Piotroski F-Score of 3 out of 7 computable signals; 2 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 Nextpower Inc.'s earnings high quality?
Nextpower Inc. (NXT) has an earnings quality ratio of 0.96x, 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 Nextpower Inc. cover its interest payments?
Nextpower Inc. (NXT) has an interest coverage ratio of 265.83x, 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 Nextpower Inc.?
Nextpower Inc. (NXT) scores 75 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.