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 21, 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 6, 2026. Each column of the statement tables below links to the filing it was taken from, and every filing is listed on the PRTH SEC filings page.
Priority Technology Holdings, Inc. (PRTH) reported $1.0B in revenue over the twelve months to Jun 30, 2026, up 8.9% from the prior twelve months. This page shows its income statement, balance sheet, cash flow statement, and key financial ratios. View 10 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).
Growth is improving profitability and cash generation, while the balance sheet remains liability-funded despite negative equity.
The business widened its operating margin from8.5% in FY2022 to14.8% in FY2025, showing that more revenue is reaching operations. Net margin remained negative through FY2023 before reaching5.8% in FY2025, so operating improvements are not flowing one-for-one into bottom-line results.
FY2025 operating cash flow of
FY2025 liabilities exceeded assets—
Financial Health Signals
Scored against operating companies for FY2025. Each of the six dimensions is a percentile rank within that peer group, and the overall is the average of the dimensions that can be computed. 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 Priority Technology Holdings, 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.
Priority Technology Holdings, Inc. has an operating margin of 14.8%, meaning the company retains $15 of operating profit per $100 of revenue. This strong profitability earns a score of 70/100, reflecting efficient cost management and pricing power. This is down from 15.2% the prior year.
Priority Technology Holdings, Inc.'s revenue grew 8.3% year-over-year to $953.0M, a solid pace of expansion. This earns a growth score of 70/100.
Priority Technology Holdings, Inc.'s current ratio of 1.07 is below the typical benchmark, resulting in a score of 23/100. This tight liquidity could limit financial flexibility if cash inflows slow.
Priority Technology Holdings, Inc. has a free cash flow margin of 7.9%, earning a moderate score of 58/100. The company generates positive cash flow after capital investments, but with room for improvement.
Priority Technology Holdings, Inc. scores 0.75, below the 1.81 distress threshold. The score is pulled down most by an accumulated deficit of $91.5M against total assets of $2.4B. 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.
Priority Technology Holdings, Inc. passes 7 of 9 financial strength tests. All 4 profitability signals pass (positive income, cash flow, and earnings quality), 2 of 3 leverage/liquidity signals pass, 1 of 2 operating efficiency signals passes.
For every $1 of reported earnings, Priority Technology Holdings, Inc. generates $1.80 in operating cash flow ($100.0M OCF vs $55.7M net income). This indicates profits are well-supported by actual cash generation, not accounting adjustments.
Priority Technology Holdings, Inc. earns $1.56 in operating income for every $1 of interest expense ($141.2M vs $90.7M). This narrow margin raises concern about the company's ability to service its debt if operating income declines.
Key Financial Metrics
Earnings & Revenue
Priority Technology Holdings, Inc. generated $262.3M in revenue in Q2 2026. This represents an increase of 9.4% from the same quarter a year earlier. Against the prior quarter it is up 5.1%.
Priority Technology Holdings, Inc.'s EBITDA was $53.9M in Q2 2026, measuring earnings before interest, taxes, depreciation, and amortization. This represents an increase of 4.8% from the same quarter a year earlier. Against the prior quarter it is up 5.7%.
Priority Technology Holdings, Inc. reported $9.9M in net income in Q2 2026. This represents a decrease of 9.3% from the same quarter a year earlier. Against the prior quarter it is up 1.1%.
Priority Technology Holdings, Inc. earned $0.12 per diluted share (EPS) in Q2 2026. This represents a decrease of 14.3% from the same quarter a year earlier. It is unchanged from the prior quarter.
Cash & Balance Sheet
Priority Technology Holdings, Inc. generated $24.4M in free cash flow in Q2 2026, representing cash available after capex. This represents an increase of 164.5% from the same quarter a year earlier. Against the prior quarter it is up 33.3%.
Priority Technology Holdings, Inc. held $120.3M in cash against $1.0B in long-term debt as of Q2 2026.
Not reported for Q2 2026.
Margins & Returns
Priority Technology Holdings, Inc.'s gross margin was 38.1% in Q2 2026, indicating the percentage of revenue retained after direct costs. This is down 0.5 percentage points from the same quarter a year earlier. Against the prior quarter it is down 1.5 percentage points.
Priority Technology Holdings, Inc.'s operating margin was 12.6% in Q2 2026, reflecting core business profitability. This is down 3.0 percentage points from the same quarter a year earlier. Against the prior quarter it is down 0.8 percentage points.
Priority Technology Holdings, Inc.'s net profit margin was 3.8% in Q2 2026, showing the share of revenue converted to profit. This is down 0.8 percentage points from the same quarter a year earlier. Against the prior quarter it is down 0.2 percentage points.
Not reported for Q2 2026.
Capital Allocation
Priority Technology Holdings, Inc. invested $7.1M in capex in Q2 2026, funding long-term assets and infrastructure. This represents a decrease of 10.2% from the same quarter a year earlier. Against the prior quarter it is up 28.4%.
Not reported for Q2 2026.
Not reported for Q2 2026.
PRTH 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-K | Q3'2510-Q | Q2'2510-Q | Q1'2510-Q | Q4'2410-K | Q3'2410-Q |
|---|---|---|---|---|---|---|---|---|
| Revenue | $262.3M+9.4% | $249.6M+11.1% | $247.1M+8.8% | $241.4M+6.3% | $239.8M+9.1% | $224.6M+9.2% | $227.1M+13.9% | $227.0M+20.1% |
| Cost of Revenue | $162.4M+10.1% | $150.8M+9.8% | $146.9M+2.6% | $146.7M+4.0% | $147.4M+6.7% | $137.4M+6.2% | $143.1M+13.3% | $141.1M+20.9% |
| Gross Profit | $99.9M+8.1% | $98.8M+13.2% | $100.2M+19.4% | $94.8M+10.2% | $92.4M+13.0% | $87.3M+14.2% | $83.9M+15.1% | $86.0M+18.9% |
| SG&A Expenses | $16.8M+20.8% | $19.2M+27.4% | $17.7M+38.8% | $15.7M+26.7% | $13.9M+24.1% | $15.1M+37.3% | $12.8M-9.2% | $12.4M+8.7% |
| Operating Income | $33.0M-11.5% | $33.4M+2.3% | $33.5M-1.9% | $37.8M-0.8% | $37.4M+12.6% | $32.6M+16.4% | $34.1M+54.9% | $38.1M+62.0% |
| EBITDA | $53.9M+4.8% | $51.0M+9.9% | $53.7M+12.0% | $52.9M+2.1% | $51.4M+6.2% | $46.4M+7.2% | $48.0M+29.1% | $51.8M+27.1% |
| Interest Expense | $21.1M-8.7% | $21.0M-9.3% | $22.0M-5.0% | $22.5M-3.4% | $23.1M+6.2% | $23.2M+11.0% | $23.1M+11.9% | $23.2M+16.2% |
| Income Tax | $3.8M-14.7% | $3.6M+62.0% | $4.1M+26.2% | -$20.2M-512.3% | $4.4M+75.9% | $2.3M-12.9% | $3.3M+70.9% | $4.9M+13.2% |
| Net Income | $9.9M-9.3% | $9.8M+18.0% | $8.9M-79.8% | $27.6M+402.8% | $10.9Mn/m | $8.3Mn/m | $44.2M+25.8% | $5.5Mn/m |
| EPS (Basic) | $0.12-14.3% | $0.12+20.0% | $0.11n/m | $0.34+385.7% | $0.14n/m | $0.10n/m | -$0.05n/m | $0.07n/m |
| EPS (Diluted) | $0.12-14.3% | $0.12+20.0% | $0.10n/m | $0.34+385.7% | $0.14n/m | $0.10n/m | -$0.05n/m | $0.07n/m |
| Diluted Shares (Avg) | 84M+5.0% | 84M+4.7% | N/A | 81M+1.3% | 80M+2.7% | 80M+2.4% | N/A | 80M+2.2% |
Not reported in any period shown, so not listed: R&D Expenses.
PRTH 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-K | Q3'2510-Q | Q2'2510-Q | Q1'2510-Q | Q4'2410-K | Q3'2410-Q |
|---|---|---|---|---|---|---|---|---|
| Total Assets | $2.5B+23.1% | $2.5B+30.4% | $2.4B+31.3% | $2.2B+26.0% | $2.0B+21.2% | $1.9B+17.5% | $1.8B+13.1% | $1.8B+12.6% |
| Current Assets | $1.6B+25.1% | $1.6B+36.1% | $1.5B+37.1% | $1.4B+34.8% | $1.3B+39.4% | $1.2B+32.0% | $1.1B+25.4% | $1.0B+24.5% |
| Cash & Equivalents | $120.3M+137.8% | $92.2M+93.6% | $77.2M+31.7% | $57.0M+38.7% | $50.6M+46.0% | $47.6M+38.8% | $58.6M+48.0% | $41.1M+67.0% |
| Short-Term Investments | $0n/m | $0n/m | $0n/m | $0n/m | $0n/m | $0n/m | $0n/m | $0n/m |
| Inventory | N/A | N/A | $8.1M+5.2% | N/A | N/A | N/A | $7.7M | N/A |
| Accounts Receivable | $93.1M+8.2% | $88.5M+10.3% | $91.3M+34.3% | $92.4M+25.9% | $86.0M+30.9% | $80.3M+19.6% | $68.0M+16.1% | $73.4M+20.1% |
| Long-Term Investments | $0n/m | $0n/m | $0n/m | $0n/m | $0n/m | $0n/m | $0n/m | $0n/m |
| Goodwill | $416.4M+8.9% | $416.5M+7.7% | $416.6M+10.8% | $382.4M+1.7% | $382.5M+1.7% | $386.8M+2.8% | $376.1M0.0% | $376.1M+0.1% |
| Total Liabilities | $2.6B+18.2% | $2.5B+24.4% | $2.5B+25.1% | $2.3B+27.9% | $2.2B+24.9% | $2.0B+36.7% | $2.0B+32.5% | $1.8B+25.8% |
| Current Liabilities | $1.5B+20.5% | $1.5B+32.6% | $1.4B+34.1% | $1.3B+31.6% | $1.2B+34.6% | $1.1B+29.7% | $1.1B+23.4% | $991.2M+22.4% |
| Non-Current Liabilities | $1.1B+15.2% | $1.1B+14.9% | $1.1B+15.0% | $1.0B+23.4% | $942.4M+14.3% | $945.4M+45.9% | $940.2M+44.5% | $827.3M+30.2% |
| Long-Term Debt | $1.0B+13.9% | $1.0B+13.8% | $1.0B+12.9% | $997.5M+23.4% | $917.0M+13.3% | $918.9M+45.6% | $920.9M+45.7% | $808.1M+31.0% |
| Total Equity | -$79.2Mn/m | -$89.9Mn/m | -$100.4Mn/m | -$110.3Mn/m | -$146.1Mn/m | -$158.3Mn/m | -$166.8Mn/m | -$165.8Mn/m |
| Retained Earnings | -$71.8Mn/m | -$81.7Mn/m | -$91.5Mn/m | -$100.4Mn/m | -$128.0Mn/m | -$138.9Mn/m | -$147.1Mn/m | -$146.6Mn/m |
PRTH 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-K | Q3'2510-Q | Q2'2510-Q | Q1'2510-Q | Q4'2410-K | Q3'2410-Q |
|---|---|---|---|---|---|---|---|---|
| Operating Cash Flow | $31.5M+84.0% | $23.8M+139.4% | $36.8M+55.1% | $36.1M+81.8% | $17.1M-40.3% | $10.0M-25.2% | $23.8M+177.0% | $19.8M-23.1% |
| Depreciation & Amortization | $20.9M+48.3% | $17.6M+27.9% | $20.2M+46.2% | $15.1M+10.1% | $14.1M-7.6% | $13.8M-9.7% | $13.8M-8.5% | $13.7M-20.5% |
| Stock-Based Compensation | $2.3M-28.8% | $2.1M+31.7% | N/A | $2.3M+64.3% | $3.2M+75.3% | $1.6M-2.9% | N/A | $1.4M-5.7% |
| Capital Expenditures | $7.1M-10.2% | $5.5M+8.4% | $6.0M+28.5% | $6.0M+12.0% | $7.9M+54.5% | $5.1M-22.9% | $4.6M-22.4% | $5.3M-1.4% |
| Free Cash Flow | $24.4M+164.5% | $18.3M+276.8% | $30.9M+61.6% | $30.1M+107.4% | $9.2M-60.9% | $4.9M-27.4% | $19.1M+638.3% | $14.5M-28.9% |
| Investing Cash Flow | -$214.4Mn/m | $11.4Mn/m | -$22.1Mn/m | -$130.8Mn/m | -$11.4Mn/m | -$9.7Mn/m | -$10.8Mn/m | -$4.1Mn/m |
| Financing Cash Flow | $12.6M-90.4% | $70.6M+49.4% | $137.5M+118.8% | $110.5M+66.1% | $130.8M+360.2% | $47.3Mn/m | $62.9M+18.4% | $66.6M+416.4% |
| Dividends Paid | N/A | N/A | $0-100.0% | $0-100.0% | $0-100.0% | $0-100.0% | $1.5M-77.3% | $5.7Mn/m |
Not reported in any period shown, so not listed: Share Buybacks.
PRTH 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-K | Q3'2510-Q | Q2'2510-Q | Q1'2510-Q | Q4'2410-K | Q3'2410-Q |
|---|---|---|---|---|---|---|---|---|
| Gross Margin | 38.1%-0.5pp | 39.6%+0.7pp | 40.6%+3.6pp | 39.3%+1.4pp | 38.5%+1.4pp | 38.9%+1.7pp | 37.0%+0.4pp | 37.9%-0.4pp |
| Operating Margin | 12.6%-3.0pp | 13.4%-1.1pp | 13.6%-1.5pp | 15.6%-1.1pp | 15.6%+0.5pp | 14.5%+0.9pp | 15.0%+4.0pp | 16.8%+4.3pp |
| Net Margin | 3.8%-0.8pp | 3.9%+0.2pp | 3.6%-15.8pp | 11.4%+9.0pp | 4.5%+12.6pp | 3.7%+7.6pp | 19.5%+1.8pp | 2.4%+8.9pp |
| Return on Assets | 0.4%-0.1pp | 0.4%0.0pp | 0.4%-2.0pp | 1.2%+0.9pp | 0.5%+1.6pp | 0.4%+0.9pp | 2.4%+0.2pp | 0.3%+1.1pp |
| Current Ratio | 1.100.0x | 1.080.0x | 1.070.0x | 1.060.0x | 1.060.0x | 1.060.0x | 1.050.0x | 1.040.0x |
| Asset Turnover | 0.110.0x | 0.100.0x | 0.100.0x | 0.110.0x | 0.120.0x | 0.120.0x | 0.120.0x | 0.130.0x |
| FCF Margin | 9.3%+5.5pp | 7.3%+5.2pp | 12.5%+4.1pp | 12.5%+6.1pp | 3.9%-6.9pp | 2.2%-1.1pp | 8.4%+7.1pp | 6.4%-4.4pp |
Not reported in any period shown, so not listed: Return on Equity, Debt-to-Equity, Liabilities-to-Equity.
Note: Shareholder equity is negative (-$100.4M), which causes the debt-to-equity, liabilities-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 |
|---|---|---|---|---|---|---|
| Priority Technology Holdings, Inc. PRTH | FY2025 | $953.0M | $55.7M | 5.8% | $644.9M | 51/100 |
| Repay Holdings Corporation RPAY | FY2025 | $309.3M | -$256.7M | -83.0% | $366.8M | 40/100 |
| Cognyte Software Ltd. CGNT | FY2025 | $400.0M | -$638K | -0.2% | $689.0M | 63/100 |
| OneSpan Inc. OSPN | FY2025 | $243.2M | $72.9M | 30.0% | $695.4M | 53/100 |
| Endava plc DAVA | FY2025 | $1.1B | $29.1M | 2.8% | $113.1M | 45/100 |
Where Priority Technology Holdings, Inc. Ranks
Frequently Asked Questions
What is Priority Technology Holdings, Inc.'s annual revenue?
Priority Technology Holdings, Inc. (PRTH) reported $953.0M in total revenue for fiscal year 2025. This represents a 8.3% 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 Priority Technology Holdings, Inc.'s revenue growing?
Priority Technology Holdings, Inc. (PRTH) revenue grew by 8.3% year-over-year, from $879.7M to $953.0M in fiscal year 2025.
Is Priority Technology Holdings, Inc. profitable?
Yes, Priority Technology Holdings, Inc. (PRTH) reported a net income of $56.2M over the trailing 12 months to June 30, 2026. In fiscal year 2025 it reported a net income of $55.7M, with a net profit margin of 5.8%.
What is Priority Technology Holdings, Inc.'s EBITDA?
Priority Technology Holdings, Inc. (PRTH) had EBITDA of $204.4M in fiscal year 2025, measuring earnings before interest, taxes, depreciation, and amortization.
How much debt does Priority Technology Holdings, Inc. have?
As of fiscal year 2025, Priority Technology Holdings, Inc. (PRTH) had $77.2M in cash and equivalents against $1.0B in long-term debt.
What is Priority Technology Holdings, Inc.'s gross margin?
Priority Technology Holdings, Inc. (PRTH) had a gross margin of 39.3% in fiscal year 2025, indicating the percentage of revenue retained after direct costs of goods sold.
What is Priority Technology Holdings, Inc.'s operating margin?
Priority Technology Holdings, Inc. (PRTH) had an operating margin of 14.8% in fiscal year 2025, reflecting the profitability of core business operations before interest and taxes.
What is Priority Technology Holdings, Inc.'s net profit margin?
Priority Technology Holdings, Inc. (PRTH) had a net profit margin of 5.8% in fiscal year 2025, representing the share of revenue converted into profit after all expenses.
What is Priority Technology Holdings, Inc.'s free cash flow?
Priority Technology Holdings, Inc. (PRTH) generated $75.1M in free cash flow during fiscal year 2025. This represents a 17.5% 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 Priority Technology Holdings, Inc.'s operating cash flow?
Priority Technology Holdings, Inc. (PRTH) generated $100.0M in operating cash flow during fiscal year 2025, representing cash generated from core business activities.
What are Priority Technology Holdings, Inc.'s total assets?
Priority Technology Holdings, Inc. (PRTH) had $2.4B in total assets as of fiscal year 2025, including both current and long-term assets.
What are Priority Technology Holdings, Inc.'s capital expenditures?
Priority Technology Holdings, Inc. (PRTH) invested $24.9M in capital expenditures during fiscal year 2025, funding long-term assets and infrastructure.
What is Priority Technology Holdings, Inc.'s current ratio?
Priority Technology Holdings, Inc. (PRTH) had a current ratio of 1.07 as of fiscal year 2025, which is considered adequate.
What is Priority Technology Holdings, Inc.'s return on assets (ROA)?
Priority Technology Holdings, Inc. (PRTH) had a return on assets of 2.3% for fiscal year 2025, measuring how efficiently the company uses its assets to generate profit.
What is Priority Technology Holdings, Inc.'s P/E ratio?
Priority Technology Holdings, Inc. (PRTH) trades at 11.5x earnings, its market capitalization divided by $56.2M net income, trailing 12 months to June 30, 2026. The market capitalization is $644.9M as of Oct 21, 2026; a multiple compares that price with a filed figure and says nothing about the quality of the business.
What is Priority Technology Holdings, Inc.'s price-to-sales ratio?
Priority Technology Holdings, Inc. (PRTH) trades at 0.6x sales, its market capitalization divided by $1.0B revenue, trailing 12 months to June 30, 2026. The market capitalization is $644.9M as of Oct 21, 2026; a multiple compares that price with a filed figure and says nothing about the quality of the business.
Why is Priority Technology Holdings, Inc.'s debt-to-equity ratio negative or not reported?
Priority Technology Holdings, Inc. (PRTH) has negative shareholder equity of -$100.4M as of fiscal year 2025, so no debt-to-equity or liabilities-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 Priority Technology Holdings, Inc.'s Altman Z-Score?
Priority Technology Holdings, Inc. (PRTH) has an Altman Z-Score of 0.75, 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 Priority Technology Holdings, Inc.'s Piotroski F-Score?
Priority Technology Holdings, Inc. (PRTH) has a Piotroski F-Score of 7 out of 9, indicating strong 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 Priority Technology Holdings, Inc.'s earnings high quality?
Priority Technology Holdings, Inc. (PRTH) has an earnings quality ratio of 1.80x, 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 Priority Technology Holdings, Inc. cover its interest payments?
Priority Technology Holdings, Inc. (PRTH) has an interest coverage ratio of 1.56x, 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 Priority Technology Holdings, Inc.?
Priority Technology Holdings, Inc. (PRTH) scores 51 out of 100 on our Financial Health Score, indicating moderate standing within its operating companies peer group. The score is the average 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.