Staar Surgical Co (STAA) 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 6, 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 12, 2026. Each column of the statement tables below links to the filing it was taken from, and every filing is listed on the STAA SEC filings page.
Staar Surgical Co (STAA) reported $339.6M in revenue over the twelve months to Jul 3, 2026, up 51.3% from the prior twelve months. This page shows its income statement, balance sheet, cash flow statement, and key financial ratios. View 15 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).
STAAR’s recent pressure is below gross profit: revenue contracted while operating costs rose, turning a high-margin model sharply unprofitable.
Gross margin held at76.2% in FY2025 versus76.3% in FY2024, so deterioration was not primarily in production economics. Meanwhile, SG&A reached$274M while revenue was$239M , revealing a cost base that did not flex down with demand.
FY2024 combined a net loss of
FY2025 liabilities of
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 Staar Surgical Co'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.
Staar Surgical Co has an operating margin of -38.3%, meaning the company loses $38 on every $100 of revenue. This results in a profitability score of 9/100. This is down from -4.0% the prior year.
Staar Surgical Co's revenue declined 23.7% year-over-year, from $313.9M to $239.4M. This contraction results in a growth score of 6/100.
Staar Surgical Co carries a low D/E ratio of 0.31, meaning only $0.31 of long-term debt for every $1 of shareholders' equity. This conservative leverage earns a score of 69/100, indicating a strong balance sheet with room for future borrowing.
With a current ratio of 4.55, Staar Surgical Co holds $4.55 in current assets for every $1 of short-term obligations. This comfortable liquidity earns a score of 90/100.
Staar Surgical Co's operations used $34.2M of cash, and capex of $5.8M added to the outflow, for a free cash flow shortfall of $40.0M. This results in a cash flow score of 13/100.
Staar Surgical Co posts a -23.4% return on equity (ROE), meaning it loses $23 for every $100 of shareholders' equity. This results in a returns score of 12/100. This is down from -5.1% the prior year.
Staar Surgical Co scores 6.36, well above the 2.99 safe threshold. The score is driven primarily by a large market capitalization ($1.1B) relative to total liabilities ($107.5M). 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.
Staar Surgical Co passes 1 of 8 computable financial strength tests (1 of the nine could not be computed from available data). 1 of 4 profitability signals pass, no leverage/liquidity signals pass (rising debt, declining liquidity, or share dilution), neither operating efficiency signal passes.
Staar Surgical Co reported a net loss of $80.4M while operations used $34.2M of cash. With neither figure positive, the ratio between the two carries no quality signal.
Key Financial Metrics
Earnings & Revenue
Staar Surgical Co generated $93.5M in revenue in Q2 2027. This represents an increase of 111.0% from the same quarter a year earlier. It is unchanged from the prior quarter.
Staar Surgical Co's EBITDA was $12.5M in Q2 2027, measuring earnings before interest, taxes, depreciation, and amortization. This represents an increase of 144.6% from the same quarter a year earlier. Against the prior quarter it is up 23.8%.
Staar Surgical Co reported $8.1M in net income in Q2 2027. This represents an increase of 147.9% from the same quarter a year earlier. Against the prior quarter it is up 54.8%.
Staar Surgical Co earned $0.16 per diluted share (EPS) in Q2 2027. This represents an increase of 147.1% from the same quarter a year earlier. Against the prior quarter it is up 60.0%.
Cash & Balance Sheet
Staar Surgical Co generated $19.2M in free cash flow in Q2 2027, representing cash available after capex. This represents an increase of 166.1% from the same quarter a year earlier. Against the prior quarter it is up 186.7%.
Staar Surgical Co held $148.6M in cash as of Q2 2027; long-term debt is not reported for that period.
Not reported for Q2 2027.
Margins & Returns
Staar Surgical Co's gross margin was 74.6% in Q2 2027, indicating the percentage of revenue retained after direct costs. This is up 0.6 percentage points from the same quarter a year earlier. Against the prior quarter it is up 0.9 percentage points.
Staar Surgical Co's operating margin was 10.8% in Q2 2027, reflecting core business profitability. This is up 78.4 percentage points from the same quarter a year earlier. Against the prior quarter it is up 2.3 percentage points.
Staar Surgical Co's net profit margin was 8.6% in Q2 2027, showing the share of revenue converted to profit. This is up 46.5 percentage points from the same quarter a year earlier. Against the prior quarter it is up 3.0 percentage points.
Staar Surgical Co's ROE was 2.2% in Q2 2027, measuring profit generated per dollar of shareholder equity. This is up 7.2 percentage points from the same quarter a year earlier. Against the prior quarter it is up 0.7 percentage points.
Capital Allocation
Staar Surgical Co invested $9.9M in research and development in Q2 2027. This represents a decrease of 3.1% from the same quarter a year earlier. Against the prior quarter it is up 0.2%.
Staar Surgical Co invested $494K in capex in Q2 2027, funding long-term assets and infrastructure. This represents a decrease of 72.4% from the same quarter a year earlier. Against the prior quarter it is up 11.5%.
Not reported for Q2 2027.
STAA 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 | Q1'2710-Q | Q4'2610-Q | Q3'2610-Q | Q2'2610-Q | Q1'2610-Q | Q4'2510-K | Q3'2510-Q |
|---|---|---|---|---|---|---|---|---|
| Revenue | $93.5M+111.0% | $93.5M+119.6% | $57.8M+18.1% | $94.7M+6.9% | $44.3M-55.2% | $42.6M-44.9% | $49.0M-35.8% | $88.6M+10.3% |
| Cost of Revenue | $23.8M+106.6% | $24.7M+69.1% | $14.1M-18.7% | $16.9M-16.1% | $11.5M-44.1% | $14.6M-10.6% | $17.3M+11.3% | $20.1M+20.6% |
| Gross Profit | $69.7M+112.6% | $68.9M+145.9% | $43.7M+38.2% | $77.9M+13.7% | $32.8M-58.2% | $28.0M-54.1% | $31.6M-47.9% | $68.5M+7.6% |
| R&D Expenses | $9.9M-3.1% | $9.9M-12.5% | $9.2M+18.2% | $9.2M-24.8% | $10.3M-13.5% | $11.3M-15.3% | $7.8M+12.6% | $12.2M+6.8% |
| SG&A Expenses | $59.6M-5.0% | $60.9M-28.7% | $66.6M+11.8% | $59.4M-5.4% | $62.8M-5.6% | $85.4M+34.9% | $59.6M+18.4% | $62.8M+9.5% |
| Operating Income | $10.1M+133.7% | $8.0M+113.9% | -$22.8M+18.2% | $18.5M+225.4% | -$30.0M-351.8% | -$57.4M-2416.5% | -$27.9M-368.2% | $5.7M-9.7% |
| EBITDA | $12.5M+144.6% | $10.1M+118.3% | -$20.8M+18.3% | $20.5M+174.1% | -$28.0M-308.0% | -$55.1M-5368.1% | -$25.5M-318.8% | $7.5M-2.6% |
| Income Tax | $3.0M+132.6% | $3.0M+1195.3% | -$2.3M-160.2% | $9.9M+211.6% | -$9.1M-408.1% | -$275K-124.4% | $3.9M-34.9% | $3.2M+64.8% |
| Net Income | $8.1M+147.9% | $5.2M+109.6% | -$18.3M+46.5% | $8.9M-11.0% | -$16.8M-327.8% | -$54.2M-1523.6% | -$34.2M-541.3% | $10.0M+107.2% |
| EPS (Basic) | $0.16+147.1% | $0.10+109.1% | -$0.36+48.6% | $0.18-10.0% | -$0.34-326.7% | -$1.10-1471.4% | -$0.70-537.5% | $0.20+100.0% |
| EPS (Diluted) | $0.16+147.1% | $0.10+109.1% | -$0.36+47.8% | $0.18-10.0% | -$0.34-326.7% | -$1.10-1471.4% | -$0.69-531.3% | $0.20+100.0% |
| Diluted Shares (Avg) | 52M+4.0% | 51M+3.2% | N/A | 51M+1.6% | 50M-0.6% | 49M+0.9% | N/A | 50M+0.7% |
Not reported in any period shown, so not listed: Interest Expense.
STAA 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 | Q1'2710-Q | Q4'2610-Q | Q3'2610-Q | Q2'2610-Q | Q1'2610-Q | Q4'2510-K | Q3'2510-Q |
|---|---|---|---|---|---|---|---|---|
| Total Assets | $475.2M+8.5% | $451.1M-1.4% | $451.7M-11.4% | $456.4M-15.1% | $437.8M-14.6% | $457.4M-7.1% | $509.5M+4.3% | $537.6M+14.0% |
| Current Assets | $342.4M+16.9% | $312.4M-4.3% | $311.5M-15.3% | $321.2M-19.1% | $292.8M-23.7% | $326.5M-10.7% | $367.9M+0.7% | $397.1M+14.4% |
| Cash & Equivalents | $148.6M-11.1% | $131.9M-23.8% | $153.2M+6.2% | $176.2M+7.4% | $167.1M-13.3% | $173.1M-22.7% | $144.2M-21.2% | $164.0M+28.7% |
| Short-Term Investments | $32.9M+44.6% | $32.0M-35.5% | $34.4M-60.2% | $16.5M-77.1% | $22.8M-46.4% | $49.6M+135.0% | $86.3M+129.1% | $72.0M+18.6% |
| Inventory | $31.2M-9.2% | $35.0M+16.5% | $39.7M+48.5% | $34.9M+46.0% | $34.4M+37.3% | $30.0M+17.1% | $26.7M+15.4% | $23.9M+26.2% |
| Accounts Receivable | $98.5M+185.9% | $81.2M+103.2% | $50.1M-35.7% | $60.1M-42.5% | $34.4M-63.3% | $39.9M-38.2% | $77.9M-17.7% | $104.5M-7.0% |
| Long-Term Investments | $0 | $0 | $0 | $0 | $0-100.0% | $0-100.0% | $0-100.0% | $0-100.0% |
| Goodwill | $1.8M0.0% | $1.8M0.0% | $1.8M0.0% | $1.8M0.0% | $1.8M0.0% | $1.8M0.0% | $1.8M0.0% | $1.8M0.0% |
| Total Liabilities | $109.8M+8.5% | $98.8M-8.0% | $107.5M-4.2% | $102.6M-6.3% | $101.2M-2.3% | $107.4M+7.7% | $112.2M+9.2% | $109.5M+17.8% |
| Current Liabilities | $73.4M+23.9% | $61.0M-10.8% | $68.5M-2.6% | $61.6M-7.1% | $59.2M-10.5% | $68.4M+9.1% | $70.3M+8.1% | $66.3M+16.8% |
| Non-Current Liabilities | $36.4M-13.3% | $37.8M-3.3% | $39.0M-6.9% | $40.9M-5.1% | $42.0M+12.0% | $39.0M+5.3% | $41.9M+11.1% | $43.1M+19.3% |
| Total Equity | $365.4M+8.6% | $352.4M+0.7% | $344.2M-13.4% | $353.8M-17.4% | $336.6M-17.7% | $350.0M-10.9% | $397.3M+2.9% | $428.1M+13.1% |
| Retained Earnings | -$134.8M+2.8% | -$142.8M-17.3% | -$148.0M-119.0% | -$129.7M-289.0% | -$138.6M-219.9% | -$121.8M-140.2% | -$67.6M-42.7% | -$33.3M+39.5% |
Not reported in any period shown, so not listed: Long-Term Debt.
STAA 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 | Q1'2710-Q | Q4'2610-Q | Q3'2610-Q | Q2'2610-Q | Q1'2610-Q | Q4'2510-K | Q3'2510-Q |
|---|---|---|---|---|---|---|---|---|
| Operating Cash Flow | $19.7M+172.3% | -$21.7M-278.4% | -$3.9M-709.7% | $2.7M-30.1% | -$27.2M-161.7% | -$5.7M-126.4% | $642K-98.0% | $3.8M+163.9% |
| Depreciation & Amortization | $2.4M+21.0% | $2.1M-9.8% | $2.0M-16.8% | $2.0M+11.5% | $2.0M+26.7% | $2.3M+83.4% | $2.4M+93.1% | $1.8M+29.9% |
| Stock-Based Compensation | $6.6M-15.9% | $4.8M-19.8% | N/A | $8.2M+13.9% | $7.8M-13.7% | $6.0M-5.1% | N/A | $7.2M-19.1% |
| Capital Expenditures | $494K-72.4% | $443K-69.8% | $1.7M-70.7% | $883K-85.8% | $1.8M-71.3% | $1.5M-71.8% | $5.7M+85.4% | $6.2M-32.2% |
| Free Cash Flow | $19.2M+166.1% | -$22.1M-207.4% | -$5.6M-10.0% | $1.8M+173.9% | -$29.0M-74.4% | -$7.2M-143.7% | -$5.1M-117.6% | -$2.4M+84.1% |
| Investing Cash Flow | -$1.4M-105.4% | $2.1M-93.9% | -$19.4M+0.4% | $5.3M+115.0% | $25.1M+221.5% | $35.4M+118.4% | -$19.5M-187.0% | -$35.2M-210.7% |
| Financing Cash Flow | -$1.5M+66.9% | -$1.7M-78.6% | -$50K+54.5% | $983K-39.1% | -$4.5M-2885.3% | -$948K-123.4% | -$110K-130.0% | $1.6M-77.3% |
| Share Buybacks | N/A | N/A | $0 | $2.0M | N/A | N/A | N/A | N/A |
Not reported in any period shown, so not listed: Dividends Paid.
STAA 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 | Q1'2710-Q | Q4'2610-Q | Q3'2610-Q | Q2'2610-Q | Q1'2610-Q | Q4'2510-K | Q3'2510-Q |
|---|---|---|---|---|---|---|---|---|
| Gross Margin | 74.6%+0.6pp | 73.6%+7.9pp | 75.7%+11.0pp | 82.2%+4.9pp | 74.0%-5.2pp | 65.8%-13.1pp | 64.6%-15.0pp | 77.3%-1.9pp |
| Operating Margin | 10.8%+78.4pp | 8.5% | -39.5%+17.5pp | 19.5%+13.1pp | -67.6%-79.6pp | -134.8% | -57.0%-70.7pp | 6.4%-1.4pp |
| Net Margin | 8.6%+46.5pp | 5.6% | -31.7%+38.2pp | 9.4%-1.9pp | -37.9%-45.4pp | -127.3% | -69.9%-80.1pp | 11.3%+5.3pp |
| Return on Equity | 2.2%+7.2pp | 1.5%+17.0pp | -5.3%+3.3pp | 2.5%+0.2pp | -5.0%-6.8pp | -15.5%-14.6pp | -8.6%-10.6pp | 2.3%+1.1pp |
| Return on Assets | 1.7%+5.5pp | 1.1%+13.0pp | -4.0%+2.7pp | 1.9%+0.1pp | -3.8%-5.3pp | -11.8%-11.2pp | -6.7%-8.3pp | 1.9%+0.8pp |
| Current Ratio | 4.66-0.3x | 5.12+0.3x | 4.55-0.7x | 5.21-0.8x | 4.94-0.9x | 4.78-1.1x | 5.23-0.4x | 5.99-0.1x |
| Debt-to-Equity | 0.300.0x | 0.280.0x | 0.310.0x | 0.290.0x | 0.300.0x | 0.31+0.1x | 0.280.0x | 0.260.0x |
| Asset Turnover | 0.20+0.1x | 0.21+0.1x | 0.130.0x | 0.210.0x | 0.10-0.1x | 0.09-0.1x | 0.10-0.1x | 0.160.0x |
| FCF Margin | 20.5%+86.1pp | -23.7%-6.8pp | -9.7%+0.7pp | 1.9%+4.6pp | -65.5%-48.7pp | -16.9%-38.2pp | -10.4%-48.3pp | -2.7%+16.2pp |
Reported as filed but not readable as a share of revenue in the periods where the ratio runs further from zero than a revenue base allows; no change figure is given where either compared period is one of those: Operating Margin, Net Margin.
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 |
|---|---|---|---|---|---|---|
| Staar Surgical Co STAA | FY2025 | $239.4M | -$80.4M | -33.6% | $1.1B | 33/100 |
| BioLife Solutions Inc. BLFS | FY2025 | $96.2M | -$4.6M | -4.8% | $1.8B | 69/100 |
| Azenta, Inc. AZTA | FY2025 | $593.8M | -$55.8M | -9.4% | $1.7B | 49/100 |
| AtriCure, Inc. ATRC | FY2025 | $534.5M | -$11.4M | -2.1% | $2.8B | 57/100 |
| Anbio Biotechnology NNNN | FY2025 | $8.6M | $6.4M | 74.1% | $243.6M | 71/100 |
| Kestra Medical Technologies, Ltd. KMTS | FY2026 | $95.1M | -$131.6M | N/A | $1.6B | 50/100 |
Where Staar Surgical Co Ranks
Frequently Asked Questions
What is Staar Surgical Co's annual revenue?
Staar Surgical Co (STAA) reported $239.4M in total revenue for fiscal year 2025. This represents a -23.7% 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 Staar Surgical Co's revenue growing?
Staar Surgical Co (STAA) revenue declined by 23.7% year-over-year, from $313.9M to $239.4M in fiscal year 2025.
Is Staar Surgical Co profitable?
No, Staar Surgical Co (STAA) reported a net income of -$80.4M in fiscal year 2025, with a net profit margin of -33.6%.
What is Staar Surgical Co's EBITDA?
Staar Surgical Co (STAA) had EBITDA of -$83.4M in fiscal year 2025, measuring earnings before interest, taxes, depreciation, and amortization.
What is Staar Surgical Co's gross margin?
Staar Surgical Co (STAA) had a gross margin of 76.2% in fiscal year 2025, indicating the percentage of revenue retained after direct costs of goods sold.
What is Staar Surgical Co's operating margin?
Staar Surgical Co (STAA) had an operating margin of -38.3% in fiscal year 2025, reflecting the profitability of core business operations before interest and taxes.
What is Staar Surgical Co's net profit margin?
Staar Surgical Co (STAA) had a net profit margin of -33.6% in fiscal year 2025, representing the share of revenue converted into profit after all expenses.
What is Staar Surgical Co's return on equity (ROE)?
Staar Surgical Co (STAA) has a return on equity of -23.4% for fiscal year 2025, measuring how efficiently the company generates profit from shareholder equity.
What is Staar Surgical Co's free cash flow?
Staar Surgical Co (STAA) recorded an outflow of $40.0M in free cash flow during fiscal year 2025. This represents a -422.2% 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 Staar Surgical Co's operating cash flow?
Staar Surgical Co (STAA) recorded an outflow of $34.2M in operating cash flow during fiscal year 2025, representing cash used by core business activities.
What are Staar Surgical Co's total assets?
Staar Surgical Co (STAA) had $451.7M in total assets as of fiscal year 2025, including both current and long-term assets.
What are Staar Surgical Co's capital expenditures?
Staar Surgical Co (STAA) invested $5.8M in capital expenditures during fiscal year 2025, funding long-term assets and infrastructure.
How much does Staar Surgical Co spend on research and development?
Staar Surgical Co (STAA) invested $40.1M in research and development during fiscal year 2025.
What is Staar Surgical Co's current ratio?
Staar Surgical Co (STAA) had a current ratio of 4.55 as of fiscal year 2025, which is generally considered healthy.
What is Staar Surgical Co's debt-to-equity ratio?
Staar Surgical Co (STAA) had a debt-to-equity ratio of 0.31 as of fiscal year 2025, measuring the company's financial leverage by comparing total debt to shareholder equity.
What is Staar Surgical Co's return on assets (ROA)?
Staar Surgical Co (STAA) had a return on assets of -17.8% for fiscal year 2025, measuring how efficiently the company uses its assets to generate profit.
What is Staar Surgical Co's P/E ratio?
Staar Surgical Co (STAA) trades at 295x earnings, its market capitalization divided by net income of $3.8M net income, trailing 12 months to July 3, 2026. The market capitalization is $1.1B as of Oct 6, 2026; a multiple compares that price with a filed figure and says nothing about the quality of the business.
What is Staar Surgical Co's price-to-sales ratio?
Staar Surgical Co (STAA) trades at 3.3x sales, its market capitalization divided by revenue of $339.6M revenue, trailing 12 months to July 3, 2026. The market capitalization is $1.1B as of Oct 6, 2026; a multiple compares that price with a filed figure and says nothing about the quality of the business.
How does Staar Surgical Co's liquidity compare with its operating cash outflow?
At the end of fiscal year 2025, Staar Surgical Co (STAA) held $187.5M in cash, cash equivalents and investments, and reported an operating cash outflow of $34.2M over that year. Dividing the one by the other, the reported balance equals about 66 months of the outflow reported that year. This is arithmetic over figures already filed, not a projection: it assumes nothing about future spending, financing or operations.
What is Staar Surgical Co's Altman Z-Score?
Staar Surgical Co (STAA) has an Altman Z-Score of 6.36, 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 Staar Surgical Co's Piotroski F-Score?
Staar Surgical Co (STAA) has a Piotroski F-Score of 1 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 Staar Surgical Co's earnings high quality?
Staar Surgical Co (STAA) reported a net loss of $80.4M while operations used $34.2M of cash. With neither figure positive, 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.
How financially healthy is Staar Surgical Co?
Staar Surgical Co (STAA) scores 33 out of 100 on our Financial Health Score, indicating weak 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.