STAGWELL INC (STGW) 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 Sep 9, 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 Jul 31, 2026. Each column of the statement tables below links to the filing it was taken from, and every filing is listed on the STGW SEC filings page.
STAGWELL INC (STGW) reported $3.0B in revenue over the twelve months to Jun 30, 2026, up 6.4% 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).
Stagwell’s low-margin operating model converts modest earnings into cash through heavy noncash charges while leverage resets.
In FY2025, operating cash flow of$291M was nearly ten times net income of$30.6M . With depreciation and amortization at$171M , the gap indicates that cash conversion was supported heavily by noncash expense and operating adjustments, making bottom-line earnings an incomplete measure of cash creation.
Free cash flow recovered from
Debt-to-equity fell from 4.1x in FY2024 to 1.7x in FY2025 as equity more than doubled, a material change in financing structure rather than an operating-margin effect. Still, a current ratio below 1.0x means current liabilities exceeded current assets, so deleveraging did not remove near-term working-capital pressure.
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 STAGWELL 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.
STAGWELL INC has an operating margin of 5.5%, meaning the company retains $5 of operating profit per $100 of revenue. This results in a moderate score of 46/100, indicating healthy but not exceptional operating efficiency. This is up from 4.7% the prior year.
STAGWELL INC's revenue grew a modest 2.4% year-over-year to $2.9B. This slow but positive growth earns a score of 58/100.
STAGWELL INC has elevated debt relative to equity (D/E of 1.75), meaning the company relies heavily on borrowed funds. This high leverage results in a low score of 17/100, reflecting increased financial risk.
STAGWELL INC's current ratio of 0.79 is below the typical benchmark, resulting in a score of 11/100. This tight liquidity could limit financial flexibility if cash inflows slow.
STAGWELL INC has a free cash flow margin of 8.5%, earning a moderate score of 50/100. The company generates positive cash flow after capital investments, but with room for improvement.
STAGWELL INC's ROE of 4.0% shows moderate profitability relative to equity, earning a score of 54/100. This is down from 7.5% the prior year.
STAGWELL INC scores 1.10, below the 1.81 distress threshold. 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.
STAGWELL INC passes 6 of 8 computable financial strength tests (1 of the nine could not be computed from available data). All 4 profitability signals pass (positive income, cash flow, and earnings quality), 1 of 2 leverage/liquidity signals pass, 1 of 2 efficiency signals pass.
For every $1 of reported earnings, STAGWELL INC generates $9.50 in operating cash flow ($291.0M OCF vs $30.6M net income). This indicates profits are well-supported by actual cash generation, not accounting adjustments.
STAGWELL INC earns $1.65 in operating income for every $1 of interest expense ($159.0M vs $96.4M). This narrow margin raises concern about the company's ability to service its debt if operating income declines.
Key Financial Metrics
Earnings & Revenue
STAGWELL INC generated $786.3M in revenue in Q2 2026. This represents an increase of 11.2% from the same quarter a year earlier. Against the prior quarter it is up 11.7%.
STAGWELL INC's EBITDA was $55.5M in Q2 2026, measuring earnings before interest, taxes, depreciation, and amortization. This represents a decrease of 14.0% from the same quarter a year earlier. Against the prior quarter it is up 2.8%.
STAGWELL INC reported -$8.1M in net income in Q2 2026. This represents a decrease of 54.3% from the same quarter a year earlier. Against the prior quarter it is up 37.4%.
STAGWELL INC earned -$0.03 per diluted share (EPS) in Q2 2026. This represents a decrease of 50.0% from the same quarter a year earlier. Against the prior quarter it is up 40.0%.
Cash & Balance Sheet
STAGWELL INC generated $79.2M in free cash flow in Q2 2026, representing cash available after capex. This represents a decrease of 22.6% from the same quarter a year earlier. Against the prior quarter it is up 313.3%.
STAGWELL INC held $109.5M in cash against $1.5B in long-term debt as of Q2 2026.
Not reported for Q2 2026.
Margins & Returns
STAGWELL INC's gross margin was 34.2% in Q2 2026, indicating the percentage of revenue retained after direct costs. This is down 0.8 percentage points from the same quarter a year earlier. Against the prior quarter it is down 0.5 percentage points.
STAGWELL INC's operating margin was 1.5% in Q2 2026, reflecting core business profitability. This is down 1.8 percentage points from the same quarter a year earlier. Against the prior quarter it is up 0.1 percentage points.
STAGWELL INC's net profit margin was -1.0% in Q2 2026, showing the share of revenue converted to profit. This is down 0.3 percentage points from the same quarter a year earlier. Against the prior quarter it is up 0.8 percentage points.
STAGWELL INC's ROE was -1.2% in Q2 2026, measuring profit generated per dollar of shareholder equity. This is down 0.5 percentage points from the same quarter a year earlier. Against the prior quarter it is up 0.6 percentage points.
Capital Allocation
STAGWELL INC spent $47.2M on share buybacks in Q2 2026, returning capital to shareholders by reducing shares outstanding. This represents a decrease of 16.3% from the same quarter a year earlier. Against the prior quarter it is up 16.0%.
STAGWELL INC invested $11.0M in capex in Q2 2026, funding long-term assets and infrastructure. This represents a decrease of 11.0% from the same quarter a year earlier. Against the prior quarter it is up 2.7%.
Not reported for Q2 2026.
STGW 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 | $786.3M+11.2% | $704.1M+8.0% | $807.4M+2.4% | $743.0M+4.5% | $706.8M+5.3% | $651.7M-2.7% | $788.7M+20.4% | $711.3M+15.2% |
| Cost of Revenue | $517.1M+12.6% | $459.5M+11.5% | $503.7M+0.2% | $470.9M+3.0% | $459.2M+4.6% | $412.1M-7.3% | $502.5M+19.7% | $457.0M+18.7% |
| Gross Profit | $269.2M+8.7% | $244.6M+2.1% | $303.7M+6.1% | $272.1M+7.0% | $247.6M+6.6% | $239.7M+6.3% | $286.2M+21.8% | $254.3M+9.3% |
| SG&A Expenses | $213.7M+16.8% | $190.6M+6.3% | $203.5M-0.2% | $166.4M-5.7% | $183.1M+8.9% | $179.4M+9.8% | $203.9M | $176.4M+10.3% |
| Operating Income | $11.5M-50.2% | $9.6M-47.3% | $56.6M+30.1% | $60.9M+45.8% | $23.2M+5.8% | $18.3M-29.3% | $43.5M | $41.8M+23.8% |
| EBITDA | $55.5M-14.0% | $54.0M-10.5% | $100.2M+21.8% | $105.2M+35.1% | $64.5M+1.0% | $60.3M-0.7% | $82.3M | $77.8M+7.2% |
| Interest Expense | $22.3M-4.8% | $23.3M-0.4% | $24.4M+1.6% | $25.2M+6.0% | $23.5M-0.3% | $23.4M+11.4% | $24.0M | $23.8M-8.1% |
| Income Tax | -$348K-113.0% | -$2.9M-267.7% | $24.3M+550.1% | $9.6M+67.9% | $2.7M+129.4% | $1.7M-33.4% | $3.7M-89.5% | $5.7M+31.6% |
| Net Income | -$8.1M-54.3% | -$13.0M-344.7% | $14.2M-45.5% | $24.6M+652.6% | -$5.3M-77.4% | -$2.9M-127.5% | $26.0M+1923.3% | $3.3M+400.9% |
| EPS (Basic) | -$0.03-50.0% | -$0.05-66.7% | $0.05+66.7% | $0.10+233.3% | -$0.02+33.3% | -$0.03-200.0% | $0.03+200.0% | $0.03+200.0% |
| EPS (Diluted) | -$0.03-50.0% | -$0.05 | $0.04 | $0.09 | -$0.02 | -$0.04 | $0.03 | $0.03 |
| Diluted Shares (Avg) | 246M-5.7% | 251M | N/A | 260M | 261M | 264M | N/A | 112M-57.7% |
Not reported in any period shown, so not listed: R&D Expenses.
STGW 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 | $4.2B-2.7% | $4.2B+6.5% | $4.2B+7.8% | $4.3B+12.2% | $4.3B+13.8% | $4.0B+4.4% | $3.9B+3.7% | $3.8B-1.9% |
| Current Assets | $1.2B-5.5% | $1.2B-0.5% | $1.2B+2.4% | $1.2B+11.1% | $1.3B+14.8% | $1.2B+10.5% | $1.1B+10.7% | $1.1B+10.6% |
| Cash & Equivalents | $109.5M-39.6% | $114.9M-16.5% | $104.5M-20.4% | $132.2M-9.3% | $181.3M+33.2% | $137.7M+6.0% | $131.3M+9.7% | $145.8M+47.7% |
| Short-Term Investments | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 |
| Accounts Receivable | $713.1M-7.3% | $727.6M-5.9% | $735.8M+2.7% | $777.9M+8.6% | $769.3M+5.1% | $773.0M+3.9% | $716.4M+2.8% | $716.4M+6.9% |
| Long-Term Investments | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 |
| Goodwill | $1.6B-0.4% | $1.6B+2.2% | $1.6B+2.6% | $1.6B+5.0% | $1.6B+6.4% | $1.6B+4.5% | $1.6B+3.7% | $1.5B-3.3% |
| Total Liabilities | $3.5B-1.2% | $3.5B+9.5% | $3.4B+9.3% | $3.5B+14.8% | $3.5B+15.9% | $3.2B+6.2% | $3.1B+6.5% | $3.0B-2.3% |
| Current Liabilities | $1.5B+1.0% | $1.5B+9.5% | $1.5B+8.2% | $1.4B+18.2% | $1.5B+19.9% | $1.3B+0.5% | $1.4B-0.5% | $1.2B-3.3% |
| Non-Current Liabilities | $2.0B-2.8% | $2.0B+9.5% | $1.9B+10.1% | $2.1B+12.7% | $2.1B+13.2% | $1.9B+10.7% | $1.8B+12.8% | $1.9B-1.7% |
| Long-Term Debt | $1.5B-1.0% | $1.4B-1.7% | $1.3B-2.0% | $1.5B+4.3% | $1.5B+3.0% | $1.5B+15.4% | $1.4B+18.1% | $1.5B-2.3% |
| Total Equity | $669.4M-10.8% | $704.9M+110.8% | $758.4M+128.6% | $749.0M+161.5% | $750.1M+157.3% | $334.4M-1.0% | $331.7M-7.0% | $286.4M-13.4% |
| Retained Earnings | $13.3M+170.6% | $20.1M+91.2% | $32.9M+180.5% | $29.5M+158.8% | $4.9M-70.6% | $10.5M-46.5% | $11.7M-44.5% | $11.4M-53.6% |
Not reported in any period shown, so not listed: Inventory.
STGW 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 | $90.2M-21.4% | -$26.5M+55.9% | $260.3M+22.7% | -$24.0M-1390.4% | $114.8M+891.5% | -$60.0M-13.0% | $212.1M+1.7% | -$1.6M-109.7% |
| Depreciation & Amortization | $44.0M+6.3% | $44.3M+5.5% | $43.6M+12.5% | $44.3M+22.8% | $41.4M-1.5% | $42.0M+20.6% | $38.8M+10.7% | $36.0M-7.2% |
| Stock-Based Compensation | $18.6M-7.0% | $14.2M+23.4% | N/A | $12.6M-25.3% | $20.0M+239.6% | $11.5M-28.4% | N/A | $16.9M+40.4% |
| Capital Expenditures | $11.0M-11.0% | $10.7M+84.7% | $17.4M+696.8% | $8.3M+201.3% | $12.3M+44.0% | $5.8M+6.2% | $2.2M+7.4% | $2.7M-35.6% |
| Free Cash Flow | $79.2M-22.6% | -$37.2M+43.5% | $242.9M+15.7% | -$32.3M-642.0% | $102.4M+544.5% | -$65.8M-12.3% | $209.9M+1.6% | -$4.3M-135.2% |
| Investing Cash Flow | -$56.6M-288.5% | -$33.0M-62.3% | -$32.9M+65.7% | -$45.8M-220.4% | -$14.6M+44.1% | -$20.4M+22.1% | -$96.0M-147.8% | -$14.3M+2.9% |
| Financing Cash Flow | -$39.3M+36.9% | $69.4M-16.7% | -$254.2M-108.1% | $23.2M+11.2% | -$62.2M-231.7% | $83.2M-8.6% | -$122.2M+68.8% | $20.8M+404.8% |
| Share Buybacks | $47.2M-16.3% | $40.7M+268.0% | $29.1M+315.4% | $37.7M+163.2% | $56.4M-1.4% | $11.1M-62.7% | $7.0M-64.8% | $14.3M+211.5% |
Not reported in any period shown, so not listed: Dividends Paid.
STGW 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 | 34.2%-0.8pp | 34.7%-2.0pp | 37.6%+1.3pp | 36.6%+0.9pp | 35.0%+0.4pp | 36.8%+3.1pp | 36.3%+0.4pp | 35.8%-1.9pp |
| Operating Margin | 1.5%-1.8pp | 1.4%-1.4pp | 7.0%+1.5pp | 8.2%+2.3pp | 3.3%0.0pp | 2.8%-1.1pp | 5.5% | 5.9%+0.4pp |
| Net Margin | -1.0%-0.3pp | -1.8%-1.4pp | 1.8%-1.5pp | 3.3%+2.8pp | -0.7%-0.3pp | -0.4%-0.3pp | 3.3%+3.1pp | 0.5%+0.3pp |
| Return on Equity | -1.2%-0.5pp | -1.8%-1.0pp | 1.9%-6.0pp | 3.3%+2.1pp | -0.7%+0.3pp | -0.9%-0.5pp | 7.8%+7.5pp | 1.1%+0.9pp |
| Return on Assets | -0.2%-0.1pp | -0.3%-0.2pp | 0.3%-0.3pp | 0.6%+0.5pp | -0.1%0.0pp | -0.1%0.0pp | 0.7%+0.6pp | 0.1%+0.1pp |
| Current Ratio | 0.81-0.1x | 0.83-0.1x | 0.790.0x | 0.89-0.1x | 0.860.0x | 0.91+0.1x | 0.83+0.1x | 0.95+0.1x |
| Debt-to-Equity | 2.17+0.2x | 2.04-2.3x | 1.75-2.3x | 2.04-3.1x | 1.95-2.9x | 4.38+0.6x | 4.08+0.9x | 5.11+0.6x |
| Asset Turnover | 0.190.0x | 0.170.0x | 0.190.0x | 0.170.0x | 0.160.0x | 0.160.0x | 0.200.0x | 0.190.0x |
| FCF Margin | 10.1%-4.4pp | -5.3%+4.8pp | 30.1%+3.5pp | -4.3%-3.7pp | 14.5%+17.9pp | -10.1%-1.3pp | 26.6%-4.9pp | -0.6%-2.6pp |
Note: The current ratio is below 1.0 (0.79), indicating current liabilities exceed current assets, which may suggest potential short-term liquidity concerns.
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 |
|---|---|---|---|---|---|---|
| STAGWELL INC STGW | FY2025 | $2.9B | $30.6M | 1.1% | $2.1B | 39/100 |
| Integral Ad Science Holding Corp. IAS | FY2024 | $530.1M | $37.8M | 7.1% | $1.7B | 69/100 |
| Ziff Davis Inc ZD | FY2025 | $1.5B | $47.4M | 3.3% | $1.9B | 60/100 |
| Criteo S.A. CRTO | FY2025 | $1.9B | $149.0M | 7.7% | $869.2M | 51/100 |
| Quinstreet QNST | FY2026 | $1.3B | $81.2M | 6.3% | $1.0B | 56/100 |
| Emerald Holding Inc EEX | FY2025 | $463.4M | -$30.7M | -6.6% | $997.5M | 42/100 |
Where STAGWELL INC Ranks
Frequently Asked Questions
What is STAGWELL INC's annual revenue?
STAGWELL INC (STGW) reported $2.9B in total revenue for fiscal year 2025. This represents a 2.4% 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 STAGWELL INC's revenue growing?
STAGWELL INC (STGW) revenue grew by 2.4% year-over-year, from $2.8B to $2.9B in fiscal year 2025.
Is STAGWELL INC profitable?
Yes, STAGWELL INC (STGW) reported a net income of $30.6M in fiscal year 2025, with a net profit margin of 1.1%.
What is STAGWELL INC's EBITDA?
STAGWELL INC (STGW) had EBITDA of $330.3M in fiscal year 2025, measuring earnings before interest, taxes, depreciation, and amortization.
How much debt does STAGWELL INC have?
As of fiscal year 2025, STAGWELL INC (STGW) had $104.5M in cash and equivalents against $1.3B in long-term debt.
What is STAGWELL INC's gross margin?
STAGWELL INC (STGW) had a gross margin of 36.5% in fiscal year 2025, indicating the percentage of revenue retained after direct costs of goods sold.
What is STAGWELL INC's operating margin?
STAGWELL INC (STGW) had an operating margin of 5.5% in fiscal year 2025, reflecting the profitability of core business operations before interest and taxes.
What is STAGWELL INC's net profit margin?
STAGWELL INC (STGW) had a net profit margin of 1.1% in fiscal year 2025, representing the share of revenue converted into profit after all expenses.
What is STAGWELL INC's return on equity (ROE)?
STAGWELL INC (STGW) has a return on equity of 4.0% for fiscal year 2025, measuring how efficiently the company generates profit from shareholder equity.
What is STAGWELL INC's free cash flow?
STAGWELL INC (STGW) generated $247.3M in free cash flow during fiscal year 2025. This represents a 99.5% 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 STAGWELL INC's operating cash flow?
STAGWELL INC (STGW) generated $291.0M in operating cash flow during fiscal year 2025, representing cash generated from core business activities.
What are STAGWELL INC's total assets?
STAGWELL INC (STGW) had $4.2B in total assets as of fiscal year 2025, including both current and long-term assets.
What are STAGWELL INC's capital expenditures?
STAGWELL INC (STGW) invested $43.7M in capital expenditures during fiscal year 2025, funding long-term assets and infrastructure.
What is STAGWELL INC's current ratio?
STAGWELL INC (STGW) had a current ratio of 0.79 as of fiscal year 2025, which is below 1.0, which may suggest potential liquidity concerns.
What is STAGWELL INC's debt-to-equity ratio?
STAGWELL INC (STGW) had a debt-to-equity ratio of 1.75 as of fiscal year 2025, measuring the company's financial leverage by comparing total debt to shareholder equity.
What is STAGWELL INC's return on assets (ROA)?
STAGWELL INC (STGW) had a return on assets of 0.7% for fiscal year 2025, measuring how efficiently the company uses its assets to generate profit.
What is STAGWELL INC's P/E ratio?
STAGWELL INC (STGW) trades at 118x earnings, its market capitalization divided by net income of $17.7M net income, trailing 12 months to June 30, 2026. The market capitalization is $2.1B as of Sep 9, 2026; a multiple compares that price with a filed figure and says nothing about the quality of the business.
What is STAGWELL INC's price-to-sales ratio?
STAGWELL INC (STGW) trades at 0.7x sales, its market capitalization divided by revenue of $3.0B revenue, trailing 12 months to June 30, 2026. The market capitalization is $2.1B as of Sep 9, 2026; a multiple compares that price with a filed figure and says nothing about the quality of the business.
What is STAGWELL INC's Altman Z-Score?
STAGWELL INC (STGW) has an Altman Z-Score of 1.10, 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 STAGWELL INC's Piotroski F-Score?
STAGWELL INC (STGW) has a Piotroski F-Score of 6 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 STAGWELL INC's earnings high quality?
STAGWELL INC (STGW) has an earnings quality ratio of 9.50x, 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 STAGWELL INC cover its interest payments?
STAGWELL INC (STGW) has an interest coverage ratio of 1.65x, 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 STAGWELL INC?
STAGWELL INC (STGW) scores 39 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.