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A high debt to equity ratio generally means that a company has been aggressive in financing its growth with debt. This can result in volatile earnings as a result of the additional interest expense.
The historical rank and industry rank for FalconStor Software's Debt-to-Equity or its related term are showing as below:
FALC'
s Debt-to-Equity Range Over the Past 10 Years
Min: -3.1 Med: -0.15 Max: 2.28
Current: 1.42
During the past 13 years, the highest Debt-to-Equity Ratio of FalconStor Software was 2.28. The lowest was -3.10. And the median was -0.15.
FALC's Debt-to-Equity is ranked worse than 90.41% of 2241
companies
in the Software industry
Industry Median: 0.21
vs FALC: 1.42
Because a company can increase its ROE % by having more financial leverage, it is important to watch the leverage ratio when investing in high ROE % companies.
FalconStor Software Debt-to-Equity Related Terms
FalconStor Software Debt-to-Equity Historical Data
* Premium members only.
The historical data trend for FalconStor Software's Debt-to-Equity can be seen below:
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
For the Software - Application subindustry, FalconStor Software's Debt-to-Equity, along with its competitors' market caps and Debt-to-Equity data, can be viewed below:
* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.
FalconStor Software Debt-to-Equity vs Software Industry
For the Software industry and Technology sector, FalconStor Software's Debt-to-Equity distribution charts can be found below:
* The bar in red indicates where FalconStor Software's Debt-to-Equity falls into.
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
FalconStor Software (FALC) has a Debt-to-Equity of 1.42 as of Dec. 2025. Debt-to-Equity ratio represents the ratio of total debt to total company equity. View historical data on FalconStor Software and its competitors. According to the industry distribution chart, FalconStor Software ranks #2026 out of 2241 companies in the Software industry, placing it in the top 90.4%.
Is FalconStor Software's Debt-to-Equity too high?
FalconStor Software's current Debt-to-Equity is 1.42. The Software industry median Debt-to-Equity is 0.21. FalconStor Software's value of 1.42 is 576.2% above this industry median. Based on the distribution chart, FalconStor Software ranks #2026 out of 2241 companies in the Software industry, which is in the bottom quartile relative to peers. Overall, FalconStor Software has a GF Score™ of 53/100 and is considered Modestly Overvalued, reflecting its overall financial health beyond just this single metric.
How does FalconStor Software's Debt-to-Equity compare to INUV and NVNI?
According to the Software industry distribution chart, FalconStor Software ranks #2026 out of 2241 companies for Debt-to-Equity. This places FalconStor Software in the lower half of its industry. The industry median Debt-to-Equity is 0.21. FalconStor Software's value of 1.42 is 576.2% above this benchmark. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Debt-to-Equity for a Software company?
The median Debt-to-Equity among Software companies is 0.21, based on 2,241 companies in the industry. Companies in the top quartile (top 25%) have a Debt-to-Equity significantly above this median, while those in the bottom quartile fall well below. However, Debt-to-Equity should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. FalconStor Software's current Debt-to-Equity of 1.42 is 576.2% above the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high Debt-to-Equity mean?
A high Debt-to-Equity can signal that a stock is expensive relative to its fundamentals. Debt-to-Equity ratio represents the ratio of total debt to total company equity. View historical data on FalconStor Software and its competitors. For the Software industry, the median Debt-to-Equity is 0.21 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. FalconStor Software's current Debt-to-Equity is 1.42. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is FalconStor Software stock overvalued right now?
Based on GuruFocus' analysis, FalconStor Software (FALC) is currently considered Modestly Overvalued. The stock's GF Value™ is $1.47, compared to a current price of $1.84 — trading 25.2% above its estimated fair value. The current Debt-to-Equity is 1.42 and 576.2% above the Software industry median of 0.21. FalconStor Software's overall GF Score™ is 53/100 with 5 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Debt-to-Equity calculated?
Debt-to-Equity is calculated from a company's financial statements. For FalconStor Software (FALC), the current Debt-to-Equity is 1.42 as of Dec. 2025. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.
Is FalconStor Software (FALC) Overvalued in 2026?
Based on GuruFocus' analysis, FalconStor Software stock appears to be overvalued.
The current stock price of $1.84 is trading 25.2% above its estimated GF Value™ of $1.47.
GuruFocus considers FalconStor Software to be Modestly Overvalued.
Key valuation signals for FALC:
Debt-to-Equity: 1.42
GF Value™: $1.47 vs. price of $1.84 (25.2% above fair value)
Industry Position: 576.2% above the Software median (#2026 of 2241)
No single metric tells the full story. See the FALC stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
FalconStor Software Inc operates in the trusted data protection software industry, modernizing disaster recovery and backup operations for the hybrid cloud environment. The company enables enterprise customers and managed service providers to secure, migrate, and protect their data while reducing storage costs and long-term retention needs. Its products are StorSafe, StorGuard, and StorSight, which deliver data protection, cloud migration, disaster recovery, ransomware recovery, and needs across multi-OS, multi-storage, and on-premises to cloud/hybrid cloud environments. The company's geographical markets include the Americas, which generate the highest revenue, Europe, the Middle East, Africa, and others.
53GF Score
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Debt-to-Equity is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.
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