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Bausch & Lomb has the Financial Strength Rank of 4.
Warning Sign:
Bausch & Lomb Corp displays poor financial strength. Usually, this is caused by too much debt for the company.
GuruFocus Financial Strength Rank measures how strong a company's financial situation is. It is rated on a scale of 1 to 10 and is based on these factors:
1. The debt burden that the company has as measured by its Interest Coverage (current year). The higher, the better.
2. Debt to revenue ratio. The lower, the better.
3. Altman Z-Score.
4. Other debt related ratios.
A higher score indicates a stronger financial position, with companies rated 7 or above considered financially stable and unlikely to face distress. Conversely, a score of 3 or below suggests potential financial difficulties, indicating a higher risk of distress.
Bausch & Lomb's Interest Coverage for the quarter that ended in Jun. 2026 was 1.16.
Bausch & Lomb's debt to revenue ratio for the quarter that ended in Jun. 2026 was 0.92.
As of today, Bausch & Lomb's Altman Z-Score is 0.93.
The rank is rated on a scale of 1 to 10. A higher score indicates a stronger financial position, with companies rated 7 or above considered financially stable and unlikely to face distress. Conversely, a score of 3 or below suggests potential financial difficulties, indicating a higher risk of distress.
Bausch & Lomb has the Financial Strength Rank of 4.
Bausch & Lomb Financial Strength Related Terms
BLCO vs ISRG, BDX, RMD: Financial Strength Comparison
For the Medical Instruments & Supplies subindustry, Bausch & Lomb's Financial Strength, along with its competitors' market caps and Financial Strength 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.
Bausch & Lomb Financial Strength vs Medical Devices & Instruments Industry
For the Medical Devices & Instruments industry and Healthcare sector, Bausch & Lomb's Financial Strength distribution charts can be found below:
* The bar in red indicates where Bausch & Lomb's Financial Strength falls into.
Interest Coverage is a ratio that determines how easily a company can pay interest expenses on outstanding debt. It is calculated by dividing a company's Operating Income (EBIT) by its Interest Expense:
Z-Score model is an accurate forecaster of failure up to two years prior to distress. It can be considered the assessment of the distress of industrial corporations.
The zones of discrimination were as such:
When Z-Score is less than 1.81, it is in Distress Zones.
When Z-Score is greater than 2.99, it is in Safe Zones.
When Z-Score is between 1.81 and 2.99, it is in Grey Zones.
Bausch & Lomb has a Z-score of 0.93, indicating it is in Distress Zones. This implies bankrupcy possibility in the next two years.
Warning Sign:
Altman Z-score of 0.93 is in distress zone. This implies bankruptcy possibility in the next two years.
* 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.
Bausch & Lomb (BLCO) has a Financial Strength of 4 as of Jun. 2026. The financial strength rank measures the strength of a company's balance sheet based on revenue and debt. View historical data on Bausch & Lomb and its competitors. This is near median its historical median of 4.00. Over the past decade, Bausch & Lomb's Financial Strength has ranged from 4.00 to 5.00.
Is Bausch & Lomb's Financial Strength too high?
Bausch & Lomb's current Financial Strength of 4 is near median its 10-year median of 4.00. Over the past 10 years, this metric has ranged from a low of 4.00 to a high of 5.00. Overall, Bausch & Lomb has a GF Score™ of 77/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does Bausch & Lomb's Financial Strength compare to ISRG and BDX?
Bausch & Lomb's Financial Strength of 4 can be compared against companies in the Medical Devices & Instruments industry. Historically, Bausch & Lomb's own Financial Strength has ranged from 4.00 to 5.00 over the past decade. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Financial Strength for a Medical Devices & Instruments company?
A good Financial Strength depends on the Medical Devices & Instruments industry context. However, Financial Strength should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high Financial Strength mean?
A high Financial Strength can signal that a stock is expensive relative to its fundamentals. The financial strength rank measures the strength of a company's balance sheet based on revenue and debt. View historical data on Bausch & Lomb and its competitors. Bausch & Lomb's current Financial Strength is 4, which is near median its own 10-year median of 4.00. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Bausch & Lomb stock overvalued right now?
Based on GuruFocus' analysis, Bausch & Lomb (BLCO) is currently considered Fairly Valued. The stock's GF Value™ is $17.99, compared to a current price of $17.32 — trading 3.7% below its estimated fair value. The current Financial Strength is 4, which is near median its 10-year median of 4.00. Bausch & Lomb's overall GF Score™ is 77/100 with 7 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Financial Strength calculated?
Financial Strength is calculated from a company's financial statements. For Bausch & Lomb (BLCO), the current Financial Strength is 4 as of Jun. 2026. 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 Bausch & Lomb (BLCO) Overvalued in 2026?
Based on GuruFocus' analysis, Bausch & Lomb stock appears to be undervalued.
The current stock price of $17.32 is trading 3.7% below its estimated GF Value™ of $17.99.
GuruFocus considers Bausch & Lomb to be Fairly Valued.
Key valuation signals for BLCO:
Financial Strength: 4 (near median its 10-year median of 4.00)
GF Value™: $17.99 vs. price of $17.32 (3.7% below fair value)
No single metric tells the full story. See the BLCO stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Bausch & Lomb is one of the largest vision care companies in the US. The firm was previously a subsidiary under parent company Bausch Health and it was spun off to become a public company in 2022. It operates in three segments: vision care, surgical, and ophthalmic pharmaceuticals. Vision care is composed of contact lenses, a market that B&L controls 10%, and ocular health products, which includes Biotrue and Lumify. Surgical includes a suite of intraocular lenses, equipment for cataract and vitreoretinal surgeries, as well as surgical instruments. Ophthalmic pharmaceuticals has a diverse lineup of products, including Xipere, Vyzulta, and Lotemax that treat different complications. With over 100 products, B&L has the largest portfolio of eye care prescriptions in the space.
77GF Score
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