CLRO (ClearOne) Financial Strength: 3 (As of Mar. 2026) — 63% Below Median

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Director of Data and Quant Analytics at GuruFocus
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CLRO ClearOne Inc CLRO
28 GF Score
Price $6.16
GF Value $1.41
Valuation Significantly Overvalued
! 4 Warning Signs
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What is ClearOne Financial Strength?

ClearOne CLRO -6.87% 28 Financial Strength is 3 as of Mar. 2026, which is 63% below its 10-year median of 8.00. GuruFocus rates CLRO with a GF Score™ of 28/100 and a GF Value™ of $1.41 (Significantly Overvalued). The stock has 4 warning signs investors should review.

ClearOne has the Financial Strength Rank of 3. It displays poor financial strength and is likely in financial distress. Usually this is caused by too much debt for the company.

Warning Sign:

ClearOne Inc 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.

GuruFocus does not calculate ClearOne's interest coverage with the available data. As of today, ClearOne's Altman Z-Score is -29.07.


ClearOne  (NAS:CLRO) Financial Strength Explanation

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.

ClearOne has the Financial Strength Rank of 3. It displays poor financial strength and is likely in financial distress. Usually this is caused by too much debt for the company.


ClearOne Financial Strength Related Terms


CLRO vs VISL, SYNX, CMBMF: Financial Strength Comparison

For the Communication Equipment subindustry, ClearOne'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.


ClearOne Financial Strength vs Hardware Industry

For the Hardware industry and Technology sector, ClearOne's Financial Strength distribution charts can be found below:

* The bar in red indicates where ClearOne's Financial Strength falls into.


CLRO
28GF Score
ClearOne Inc CLRO
Financial Strength is just one metric. See GF Score™, valuation, warning signs, and more.
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ClearOne Financial Strength Calculation

GuruFocus Financial Strength Rank measures how strong a company's financial situation is. It is based on these factors

A company ranks high with financial strength is likely to withstand any business slowdowns and recessions.

1. The debt burden that the company has as measured by its Interest Coverage (current year). The higher, the better.

Note: If both Interest Expense and Interest Income are empty, while Net Interest Income is negative, then use Net Interest Income as Interest Expense.

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:

ClearOne's Interest Expense for the months ended in Mar. 2026 was $0.00 Mil. Its Operating Income for the months ended in Mar. 2026 was $-0.85 Mil. And its Long-Term Debt & Capital Lease Obligation for the quarter that ended in Mar. 2026 was $0.17 Mil.

ClearOne's Interest Coverage for the quarter that ended in Mar. 2026 is

GuruFocus does not calculate ClearOne's interest coverage with the available data.

The higher the ratio, the stronger the company's financial strength is.

2. Debt to revenue ratio. The lower, the better.

ClearOne's Debt to Revenue Ratio for the quarter that ended in Mar. 2026 is

Debt to Revenue Ratio=Total Debt (Q: Mar. 2026 ) / Revenue
=(Short-Term Debt & Capital Lease Obligation + Long-Term Debt & Capital Lease Obligation) / Revenue
=(0.168 + 0.169) / 0
=N/A

3. Altman Z-Score.

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.

ClearOne has a Z-score of -29.07, indicating it is in Distress Zones. This implies bankrupcy possibility in the next two years.

Warning Sign:

Altman Z-score of -29.07 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.

Frequently Asked Questions Learn more about Financial Strength →
What does a Financial Strength of 3 mean?
ClearOne (CLRO) has a Financial Strength of 3 as of Mar. 2026. The financial strength rank measures the strength of a company's balance sheet based on revenue and debt. View historical data on ClearOne and its competitors. This is 63% below median its historical median of 8.00. Over the past decade, ClearOne's Financial Strength has ranged from 3.00 to 10.00.
Is ClearOne's Financial Strength too high?
ClearOne's current Financial Strength of 3 is 63% below median its 10-year median of 8.00. Over the past 10 years, this metric has ranged from a low of 3.00 to a high of 10.00. Overall, ClearOne has a GF Score™ of 28/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does ClearOne's Financial Strength compare to VISL and SYNX?
ClearOne's Financial Strength of 3 can be compared against companies in the Hardware industry. Historically, ClearOne's own Financial Strength has ranged from 3.00 to 10.00 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 Hardware company?
A good Financial Strength depends on the Hardware 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 ClearOne and its competitors. ClearOne's current Financial Strength is 3, which is 63% below median its own 10-year median of 8.00. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is ClearOne stock overvalued right now?
Based on GuruFocus' analysis, ClearOne (CLRO) is currently considered Significantly Overvalued. The stock's GF Value™ is $1.41, compared to a current price of $6.16 — trading 336.9% above its estimated fair value. The current Financial Strength is 3, which is 63% below median its 10-year median of 8.00. ClearOne's overall GF Score™ is 28/100 with 4 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 ClearOne (CLRO), the current Financial Strength is 3 as of Mar. 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 ClearOne (CLRO) Overvalued in 2026?

Based on GuruFocus' analysis, ClearOne stock appears to be overvalued. The current stock price of $6.16 is trading 336.9% above its estimated GF Value™ of $1.41. GuruFocus considers ClearOne to be Significantly Overvalued.

Key valuation signals for CLRO:

  • Financial Strength: 3 (63% below median its 10-year median of 8.00)
  • GF Value™: $1.41 vs. price of $6.16 (336.9% above fair value)
  • GF Score™: 28/100 with 4 warning signs

No single metric tells the full story. See the CLRO stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


ClearOne Business Description

Address 5225 Wiley Post Way, Suite 500, Salt Lake City, UT, USA, 84116
ClearOne Inc is currently engaged in activities that consist solely of fulfilling warranty and technical support obligations on legacy products, evaluating potential Strategic Transactions, managing and liquidating remaining assets of the company's legacy operating business, collecting accounts receivable and recovering prepaid assets, satisfying outstanding liabilities, and maintaining public-company compliance.
28GF Score

Get the complete analysis for CLRO

Financial Strength is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

$6.16
Price
$1.41
GF Value