FPS (Forgent Power Solutions) Financial Strength: 5 (As of Mar. 2026) — Near Median

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FPS Forgent Power Solutions Inc FPS
12 GF Score
Price $39.66
! 2 Warning Signs
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What is Forgent Power Solutions Financial Strength?

Forgent Power Solutions FPS +5.59% 12 Financial Strength is 5 as of Mar. 2026, which is at its 10-year median of 5.00. GuruFocus rates FPS with a GF Score™ of 12/100. The stock has 2 warning signs investors should review.

Forgent Power Solutions has the Financial Strength Rank of 5.

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.

Forgent Power Solutions's Interest Coverage for the quarter that ended in Mar. 2026 was 3.63. Forgent Power Solutions's debt to revenue ratio for the quarter that ended in Mar. 2026 was 0.47. As of today, Forgent Power Solutions's Altman Z-Score is 5.80.


Forgent Power Solutions  (NYSE:FPS) 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.

Forgent Power Solutions has the Financial Strength Rank of 5.


Forgent Power Solutions Financial Strength Related Terms


FPS vs AYI, POWL, ENS: Financial Strength Comparison

For the Electrical Equipment & Parts subindustry, Forgent Power Solutions'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.


Forgent Power Solutions Financial Strength vs Industrial Products Industry

For the Industrial Products industry and Industrials sector, Forgent Power Solutions's Financial Strength distribution charts can be found below:

* The bar in red indicates where Forgent Power Solutions's Financial Strength falls into.


FPS
12GF Score
Forgent Power Solutions Inc FPS
Financial Strength is just one metric. See GF Score™, valuation, warning signs, and more.
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Forgent Power Solutions 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:

Forgent Power Solutions's Interest Expense for the months ended in Mar. 2026 was $-11 Mil. Its Operating Income for the months ended in Mar. 2026 was $39 Mil. And its Long-Term Debt & Capital Lease Obligation for the quarter that ended in Mar. 2026 was $693 Mil.

Forgent Power Solutions's Interest Coverage for the quarter that ended in Mar. 2026 is

Interest Coverage=-1*Operating Income (Q: Mar. 2026 )/Interest Expense (Q: Mar. 2026 )
=-1*39.336/-10.839
=3.63

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

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

Forgent Power Solutions'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
=(14.346 + 693.213) / 1514.836
=0.47

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.

Forgent Power Solutions has a Z-score of 5.80, indicating it is in Safe Zones. This implies the Z-Score is strong.

Good Sign:

Altman Z-score of 5.8 is strong.

* 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 5 mean?
Forgent Power Solutions (FPS) has a Financial Strength of 5 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 Forgent Power Solutions and its competitors. This is near median its historical median of 5.00. Over the past decade, Forgent Power Solutions' Financial Strength has ranged from 4.00 to 5.00.
Is Forgent Power Solutions' Financial Strength too high?
Forgent Power Solutions' current Financial Strength of 5 is near median its 10-year median of 5.00. Over the past 10 years, this metric has ranged from a low of 4.00 to a high of 5.00. Overall, Forgent Power Solutions has a GF Score™ of 12/100, reflecting its overall financial health beyond just this single metric.
How does Forgent Power Solutions' Financial Strength compare to AYI and POWL?
Forgent Power Solutions' Financial Strength of 5 can be compared against companies in the Industrial Products industry. Historically, Forgent Power Solutions' 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 an Industrial Products company?
A good Financial Strength depends on the Industrial Products 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 Forgent Power Solutions and its competitors. Forgent Power Solutions's current Financial Strength is 5, which is near median its own 10-year median of 5.00. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Forgent Power Solutions stock overvalued right now?
Forgent Power Solutions (FPS) has a current Financial Strength of 5. The current Financial Strength is 5, which is near median its 10-year median of 5.00. Forgent Power Solutions' overall GF Score™ is 12/100 with 2 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 Forgent Power Solutions (FPS), the current Financial Strength is 5 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.

Forgent Power Solutions Business Description

Other Exchanges 9FS:Germany
Address 11500 Dayton Parkway, Dayton, MN, USA, 55369
Forgent Power Solutions Inc designs and manufactures electrical distribution equipment for data centers, the power grid, and industrial facilities. Its offerings include automatic transfer switches, transformers (dry type and liquid filled), electrical houses, generator connection cabinets, panelboards, switchboards, switchgear, power distribution units, power skids, remote power panels, and tap boxes.It specializes in manufacturing Custom Products and Powertrain Solutions for technically demanding applications, including data center power distribution, utility substations and energy-intensive manufacturing. The majority of the company's revenue is derived from custom products designed for specific projects with significant engineering consultation.
12GF Score

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

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