Harrow (FRA:3IP) Financial Strength: 3 (As of Jun. 2026) — 40% Below Median

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FRA:3IP Harrow Inc FRA:3IP
76 GF Score
Price €33.20
GF Value €35.28
Valuation Fairly Valued
! 4 Warning Signs
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What is Harrow Financial Strength?

Harrow FRA:3IP -2.35% 76 Financial Strength is 3 as of Jun. 2026, which is 40% below its 10-year median of 5.00. GuruFocus rates FRA:3IP with a GF Score™ of 76/100 and a GF Value™ of €35.28 (Fairly Valued). The stock has 4 warning signs investors should review.

Harrow 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:

Harrow 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.

Harrow did not have earnings to cover the interest expense. Harrow's debt to revenue ratio for the quarter that ended in Jun. 2026 was 1.06. As of today, Harrow's Altman Z-Score is 2.48.


Harrow  (FRA:3IP) 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.

Harrow 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.


Harrow Financial Strength Related Terms


FRA:3IP vs XERS, PRGO, PAHC: Financial Strength Comparison

For the Drug Manufacturers - Specialty & Generic subindustry, Harrow'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.


Harrow Financial Strength vs Drug Manufacturers Industry

For the Drug Manufacturers industry and Healthcare sector, Harrow's Financial Strength distribution charts can be found below:

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


FRA:3IP
76GF Score
Harrow Inc FRA:3IP
Financial Strength is just one metric. See GF Score™, valuation, warning signs, and more.
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Harrow 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:

Harrow's Interest Expense for the months ended in Jun. 2026 was €-5.4 Mil. Its Operating Income for the months ended in Jun. 2026 was €-9.6 Mil. And its Long-Term Debt & Capital Lease Obligation for the quarter that ended in Jun. 2026 was €260.2 Mil.

Harrow's Interest Coverage for the quarter that ended in Jun. 2026 is

Harrow did not have earnings to cover the interest expense.

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

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

Harrow's Debt to Revenue Ratio for the quarter that ended in Jun. 2026 is

Debt to Revenue Ratio=Total Debt (Q: Jun. 2026 ) / Revenue
=(Short-Term Debt & Capital Lease Obligation + Long-Term Debt & Capital Lease Obligation) / Revenue
=(0.819 + 260.226) / 245.336
=1.06

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.

Harrow has a Z-score of 2.48, indicating it is in Grey Zones. This implies that Harrow is in some kind of financial stress. If it is below 1.81, the company may faces bankrupcy risk.

Warning Sign:

Altman Z-score of 2.48 is in the grey area. This implies that the company is under some kind of financial stress. If it is below 1.8, the company may face bankruptcy risk.

* 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?
Harrow (FRA:3IP) has a Financial Strength of 3 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 Harrow and its competitors. This is 40% below median its historical median of 5.00. Over the past decade, Harrow's Financial Strength has ranged from 2.00 to 7.00.
Is Harrow's Financial Strength too high?
Harrow's current Financial Strength of 3 is 40% below median its 10-year median of 5.00. Over the past 10 years, this metric has ranged from a low of 2.00 to a high of 7.00. Overall, Harrow has a GF Score™ of 76/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does Harrow's Financial Strength compare to XERS and PRGO?
Harrow's Financial Strength of 3 can be compared against companies in the Drug Manufacturers industry. Historically, Harrow's own Financial Strength has ranged from 2.00 to 7.00 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 Drug Manufacturers company?
A good Financial Strength depends on the Drug Manufacturers 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 Harrow and its competitors. Harrow's current Financial Strength is 3, which is 40% below 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 Harrow stock overvalued right now?
Based on GuruFocus' analysis, Harrow (FRA:3IP) is currently considered Fairly Valued. The stock's GF Value™ is €35.28, compared to a current price of €33.20 — trading 5.9% below its estimated fair value. The current Financial Strength is 3, which is 40% below median its 10-year median of 5.00. Harrow's overall GF Score™ is 76/100 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 Harrow (FRA:3IP), the current Financial Strength is 3 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 Harrow (FRA:3IP) Overvalued in 2026?

Based on GuruFocus' analysis, Harrow stock appears to be undervalued. The current stock price of €33.20 is trading 5.9% below its estimated GF Value™ of €35.28. GuruFocus considers Harrow to be Fairly Valued.

Key valuation signals for FRA:3IP:

  • Financial Strength: 3 (40% below median its 10-year median of 5.00)
  • GF Value™: €35.28 vs. price of €33.20 (5.9% below fair value)
  • GF Score™: 76/100 with 4 warning signs

No single metric tells the full story. See the FRA:3IP stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Harrow Business Description

Other Exchanges HROW:USA
Address 1A Burton Hills Boulevard, Suite 200, Nashville, TN, USA, 37215
Harrow Inc is an eyecare pharmaceutical company engaged in the discovery, development, and commercialization of ophthalmic pharmaceutical products for the U.S. market. The company partners with U.S. eyecare professionals to develop products used to manage ophthalmic conditions affecting both the front and back of the eye, such as dry eye disease, cataracts, refractive errors, glaucoma, etc. Its portfolio of branded ophthalmic pharmaceuticals includes Iheezo, Vevye, Byooviz Opuviz, Natacyn, Maxitrol, Maxidex, etc. Additionally, the company's development pipeline comprises candidates like MELT-300, H-N08, CR-01, and MELT-210, being developed to address unmet needs in eye care and selected adjacent markets. Its reportable segments are: Branded, which derives maximum revenue, and ImprimisRx.
76GF Score

Get the complete analysis for FRA:3IP

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

€33.20
Price
€35.28
GF Value