PrairieSky Royalty (FRA:7PS) Financial Strength: 7 (As of Jun. 2026) — Near Median

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Director of Data and Quant Analytics at GuruFocus
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FRA:7PS PrairieSky Royalty Ltd FRA:7PS
88 GF Score
Price €21.80
GF Value €18.36
Valuation Modestly Overvalued
! 6 Warning Signs
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What is PrairieSky Royalty Financial Strength?

PrairieSky Royalty FRA:7PS -2.68% 88 Financial Strength is 7 as of Jun. 2026, which is at its 10-year median of 7.00. GuruFocus rates FRA:7PS with a GF Score™ of 88/100 and a GF Value™ of €18.36 (Modestly Overvalued). The stock has 6 warning signs investors should review.

PrairieSky Royalty has the Financial Strength Rank of 7.

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.

PrairieSky Royalty's Interest Coverage for the quarter that ended in Jun. 2026 was 42.74. PrairieSky Royalty's debt to revenue ratio for the quarter that ended in Jun. 2026 was 0.25. As of today, PrairieSky Royalty's Altman Z-Score is 9.21.


PrairieSky Royalty  (FRA:7PS) 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.

PrairieSky Royalty has the Financial Strength Rank of 7.


PrairieSky Royalty Financial Strength Related Terms


FRA:7PS vs COP, EOG, OXY: Financial Strength Comparison

For the Oil & Gas E&P subindustry, PrairieSky Royalty'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.


PrairieSky Royalty Financial Strength vs Oil & Gas Industry

For the Oil & Gas industry and Energy sector, PrairieSky Royalty's Financial Strength distribution charts can be found below:

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


FRA:7PS
88GF Score
PrairieSky Royalty Ltd FRA:7PS
Financial Strength is just one metric. See GF Score™, valuation, warning signs, and more.
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PrairieSky Royalty 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:

PrairieSky Royalty's Interest Expense for the months ended in Jun. 2026 was €-1.9 Mil. Its Operating Income for the months ended in Jun. 2026 was €79.3 Mil. And its Long-Term Debt & Capital Lease Obligation for the quarter that ended in Jun. 2026 was €108.9 Mil.

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

Interest Coverage=-1*Operating Income (Q: Jun. 2026 )/Interest Expense (Q: Jun. 2026 )
=-1*79.291/-1.855
=42.74

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

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

PrairieSky Royalty'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
=(0.062 + 108.917) / 440.372
=0.25

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.

PrairieSky Royalty has a Z-score of 9.21, indicating it is in Safe Zones. This implies the Z-Score is strong.

Good Sign:

Altman Z-score of 9.21 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 7 mean?
PrairieSky Royalty (FRA:7PS) has a Financial Strength of 7 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 PrairieSky Royalty and its competitors. This is near median its historical median of 7.00. Over the past decade, PrairieSky Royalty's Financial Strength has ranged from 5.00 to 10.00.
Is PrairieSky Royalty's Financial Strength too high?
PrairieSky Royalty's current Financial Strength of 7 is near median its 10-year median of 7.00. Over the past 10 years, this metric has ranged from a low of 5.00 to a high of 10.00. Overall, PrairieSky Royalty has a GF Score™ of 88/100 and is considered Modestly Overvalued, reflecting its overall financial health beyond just this single metric.
How does PrairieSky Royalty's Financial Strength compare to COP and EOG?
PrairieSky Royalty's Financial Strength of 7 can be compared against companies in the Oil & Gas industry. Historically, PrairieSky Royalty's own Financial Strength has ranged from 5.00 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 an Oil & Gas company?
A good Financial Strength depends on the Oil & Gas 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 PrairieSky Royalty and its competitors. PrairieSky Royalty's current Financial Strength is 7, which is near median its own 10-year median of 7.00. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is PrairieSky Royalty stock overvalued right now?
Based on GuruFocus' analysis, PrairieSky Royalty (FRA:7PS) is currently considered Modestly Overvalued. The stock's GF Value™ is €18.36, compared to a current price of €21.80 — trading 18.7% above its estimated fair value. The current Financial Strength is 7, which is near median its 10-year median of 7.00. PrairieSky Royalty's overall GF Score™ is 88/100 with 6 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 PrairieSky Royalty (FRA:7PS), the current Financial Strength is 7 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 PrairieSky Royalty (FRA:7PS) Overvalued in 2026?

Based on GuruFocus' analysis, PrairieSky Royalty stock appears to be overvalued. The current stock price of €21.80 is trading 18.7% above its estimated GF Value™ of €18.36. GuruFocus considers PrairieSky Royalty to be Modestly Overvalued.

Key valuation signals for FRA:7PS:

  • Financial Strength: 7 (near median its 10-year median of 7.00)
  • GF Value™: €18.36 vs. price of €21.80 (18.7% above fair value)
  • GF Score™: 88/100 with 6 warning signs

No single metric tells the full story. See the FRA:7PS stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


PrairieSky Royalty Business Description

Industry EnergyOil & Gas
Other Exchanges PREKF:USAPSK:Canada
Address 350, 7th Avenue S.W, Suite 1700, Calgary, AB, CAN, T2P 3N9
PrairieSky Royalty Ltd is the owner of subsurface mineral rights on a variety of royalty properties in western Canada. The company encourages third parties to develop these properties, while also seeking additional petroleum and natural gas royalty assets. Once PrairieSky has given a third party the right to explore, develop, or produce on its properties, the company collects royalty revenue from the development of petroleum and natural gas. Property arrangements can be contracted as lease issuances, farmouts, drilling commitments, or seismic option agreements.
88GF Score

Get the complete analysis for FRA:7PS

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

€21.80
Price
€18.36
GF Value