KONE Oyj (LTS:0II2) Financial Strength: 8 (As of Jun. 2026) — Near Median

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Director of Data and Quant Analytics at GuruFocus
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Founder & CEO of GuruFocus
Dr. Charlie Tian is the founder and CEO of GuruFocus.com, a leading global investment research platform established in 2004. With a Ph.D. in physics, Dr. Tian transitioned from science to finance, applying a data-driven, disciplined approach to value investing.

LTS:0II2 KONE Oyj LTS:0II2
77 GF Score
Price €50.12
GF Value €51.84
Valuation Fairly Valued
! 3 Warning Signs
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What is KONE Oyj Financial Strength?

KONE Oyj LTS:0II2 +0.58% 77 Financial Strength is 8 as of Jun. 2026, which is at its 10-year median of 8.00. GuruFocus rates LTS:0II2 with a GF Score™ of 77/100 and a GF Value™ of €51.84 (Fairly Valued). The stock has 3 warning signs investors should review.

KONE Oyj has the Financial Strength Rank of 8. It shows strong financial strength and is unlikely to fall into distressed situations.

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.

KONE Oyj's Interest Coverage for the quarter that ended in Jun. 2026 was 24.97. KONE Oyj's debt to revenue ratio for the quarter that ended in Jun. 2026 was 0.06. As of today, KONE Oyj's Altman Z-Score is 4.39.


KONE Oyj  (LTS:0II2) 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.

KONE Oyj has the Financial Strength Rank of 8. It shows strong financial strength and is unlikely to fall into distressed situations.


KONE Oyj Financial Strength Related Terms


LTS:0II2 vs GEV, ETN, PH: Financial Strength Comparison

For the Specialty Industrial Machinery subindustry, KONE Oyj'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.


KONE Oyj Financial Strength vs Industrial Products Industry

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

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


LTS:0II2
77GF Score
KONE Oyj LTS:0II2
Financial Strength is just one metric. See GF Score™, valuation, warning signs, and more.
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KONE Oyj 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:

KONE Oyj's Interest Expense for the months ended in Jun. 2026 was €-13 Mil. Its Operating Income for the months ended in Jun. 2026 was €322 Mil. And its Long-Term Debt & Capital Lease Obligation for the quarter that ended in Jun. 2026 was €527 Mil.

KONE Oyj'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*322.1/-12.9
=24.97

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

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

KONE Oyj'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
=(157.7 + 526.7) / 11750.4
=0.06

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.

KONE Oyj has a Z-score of 4.39, indicating it is in Safe Zones. This implies the Z-Score is strong.

Good Sign:

Altman Z-score of 4.39 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 8 mean?
KONE Oyj (LTS:0II2) has a Financial Strength of 8 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 KONE Oyj and its competitors. This is near median its historical median of 8.00. Over the past decade, KONE Oyj's Financial Strength has ranged from 5.00 to 9.00.
Is KONE Oyj's Financial Strength too high?
KONE Oyj's current Financial Strength of 8 is near median its 10-year median of 8.00. Over the past 10 years, this metric has ranged from a low of 5.00 to a high of 9.00. Overall, KONE Oyj has a GF Score™ of 77/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does KONE Oyj's Financial Strength compare to GEV and ETN?
KONE Oyj's Financial Strength of 8 can be compared against companies in the Industrial Products industry. Historically, KONE Oyj's own Financial Strength has ranged from 5.00 to 9.00 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 KONE Oyj and its competitors. KONE Oyj's current Financial Strength is 8, which is near 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 KONE Oyj stock overvalued right now?
Based on GuruFocus' analysis, KONE Oyj (LTS:0II2) is currently considered Fairly Valued. The stock's GF Value™ is €51.84, compared to a current price of €50.12 — trading 3.3% below its estimated fair value. The current Financial Strength is 8, which is near median its 10-year median of 8.00. KONE Oyj's overall GF Score™ is 77/100 with 3 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 KONE Oyj (LTS:0II2), the current Financial Strength is 8 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 KONE Oyj (LTS:0II2) Overvalued in 2026?

Based on GuruFocus' analysis, KONE Oyj stock appears to be undervalued. The current stock price of €50.12 is trading 3.3% below its estimated GF Value™ of €51.84. GuruFocus considers KONE Oyj to be Fairly Valued.

Key valuation signals for LTS:0II2:

  • Financial Strength: 8 (near median its 10-year median of 8.00)
  • GF Value™: €51.84 vs. price of €50.12 (3.3% below fair value)
  • GF Score™: 77/100 with 3 warning signs

No single metric tells the full story. See the LTS:0II2 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


KONE Oyj Business Description

Address Keilasatama 3, P.O. Box 7, Espoo, FIN, 02150
Kone is a global top-four supplier of elevators and escalators. Kone began producing elevators in Finland in 1918 and today generates revenue in three ways: selling new elevators and escalators, modernizing old equipment, and servicing its installed base. Most of the company's profit comes from the last activity, where contracts are rolled over annually with built-in price increases. The bulk of Kone's business is in elevators, which are more numerous globally than escalators. Its business model is similar to closest competitors Otis, Schindler, and TK Elevator.
77GF Score

Get the complete analysis for LTS:0II2

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

€50.12
Price
€51.84
GF Value