Profound Medical 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.
GuruFocus does not calculate Profound Medical's interest coverage with the available data.
Profound Medical's debt to revenue ratio for the quarter that ended in Mar. 2026 was 0.35.
As of today, Profound Medical's Altman Z-Score is 5.96.
Profound Medical (NAS:PROF) 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.
Profound Medical has the Financial Strength Rank of 7.
Profound Medical Financial Strength Related Terms
PROF vs ABT, SYK, MDT: Financial Strength Comparison
For the Medical Devices subindustry, Profound Medical'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.
Profound Medical Financial Strength vs Medical Devices & Instruments Industry
For the Medical Devices & Instruments industry and Healthcare sector, Profound Medical's Financial Strength distribution charts can be found below:
* The bar in red indicates where Profound Medical's Financial Strength falls into.
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:
GuruFocus does not calculate Profound Medical's interest coverage with the available data.
The higher the ratio, the stronger the company's financial strength is.
Good Sign:
Ben Graham prefers companies' interest coverage to be at least 5. Profound Medical Corp has enough cash to cover all of its debt. Its financial situation is stable.
2. Debt to revenue ratio. The lower, the better.
Profound Medical's Debt to Revenue Ratio for the quarter that ended in Mar. 2026 is
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.
Profound Medical has a Z-score of 5.96, indicating it is in Safe Zones. This implies the Z-Score is strong.
Good Sign:
Altman Z-score of 5.96 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.
Profound Medical (PROF) has a Financial Strength of 7 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 Profound Medical and its competitors. This is 17% above median its historical median of 6.00. Over the past decade, Profound Medical's Financial Strength has ranged from 3.00 to 8.00.
Is Profound Medical's Financial Strength too high?
Profound Medical's current Financial Strength of 7 is 17% above median its 10-year median of 6.00. Over the past 10 years, this metric has ranged from a low of 3.00 to a high of 8.00. Overall, Profound Medical has a GF Score™ of 73/100 and is considered Possible Value Trap, reflecting its overall financial health beyond just this single metric.
How does Profound Medical's Financial Strength compare to ABT and SYK?
Profound Medical's Financial Strength of 7 can be compared against companies in the Medical Devices & Instruments industry. Historically, Profound Medical's own Financial Strength has ranged from 3.00 to 8.00 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 Medical Devices & Instruments company?
A good Financial Strength depends on the Medical Devices & Instruments 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 Profound Medical and its competitors. Profound Medical's current Financial Strength is 7, which is 17% above median its own 10-year median of 6.00. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Profound Medical stock overvalued right now?
Based on GuruFocus' analysis, Profound Medical (PROF) is currently considered Possible Value Trap. The stock's GF Value™ is $14.36, compared to a current price of $7.53 — trading 47.6% below its estimated fair value. The current Financial Strength is 7, which is 17% above median its 10-year median of 6.00. Profound Medical's overall GF Score™ is 73/100 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 Profound Medical (PROF), the current Financial Strength is 7 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 Profound Medical (PROF) Overvalued in 2026?
Based on GuruFocus' analysis, Profound Medical stock appears to be undervalued.
The current stock price of $7.53 is trading 47.6% below its estimated GF Value™ of $14.36.
GuruFocus considers Profound Medical to be Possible Value Trap.
Key valuation signals for PROF:
Financial Strength: 7 (17% above median its 10-year median of 6.00)
GF Value™: $14.36 vs. price of $7.53 (47.6% below fair value)
No single metric tells the full story. See the PROF stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Profound Medical Corp is a commercial-stage medical device company focused on the development and marketing of AI-powered, MRI-guided, incision-free therapies for the ablation of diseased tissue. The company's flagship product, the TULSA-PRO system, combines real-time MRI, robotically-driven transurethral sweeping action/thermal ultrasound and closed-loop temperature feedback control to ablate whole gland or physician defined region of malignant or benign prostate tissue. Its platform technologies combine imaging, robotic control, and ultrasound-based thermal ablation for the treatment of prostate conditions. The company generates revenue through the sale of capital equipment and recurring sales of single-use devices and related services used in patient treatments.
73GF Score
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