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Sofwave Medical has the Financial Strength Rank of 9. It shows strong financial strength and is unlikely to fall into distressed situations.
Good Sign:
Sofwave Medical Ltd shows strong financial strength.
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.
Sofwave Medical's Interest Coverage for the quarter that ended in Jun. 2026 was 4.73.
Sofwave Medical's debt to revenue ratio for the quarter that ended in Jun. 2026 was 0.01.
As of today, Sofwave Medical's Altman Z-Score is 11.61.
Sofwave Medical (OTCPK:SOFWF) 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.
Sofwave Medical has the Financial Strength Rank of 9. It shows strong financial strength and is unlikely to fall into distressed situations.
Sofwave Medical Financial Strength Related Terms
SOFWF vs ABT, SYK, MDT: Financial Strength Comparison
For the Medical Devices subindustry, Sofwave 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.
Sofwave Medical Financial Strength vs Medical Devices & Instruments Industry
For the Medical Devices & Instruments industry and Healthcare sector, Sofwave Medical's Financial Strength distribution charts can be found below:
* The bar in red indicates where Sofwave 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:
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. Sofwave Medical Ltd has enough cash to cover all of its debt. Its financial situation is stable.
2. Debt to revenue ratio. The lower, the better.
Sofwave Medical's Debt to Revenue Ratio for the quarter that ended in Jun. 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.
Sofwave Medical has a Z-score of 11.61, indicating it is in Safe Zones. This implies the Z-Score is strong.
Good Sign:
Altman Z-score of 11.61 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.
Sofwave Medical (SOFWF) has a Financial Strength of 9 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 Sofwave Medical and its competitors. This is 13% above median its historical median of 8.00. Over the past decade, Sofwave Medical's Financial Strength has ranged from 7.00 to 10.00.
Is Sofwave Medical's Financial Strength too high?
Sofwave Medical's current Financial Strength of 9 is 13% above median its 10-year median of 8.00. Over the past 10 years, this metric has ranged from a low of 7.00 to a high of 10.00. Overall, Sofwave Medical has a GF Score™ of 53/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Sofwave Medical's Financial Strength compare to ABT and SYK?
Sofwave Medical's Financial Strength of 9 can be compared against companies in the Medical Devices & Instruments industry. Historically, Sofwave Medical's own Financial Strength has ranged from 7.00 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 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 Sofwave Medical and its competitors. Sofwave Medical's current Financial Strength is 9, which is 13% above 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 Sofwave Medical stock overvalued right now?
Based on GuruFocus' analysis, Sofwave Medical (SOFWF) is currently considered Modestly Undervalued. The stock's GF Value™ is $12.80, compared to a current price of $11.00 — trading 14.1% below its estimated fair value. The current Financial Strength is 9, which is 13% above median its 10-year median of 8.00. Sofwave Medical's overall GF Score™ is 53/100 with 1 warning sign 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 Sofwave Medical (SOFWF), the current Financial Strength is 9 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 Sofwave Medical (SOFWF) Overvalued in 2026?
Based on GuruFocus' analysis, Sofwave Medical stock appears to be undervalued.
The current stock price of $11.00 is trading 14.1% below its estimated GF Value™ of $12.80.
GuruFocus considers Sofwave Medical to be Modestly Undervalued.
Key valuation signals for SOFWF:
Financial Strength: 9 (13% above median its 10-year median of 8.00)
GF Value™: $12.80 vs. price of $11.00 (14.1% below fair value)
No single metric tells the full story. See the SOFWF stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
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