SWK (Stanley Black & Decker) Financial Strength: 5 (As of Mar. 2026) — Near Median

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SWK Stanley Black & Decker Inc SWK
73 GF Score
Price $88.39
GF Value $82.16
Valuation Fairly Valued
! 11 Warning Signs
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What is Stanley Black & Decker Financial Strength?

Stanley Black & Decker SWK +1.17% 73 Financial Strength is 5 as of Mar. 2026, which is at its 10-year median of 5.00. GuruFocus rates SWK with a GF Score™ of 73/100 and a GF Value™ of $82.16 (Fairly Valued). The stock has 11 warning signs investors should review.

Stanley Black & Decker has the Financial Strength Rank of 5.

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.

Stanley Black & Decker's Interest Coverage for the quarter that ended in Mar. 2026 was 2.05. Stanley Black & Decker's debt to revenue ratio for the quarter that ended in Mar. 2026 was 0.42. As of today, Stanley Black & Decker's Altman Z-Score is 2.06.


Stanley Black & Decker  (NYSE:SWK) 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.

Stanley Black & Decker has the Financial Strength Rank of 5.


Stanley Black & Decker Financial Strength Related Terms


SWK vs LECO, TKR, TTC: Financial Strength Comparison

For the Tools & Accessories subindustry, Stanley Black & Decker'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.


Stanley Black & Decker Financial Strength vs Industrial Products Industry

For the Industrial Products industry and Industrials sector, Stanley Black & Decker's Financial Strength distribution charts can be found below:

* The bar in red indicates where Stanley Black & Decker's Financial Strength falls into.


SWK
73GF Score
Stanley Black & Decker Inc SWK
Financial Strength is just one metric. See GF Score™, valuation, warning signs, and more.
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Stanley Black & Decker 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:

Stanley Black & Decker's Interest Expense for the months ended in Mar. 2026 was $-113 Mil. Its Operating Income for the months ended in Mar. 2026 was $231 Mil. And its Long-Term Debt & Capital Lease Obligation for the quarter that ended in Mar. 2026 was $4,704 Mil.

Stanley Black & Decker's Interest Coverage for the quarter that ended in Mar. 2026 is

Interest Coverage=-1*Operating Income (Q: Mar. 2026 )/Interest Expense (Q: Mar. 2026 )
=-1*231.4/-113.1
=2.05

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

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

Stanley Black & Decker's Debt to Revenue Ratio for the quarter that ended in Mar. 2026 is

Debt to Revenue Ratio=Total Debt (Q: Mar. 2026 ) / Revenue
=(Short-Term Debt & Capital Lease Obligation + Long-Term Debt & Capital Lease Obligation) / Revenue
=(1797.2 + 4704) / 15385.6
=0.42

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.

Stanley Black & Decker has a Z-score of 2.06, indicating it is in Grey Zones. This implies that Stanley Black & Decker 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 2.06 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 5 mean?
Stanley Black & Decker (SWK) has a Financial Strength of 5 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 Stanley Black & Decker and its competitors. This is near median its historical median of 5.00. Over the past decade, Stanley Black & Decker's Financial Strength has ranged from 4.00 to 7.00.
Is Stanley Black & Decker's Financial Strength too high?
Stanley Black & Decker's current Financial Strength of 5 is near median its 10-year median of 5.00. Over the past 10 years, this metric has ranged from a low of 4.00 to a high of 7.00. Overall, Stanley Black & Decker has a GF Score™ of 73/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does Stanley Black & Decker's Financial Strength compare to LECO and TKR?
Stanley Black & Decker's Financial Strength of 5 can be compared against companies in the Industrial Products industry. Historically, Stanley Black & Decker's own Financial Strength has ranged from 4.00 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 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 Stanley Black & Decker and its competitors. Stanley Black & Decker's current Financial Strength is 5, which is near 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 Stanley Black & Decker stock overvalued right now?
Based on GuruFocus' analysis, Stanley Black & Decker (SWK) is currently considered Fairly Valued. The stock's GF Value™ is $82.16, compared to a current price of $88.39 — trading 7.6% above its estimated fair value. The current Financial Strength is 5, which is near median its 10-year median of 5.00. Stanley Black & Decker's overall GF Score™ is 73/100 with 11 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 Stanley Black & Decker (SWK), the current Financial Strength is 5 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 Stanley Black & Decker (SWK) Overvalued in 2026?

Based on GuruFocus' analysis, Stanley Black & Decker stock appears to be overvalued. The current stock price of $88.39 is trading 7.6% above its estimated GF Value™ of $82.16. GuruFocus considers Stanley Black & Decker to be Fairly Valued.

Key valuation signals for SWK:

  • Financial Strength: 5 (near median its 10-year median of 5.00)
  • GF Value™: $82.16 vs. price of $88.39 (7.6% above fair value)
  • GF Score™: 73/100 with 11 warning signs

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


Stanley Black & Decker Business Description

Address 1000 Stanley Drive, New Britain, CT, USA, 06053
Stanley Black & Decker Inc offers hand tools, power tools, outdoor products, engineered fastening solutions, and related accessories. The company operates in two reportable business segments: Tools & Outdoor and Engineered Fastening. The majority of its revenue is generated from the Tools & Outdoor segment, which is comprised of the Power Tools Group (PTG), Hand Tools, Accessories and Storage (HTAS), and Outdoor Power Equipment (Outdoor) product lines. This segment's product offerings include drills, impact wrenches and drivers, grinders, saws, hammers, demolition tools, clamps, vises, knives, edge trimmers, lawn mowers, etc., which are offered through brands like Hustler, Dewalt, Craftsman, Stanley, and others. Geographically, the firm derives maximum revenue from the United States.
73GF Score

Get the complete analysis for SWK

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

$88.39
Price
$82.16
GF Value