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Outset MedicalOM -8.51%64 3-Year RORE % is -55.54 as of Jun. 2026. GuruFocus rates OM with a GF Score™ of 64/100 and a GF Value™ of $4.18 (Modestly Overvalued). The stock has 3 warning signs investors should review. Among 776 Medical Devices & Instruments companies, Outset Medical ranks worse than 83.38% on this metric.
Return on Retained Earnings (RORE) is an indicator of a company's growth potential, it shows how much a company earns by reinvesting its retained earnings, i.e. profits after dividend payments.
Outset Medical's 3-Year RORE % for the quarter that ended in Jun. 2026 was -55.54%.
The industry rank for Outset Medical's 3-Year RORE % or its related term are showing as below:
OM's 3-Year RORE % is ranked worse than 83.38% of 776
companies
in the Medical Devices & Instruments industry
Industry Median: -4.23
vs OM: -55.54
Return on Retained Earnings (RORE) is important to investors because it reveals a company's efficiency and growth potential. A higher RORE indicates a higher return. A high RORE indicates that the company should reinvest profits into the business. A lower RORE suggests that the company should distribute profits to shareholders by paying out dividends, since those dollars aren't generating much additional growth for the company.
There are a several different ways to arrive at the Return on Retained Earnings. The simplest way to calculate it is by using published information on Earnings per Share (EPS) and Dividend per Share (DPS) over a selected period. Here, 3-year period is chosen.
Be Aware
Please keep in mind that the RORE is relative to the nature of the business and its competitors. If another company in the same sector is producing a lower return on retained earnings, it doesn’t necessarily mean it’s a bad investment. It may just suggest the company is older and no longer in a high growth stage. At such a stage in the business cycle, it would be expected to see a lower RORE and higher dividend payout.
Outset Medical 3-Year RORE % Related Terms
Outset Medical 3-Year RORE % Historical Data
* Premium members only.
The historical data trend for Outset Medical's 3-Year RORE % can be seen below:
* 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.
For the Medical Devices subindustry, Outset Medical's 3-Year RORE %, along with its competitors' market caps and 3-Year RORE % 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.
Outset Medical 3-Year RORE % vs Medical Devices & Instruments Industry
For the Medical Devices & Instruments industry and Healthcare sector, Outset Medical's 3-Year RORE % distribution charts can be found below:
* The bar in red indicates where Outset Medical's 3-Year RORE % falls into.
* 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.
In the calculation of 3-Year RORE %, the most recent and first period EPS (Diluted) is the trailing twelve months (TTM) data ended in Jun. 2026 and 3-year before.
Outset Medical (OM) has a 3-Year RORE % of -55.54 as of Jun. 2026. 3-Year RORE % shows how much a company earns by reinvesting its retained earnings in 3-year. View historical data on Outset Medical and its competitors. According to the industry distribution chart, Outset Medical ranks #647 out of 776 companies in the Medical Devices & Instruments industry, placing it in the top 83.4%.
Is Outset Medical's 3-Year RORE % too high?
Outset Medical's current 3-Year RORE % is -55.54. Based on the distribution chart, Outset Medical ranks #647 out of 776 companies in the Medical Devices & Instruments industry, which is in the bottom quartile relative to peers. Overall, Outset Medical has a GF Score™ of 64/100 and is considered Modestly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Outset Medical's 3-Year RORE % compare to SERA and LNSR?
According to the Medical Devices & Instruments industry distribution chart, Outset Medical ranks #647 out of 776 companies for 3-Year RORE %. This places Outset Medical in the lower half of its industry. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good 3-Year RORE % for a Medical Devices & Instruments company?
A good 3-Year RORE % depends on the Medical Devices & Instruments industry context. However, 3-Year RORE % 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 3-Year RORE % mean?
A high 3-Year RORE % can signal that a stock is expensive relative to its fundamentals. 3-Year RORE % shows how much a company earns by reinvesting its retained earnings in 3-year. View historical data on Outset Medical and its competitors. Outset Medical's current 3-Year RORE % is -55.54. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Outset Medical stock overvalued right now?
Based on GuruFocus' analysis, Outset Medical (OM) is currently considered Modestly Overvalued. The stock's GF Value™ is $4.18, compared to a current price of $4.74 — trading 13.4% above its estimated fair value. The current 3-Year RORE % is -55.54. Outset Medical's overall GF Score™ is 64/100 with 3 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is 3-Year RORE % calculated?
3-Year RORE % is calculated from a company's financial statements. For Outset Medical (OM), the current 3-Year RORE % is -55.54 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 Outset Medical (OM) Overvalued in 2026?
Based on GuruFocus' analysis, Outset Medical stock appears to be overvalued.
The current stock price of $4.74 is trading 13.4% above its estimated GF Value™ of $4.18.
GuruFocus considers Outset Medical to be Modestly Overvalued.
Key valuation signals for OM:
3-Year RORE %: -55.54
GF Value™: $4.18 vs. price of $4.74 (13.4% above fair value)
No single metric tells the full story. See the OM stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Outset Medical Inc is a medical technology company pioneering a technology to reduce the cost and complexity of dialysis. The Company generates revenue from the sales of Tablo consoles and related consumables, including Tablo cartridges and accessories.
64GF Score
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