Inspire Medical SystemsSTU:2DR +4.17%59 Altman Z-Score is 8.37 as of Jun. 29, 2026, which is 75% below its 10-year median of 33.50. GuruFocus rates STU:2DR with a GF Score™ of 59/100 and a GF Value™ of €190.55 (Possible Value Trap). The stock has 7 warning signs investors should review. Among 808 Medical Devices & Instruments companies, Inspire Medical Systems ranks better than 79.33% on this metric.
The Altman Z-Score is a model designed to predict the likelihood of a company going bankrupt within the next two years. Created by American finance professor Edward Altman in 1968, the model is specifically designed for publicly traded manufacturing companies with assets greater than $1 million.
Good Sign:
Altman Z-score of 8.26 is strong.
Inspire Medical Systems has a Altman Z-Score of 8.37, indicating it is in Safe Zones. This implies the Altman Z-Score is strong.
The zones of discrimination were as such:
When Altman Z-Score <= 1.8, it is in Distress Zones.
When Altman Z-Score >= 3, it is in Safe Zones.
When Altman Z-Score is between 1.8 and 3, it is in Grey Zones.
The historical rank and industry rank for Inspire Medical Systems's Altman Z-Score or its related term are showing as below:
STU:2DR'
s Altman Z-Score Range Over the Past 10 Years
Min: -7.1 Med: 33.5 Max: 66.78
Current: 8.26
During the past 11 years, Inspire Medical Systems's highest Altman Z-Score was 66.78. The lowest was -7.10. And the median was 33.50.
Inspire Medical Systems (STU:2DR) Altman Z-Score Explanation
X1: The Working Capital/Total Assets (WC/TA) ratio is a measure of the net liquid assets of the firm relative to the total capitalization. Working capital is defined as the difference between current assets and current liabilities. Ordinarily, a firm experiencing consistent operating losses will have shrinking current assets in relation to total assets. Altman found this one proved to be the most valuable liquidity ratio comparing with the current ratio and the quick ratio. This is however the least significant of the five factors.
X2: Retained Earnings/Total Assets: the RE/TA ratio measures the leverage of a firm. Retained earnings is the account which reports the total amount of reinvested earnings and/or losses of a firm over its entire life. Those firms with high RE, relative to TA, have financed their assets through retention of profits and have not utilized as much debt.
X3, Earnings Before Interest and Taxes/Total Assets (EBIT/TA): This ratio is a measure of the true productivity of the firm's assets, independent of any tax or leverage factors. Since a firm's ultimate existence is based on the earning power of its assets, this ratio appears to be particularly appropriate for studies dealing with corporate failure. This ratio continually outperforms other profitability measures, including cash flow.
X4, Market Value of Equity/Book Value of Total Liabilities (MVE/TL): The measure shows how much the firm's assets can decline in value (measured by market value of equity plus debt) before the liabilities exceed the assets and the firm becomes insolvent.
X5, Revenue/Total Assets (S/TA): The capital-turnover ratio is a standard financial ratio illustrating the sales generating ability of the firm's assets.
* 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.
STU:2DR vs ENOV, PRCT, AHCO: Altman Z-Score Comparison
For the Medical Devices subindustry, Inspire Medical Systems's Altman Z-Score, along with its competitors' market caps and Altman Z-Score 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.
Inspire Medical Systems Altman Z-Score vs Medical Devices & Instruments Industry
For the Medical Devices & Instruments industry and Healthcare sector, Inspire Medical Systems's Altman Z-Score distribution charts can be found below:
* The bar in red indicates where Inspire Medical Systems's Altman Z-Score falls into.
Inspire Medical Systems Altman Z-Score Calculation
Altman 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.
* 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. GuruFocus does not calculate Altman Z-Score when X4 or X5 value is 0.
Inspire Medical Systems (STU:2DR) has a Altman Z-Score of 8.37 as of Jun. 29, 2026. The Altman Z-score measures a company's bankruptcy risk. View historical data on Inspire Medical Systems and its competitors. This is 75% below median its historical median of 33.50. According to the industry distribution chart, Inspire Medical Systems ranks #167 out of 808 companies in the Medical Devices & Instruments industry, placing it in the top 20.7%.
Is Inspire Medical Systems' Altman Z-Score too high?
Inspire Medical Systems' current Altman Z-Score of 8.37 is 75% below median its 10-year median of 33.50. The Medical Devices & Instruments industry median Altman Z-Score is 2.89. Inspire Medical Systems' value of 8.37 is 190.1% above this industry median. Based on the distribution chart, Inspire Medical Systems ranks #167 out of 808 companies in the Medical Devices & Instruments industry, which is in the top quartile — a strong position relative to peers. Overall, Inspire Medical Systems has a GF Score™ of 59/100 and is considered Possible Value Trap, reflecting its overall financial health beyond just this single metric.
How does Inspire Medical Systems' Altman Z-Score compare to ENOV and PRCT?
According to the Medical Devices & Instruments industry distribution chart, Inspire Medical Systems ranks #167 out of 808 companies for Altman Z-Score. This places Inspire Medical Systems in the top 21% of its industry — outperforming the majority of peers. The industry median Altman Z-Score is 2.89. Inspire Medical Systems' value of 8.37 is 190.1% above this benchmark. While the company's 10-year median is 33.50 vs. the industry median of 2.89, Inspire Medical Systems has consistently been above the industry average. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Altman Z-Score for a Medical Devices & Instruments company?
The median Altman Z-Score among Medical Devices & Instruments companies is 2.89, based on 808 companies in the industry. Companies in the top quartile (top 25%) have a Altman Z-Score significantly above this median, while those in the bottom quartile fall well below. However, Altman Z-Score should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Inspire Medical Systems's current Altman Z-Score of 8.37 is 190.1% above the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high Altman Z-Score mean?
A high Altman Z-Score can signal that a stock is expensive relative to its fundamentals. The Altman Z-score measures a company's bankruptcy risk. View historical data on Inspire Medical Systems and its competitors. For the Medical Devices & Instruments industry, the median Altman Z-Score is 2.89 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Inspire Medical Systems's current Altman Z-Score is 8.37, which is 75% below median its own 10-year median of 33.50. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Inspire Medical Systems stock overvalued right now?
Based on GuruFocus' analysis, Inspire Medical Systems (STU:2DR) is currently considered Possible Value Trap. The stock's GF Value™ is €190.55, compared to a current price of €40.00 — trading 79% below its estimated fair value. The current Altman Z-Score is 8.37, which is 75% below median its 10-year median of 33.50 and 190.1% above the Medical Devices & Instruments industry median of 2.89. Inspire Medical Systems' overall GF Score™ is 59/100 with 7 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Altman Z-Score calculated?
Altman Z-Score is calculated from a company's financial statements. For Inspire Medical Systems (STU:2DR), the current Altman Z-Score is 8.37 as of Jun. 29, 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 Inspire Medical Systems (STU:2DR) Overvalued in 2026?
Based on GuruFocus' analysis, Inspire Medical Systems stock appears to be undervalued.
The current stock price of €40.00 is trading 79% below its estimated GF Value™ of €190.55.
GuruFocus considers Inspire Medical Systems to be Possible Value Trap.
Key valuation signals for STU:2DR:
Altman Z-Score: 8.37 (75% below median its 10-year median of 33.50)
GF Value™: €190.55 vs. price of €40.00 (79% below fair value)
Industry Position: 190.1% above the Medical Devices & Instruments median (#167 of 808)
No single metric tells the full story. See the STU:2DR stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Inspire Medical Systems Inc operates as a medical technology company. It focuses on the development and commercialization of minimally invasive solutions for patients with obstructive sleep apnea (OSA). It offers Inspire system, a neurostimulation technology that provides a safe and effective treatment for moderate to severe obstructive sleep apnea. The firm has operating footprints in the United States and All other countries wherein, it generates a majority of its revenue from the United States. Its segment revenues are derived from the sales of its product, the Inspire system, to hospitals and ambulatory surgery centers in the U.S. and in selected countries in Europe and the Asia Pacific region.
59GF Score
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