Fonar Corporation Common Stock (FONR)

FairStock Score: 53/100 — MIXED

Key Financials

AI Analysis

AI-generated, general educational analysis — not personal investment advice.

I look for profitable businesses with durable advantages and a price below intrinsic value. FONAR is a niche MRI scanner maker and service provider; its upright scanner is a real differentiator, and it also runs physician management and diagnostic services. But the financials show a business under pressure. In the quarter the data labels 2026-Q1, revenue was $26.5 million, net income was $1.6 million, and the net margin was 6.20%. The provided growth readings are negative for both revenue and profit. FairStock-calculated returns are modest: ROE 5.47% and ROCE 2.74%. Debt is not alarming, with D/E 0.24, and its Piotroski F-Score is 6/9, so balance-sheet risk looks manageable. Free cash flow is $4.6 million, a 3.9% FCF yield on the $118.5 million market cap. At the 2026-06-03 close of $19.09, FairStock puts the P/E at 19.09 and P/B at 0.71. The Graham Number is $25.26, giving a 24.43% margin of safety, and EV/EBITDA is 6.48. Altman Z is 2.18, a gray area. The stock is near its 52-week high of $19.16, so this is not a classic bargain-bin setup. I see asset support and low leverage, but weak returns and falling profit keep me cautious. A patient value investor might want evidence of stabilizing revenue and margins, or a wider discount to the Graham Number.

In plain English: FONAR makes MRI scanners, including an upright scanner, and also provides physician management and diagnostic services. The business is profitable but sales and profits have been shrinking, and the company makes only a small profit relative to its size. At $19.09, the price looks fair-to-slightly-cheap compared with its assets and earnings, but the mixed operating picture means it is not an obvious bargain.

The full AI analysis, bull and bear case and key monitorables are in FairStock Pro.

Data as of 2026-06-03 close · note generated 2026-10-15 · model deepseek-flash

Fundamentals from company filings and market-data providers; prices are end-of-day, not real-time. AI-generated analysis is general and educational — not personal investment advice. Scoring methodology · Score test · Disclaimer