SOPHiA GENETICS SA Ordinary Shares (SOPH)

FairStock Score: 27/100 — RISKY

Key Financials

AI Analysis

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

As a value investor, I begin with earning power and a margin of safety. SOPHiA GENETICS sells cloud software that helps hospitals, laboratories and biopharma analyze complex medical data. That niche can create switching costs if it becomes embedded, but the current numbers do not show a durable money-making business. In the second quarter of 2026, revenue was $23.3 million and net loss was $22.4 million, a negative 95.91% margin. Trailing free cash flow was negative $50.5 million, a negative 14.4% free cash flow yield on the $350.5 million market cap as of the 2026-10-13 close. FairStock calculations show a P/E of -6.11, P/B of 7.23, ROE of -101.22%, ROCE of -24.52%, Piotroski F-Score of 4/9 and Altman Z-Score of -1.83. Debt-to-equity of 0.74 is not extreme, but the cash burn is the real risk. The stock at $7.09 sits inside a 52-week range of $3.75 to $8.98, and FairStock Score is 27/100. Top-line growth is present in the supplied data, but profit growth is essentially flat and the company has no Peter Lynch category because only zero years of filed results are available—three are needed. A moat may be forming through data network effects and workflow integration, but it is unproven at this scale. Without a credible path to positive free cash flow, intrinsic value is hard to pin down. Graham would demand a much larger discount to compensate for the uncertainty. I would watch cash burn, customer retention and whether losses narrow.

In plain English: SOPHiA GENETICS sells cloud software that helps hospitals and labs study medical and genetic data. The business is growing sales but losing money heavily, and its latest quarter showed a loss almost as large as its sales. At $7.09, the stock looks expensive compared with its current profits and assets.

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

Data as of 2026-10-13 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