Altman's Z-score
Online calculator — enter the values and get the result instantly, with the formula and a worked example.
Formula & notes
Z = 1.2 x1 + 1.4 x2 + 3.3 x3 + 0.6 x4 + 1 x5
x1 = Net operating capital / Total capital (assets)
x2 = Retained earnings / Total capital
x3 = Earnings before interest and taxes / Total capital
x4 = Market value of equity (market price of shares) / Foreign capital
x5 = Turnover (revenue) / Total capital
What is it
Altman's analysis is one of the most effective financial analyses that allows you to define the state and direction of an organization with a certain probability based on six selected indicators, thereby being able to predict its future. More here
Calculator
Worked example
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