Kingsway Linked Return Of Capital Trust (TSX:KSP.UN.PFD) Altman Z-Score

Kingsway Linked Return Of Capital Trust Altman Z-Score Chart

Competitive Comparison of Kingsway Linked Return Of Capital Trust's Altman Z-Score

For the Asset Management subindustry, Kingsway Linked Return Of Capital Trust'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.

Kingsway Linked Return Of Capital Trust's Altman Z-Score Distribution in the Asset Management Industry

For the Asset Management industry and Financial Services sector, Kingsway Linked Return Of Capital Trust's Altman Z-Score distribution charts can be found below:

* The bar in red indicates where Kingsway Linked Return Of Capital Trust's Altman Z-Score falls into.

Kingsway Linked Return Of Capital Trust  (TSX:KSP.UN.PFD) 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.

Read more about Altman Z-Score and the original research.

Be Aware

Altman Z-Score does not apply to financial companies.

Kingsway Linked Return Of Capital Trust Altman Z-Score Related Terms

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Kingsway Linked Return Of Capital Trust (TSX:KSP.UN.PFD) Business Description