What is American Virtual Cloud Technologies Probability of Financial Distress (%)?
Probability of Financial Distress (%) measures the probability that a company will go bankrupt in the upcoming year given its current financial position. A higher ratio indicates a larger probability of bankruptcy for the company, while a lower ratio indicates a healthier fundamental. As of today, American Virtual Cloud Technologies's Probability of Financial Distress (%) is 0.00%.
Like the Altman Z-Score, the PFD measures a company's bankruptcy risk. However, the main drawback of the Z-score is it does not apply to banks and insurance companies. According to Investopedia, the concept of "working capital" does not apply to banks and insurance companies, as financial institutions do not have typical current assets or current liabilities like inventories or accounts payable.
Competitive Comparison of American Virtual Cloud Technologies's Probability of Financial Distress (%)
For the Information Technology Services subindustry, American Virtual Cloud Technologies's Probability of Financial Distress (%), along with its competitors' market caps and Probability of Financial Distress (%) 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.
American Virtual Cloud Technologies's Probability of Financial Distress (%) Distribution in the Software Industry
For the Software industry and Technology sector, American Virtual Cloud Technologies's Probability of Financial Distress (%) distribution charts can be found below:
* The bar in red indicates where American Virtual Cloud Technologies's Probability of Financial Distress (%) falls into.
American Virtual Cloud Technologies Probability of Financial Distress (%) Calculation
Probability of Financial Distress (%) (PFD) was developed by John Campbell, Jens Hilscher and Jan Szilagyi in their Search of Distress Risk. It measures the probability that a company will go bankrupt within the next 12 months given its current financial position.
The Probability of Financial Distress (%) was obtained by a logit probability model based on eight explanatory variables. The logit formula to compute the probability of financial distress (LPFD) is given below:
| LPFD | = | -20.12 * NIMTAAVG | + | 1.60 * TLMTA | - | 7.88 * EXRETAVG | + | 1.55 * SIGMA | - | 0.005 * RSIZE | - | 2.27 * CASHMTA | + | 0.070 * MB | - | 0.09 * PRICE | - | 8.87 |
| = | 0.00 |
The Probability of Financial Distress (%) (PFD) was then obtianed by:
| PFD | = | 1 | / | (1 + e^(-LPFD)) | * | 100% |
| = | 0.00% |
The eight explanatory variables are:
1. NIMTAAVG = Net Income to Market Total Assets
*Note that for companies reported quarterly, geometrically declining weighted quarterly Net Income data in latest four quarters are used.
2. TLMTA = Total liabilities to Market Total Assets
3. CASHMTA = Cash to Market Total Assets
For non-financial companies, CASHMTA is measured as:
4. EXRETAVG = Excess Return compared to the S&P 500
EXRETAVG is the weighted excess return compared to the S&P 500 in past 12 month. Geometrically declining weights are imposed on the monthly excess return to reflect lagged information. The weight is halved each quarter.
5. SIGMA = Standard Deviation of Daily Returns
For sigma, we use the annualized standard deviation of a company's returns over the past 92 days (or 63 trading days).
6. RSIZE = Relative Size
| RSIZE | = | log (Market Cap | / | Total Market Cap of S&P 500 companies) |
7. MB = Market to Adjusted Book Equity Ratio
8. PRICE
PRICE is measured as the log of the stock price, capped at log(15).
American Virtual Cloud Technologies (American Virtual Cloud Technologies) Business Description
Traded in Other Exchanges
N/A
Address
1720 Peachtree Street, Suite 629, Atlanta, GA, USA, 30309
American Virtual Cloud Technologies Inc is engaged in the business of providing IT solutions. The company, along with its subsidiaries, offers various services like private & hybrid data centers, enterprise networking solutions, unified cloud communications, managed services, cybersecurity, and enhanced connectivity. It caters its services to different sectors such as Energy, Finance, Healthcare, Manufacturing & logistics, Public sector, Retail and hospitality, Technology service providers, and Others. It has two segments Computex and Kandy. Geographically, it generates the majority of its revenue from the domestic market.
Executives
| Charles E. Sweet |
director |
1720 PEACHTREE STREET, SUITE 629, ATLANTA GA 30309 |
| Ribbon Communications Inc. |
10 percent owner |
6500 CHASE OAKS BOULEVARD, PLANO TX 75023 |
| Adrian Foltz |
officer: Chief Financial Officer |
1720 PEACHTREE STREET, SUITE 629, ATLANTA GA 30309 |
| Onex Evans |
officer: Chief Accounting Officer |
1720 PEACHTREE STREET, SUITE 629, ATLANTA GA 30309 |
| Michael Tessler |
director |
C/O BROADSOFT, INC., 220 PERRY PARKWAY, GAITHERSBURG MD 20877 |
| Mock Lawrence E, Jr. |
director |
ONE BUCKHEAD PLAZA, 3060 PEACHTREE RD, SUITE 780, ATLANTA GA 30305 |
| Dennis P Lockhart |
director |
100 GOLF ROAD, GOLF IL 60029 |
| Pensare Sponsor Group, Llc |
10 percent owner |
1720 PEACHTREE STREET, SUITE 629, ATLANTA GA 30309 |
| Spac Opportunity Fund I, L.p. |
10 percent owner |
2870 PEACHTREE ROAD NW, SUITE 509, ATLANTA GA 30305 |
| Navigation Capital Partners, Inc. |
10 percent owner |
2870 PEACHTREE RD. NW, UNIT 509, ATLANTA GA 30305 |
| Navigation Capital Partners Ii, L.p. |
10 percent owner |
2870 PEACHTREE RD. NW, UNIT 509, ATLANTA GA 30305 |
| Stratos Management Systems Holdings Llc |
10 percent owner |
2870 PEACHTREE RD. NW, UNIT 509, ATLANTA GA 30305 |
| Kevin Keough |
officer: President |
1720 PEACHTREE STREET, SUITE 629, ATLANTA GA 30309 |
| Robert E. Willis |
director |
C/O PENSARE SPONSOR GROUP, LLC, 1720 PEACHTREE STREET, SUITE 629, ATLANTA GA 30309 |
| Spac Opportunity Partners, Llc |
10 percent owner |
2870 PEACHTREE ROAD NW, SUITE 509, ATLANTA GA 30305 |
American Virtual Cloud Technologies (American Virtual Cloud Technologies) Headlines
Quick Browse
Personalize
Premium Gurus 
Create New Portfolio
Portfolio Contest
AVCTQ has been successfully added to your