What is Freedom Acquisition I 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, Freedom Acquisition I'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 Freedom Acquisition I's Probability of Financial Distress (%)
For the Shell Companies subindustry, Freedom Acquisition I'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.
Freedom Acquisition I's Probability of Financial Distress (%) Distribution in the Diversified Financial Services Industry
For the Diversified Financial Services industry and Financial Services sector, Freedom Acquisition I's Probability of Financial Distress (%) distribution charts can be found below:
* The bar in red indicates where Freedom Acquisition I's Probability of Financial Distress (%) falls into.
Freedom Acquisition I 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).
Freedom Acquisition I (Freedom Acquisition I) Business Description
Traded in Other Exchanges
N/A
Address
14 Wall Street, 20th Floor, New York, NY, USA, 10005
Freedom Acquisition I Corp is a blank check company.
Executives
| David John Anderson |
director, officer: CMO; EVP Strategic Partnership |
C/O COMPLETE SOLARIA, INC., 3000 EXECUTIVE PARKWAY, SUITE 504, SAN RAMON CA 94583 |
| Vikas Desai |
officer: President; GM Business Units |
C/O COMPLETE SOLARIA, INC., 3000 EXECUTIVE PARKWAY, SUITE 504, SAN RAMON CA 94583 |
| Thurman J Rodgers |
director, 10 percent owner |
535 EASTVIEW WAY, WOODSIDE CA 94062 |
| William James Anderson |
director, officer: Chief Executive Officer |
C/O COMPLETE SOLARIA, INC., 3000 EXECUTIVE PARKWAY, SUITE 504, SAN RAMON CA 94583 |
| Arnaud Lepert |
officer: Chief Operating Officer |
C/O COMPLETE SOLARIA, INC., 3000 EXECUTIVE PARKWAY, SUITE 504, SAN RAMON CA 94583 |
| Devin Whatley |
director |
C/O COMPLETE SOLARIA, INC., 3000 EXECUTIVE PARKWAY, SUITE 504, SAN RAMON CA 94583 |
| Brian Wuebbels |
officer: Chief Financial Officer |
C/O MEMC ELECTRONIC MATERIALS, INC., 501 PEARL DRIVE, ST. PETERS MO 63376 |
| Ronald J Pasek |
director |
101 INNOVATION DRIVE, SAN JOSE CA 95134 |
| Antonio R Alvarez |
director |
3901 N. FIRST ST., SAN JOSE CA 95134 |
| Edward Qiang Zeng |
director |
14 WALL STREET, 20TH FLOOR, NEW YORK NY 100005 |
| Nell Cady-kruse |
director |
C/O VARAGON CAPITAL CORPORATION, 299 PARK AVENUE, 3RD FLOOR, NEW YORK NY 10171 |
| David Poritz |
director |
14 WALL STREET, 20TH FLOOR, NEW YORK NY 10005 |
| Adam Gishen |
officer: Chief Executive Officer |
14 WALL STREET, 20TH FLOOR, NEW YORK NY 10005 |
| Freedom Acquisition I Llc |
10 percent owner |
C/O MAPLES CORPORATE SERVICES LIMITED, PO BOX 309, UGLAND HOUSE, GRAND CAYMAN E9 KY1-1104 |
| Tidjane Thiam |
director |
C/O TWENTY-FIRST CENTURY FOX, INC., NEW YORK NY 10036 |
Freedom Acquisition I (Freedom Acquisition I) Headlines
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