Incyte (NAS:INCY) Altman Z2-Score

: 6.78 (As of Today)

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Good Sign:

Incyte has a Altman Z2-Score of 6.78, indicating it is in Safe Zones. This implies the Altman Z2-Score is strong.

The zones of discrimination were as such:

When Altman Z2-Score <= 1.1, it is in Distress Zones.
When Altman Z2-Score >= 2.6, it is in Safe Zones.
When Altman Z2-Score is between 1.1 and 2.6, it is in Grey Zones.

The historical rank and industry rank for Incyte's Altman Z2-Score or its related term are showing as below:

INCY' s Altman Z2-Score Range Over the Past 10 Years
Min: -15.8 Med: 1.79 Max: 7.82
Current: 6.78

During the past 13 years, Incyte's highest Altman Z2-Score was 7.82. The lowest was -15.80. And the median was 1.79.

Incyte Altman Z2-Score Historical Data

The historical data trend for Incyte's Altman Z2-Score can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

* Premium members only.

Incyte Annual Data

Trend

Dec13

Dec14

Dec15

Dec16

Dec17

Dec18

Dec19

Dec20

Dec21

Dec22

Altman Z2-Score

4.28

6.66

4.06

6.68

6.78

Incyte Quarterly Data
	Mar18	Jun18	Sep18	Dec18	Mar19	Jun19	Sep19	Dec19	Mar20	Jun20	Sep20	Dec20	Mar21	Jun21	Sep21	Dec21	Mar22	Jun22	Sep22	Dec22
Altman Z2-Score																6.68	6.81	7.25	7.23	6.78

Competitive Comparison

For the Biotechnology subindustry, Incyte's Altman Z2-Score, along with its competitors' market caps and Altman Z2-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.

Annual Data Quarterly Data

Incyte Altman Z2-Score Distribution

For the Biotechnology industry and Healthcare sector, Incyte's Altman Z2-Score distribution charts can be found below:

* The bar in red indicates where Incyte's Altman Z2-Score falls in comparison to its industry or sector. The grey bar indicates the Altman Z2-Score's extreme value range as defined by GuruFocus.

Incyte Altman Z2-Score Calculation

Altman Z-Score model is an accurate forecaster of failure up to two years prior to distress. It can be considered the assessment of the distress of industrial corporations.

Z2-Score, also known as Z"-Score is the Z-Score for non-manufacturing companies excluding property/financial companies.

Incyte's Altman Z2-Score for today is calculated with this formula:

6.56

3.26

6.72

1.05

X4_2

6.56

0.5026

3.26

-0.0749

6.72

0.091

1.05

2.9711

6.78

Trailing Twelve Months (TTM) ended in Dec. 2022:
Total Assets was $5,841 Mil.
Total Current Assets was $4,093 Mil.
Total Current Liabilities was $1,157 Mil.
Retained Earnings was $-437 Mil.
Pre-Tax Income was 80.615 + 148.588 + 229.378 + 70.535 = $529 Mil.
Interest Expense was -0.667 + -0.641 + -0.678 + -0.68 = $-3 Mil.
Total Liabilities was $1,471 Mil.

* Note that for stock reported semi-annually or annually, GuruFocus uses latest annual data as the TTM data.

X1	=	Working Capital	/	Total Assets
	=	(Total Current Assets - Total Current Liabilities)	/	Total Assets
	=	(4092.85 - 1157.077)	/	5840.984
	=	0.5026

X2	=	Retained Earnings	/	Total Assets
	=	-437.214	/	5840.984
	=	-0.0749

X3	=	Earnings Before Interest and Taxes	/	Total Assets
	=	(Pre-Tax Income - Interest Expense)	/	Total Assets
	=	(529.116 - -2.666)	/	5840.984
	=	0.091

X4_2	=	Net Worth	/	Total Liabilities
	=	(Total Stockholders Equity - Preferred Stock)	/	Total Liabilities
	=	(4370.119 - 0)	/	1470.865
	=	2.9711

The zones of discrimination were as such:

Distress Zones - 1.1 < Grey Zones < 2.6 - Safe Zones

Incyte has a Altman Z2-Score of 6.78 indicating it is in Safe Zones.

Incyte (NAS:INCY) Altman Z2-Score Explanation

The original Z-Score model was based on publicly traded manufacturing companies while the Z2-Score, also known as Z"-score can be used for any type of company excluding property/financial companies. Both Z-Score and Z2-Score describes the financial health of a company, and its likelihood of financial distress.

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_2, Net Worth (Total Stockholders Equity - Preferred Stock)/Total Liabilities (NW/TL): it compares a company’s stock net worth with its total liabilities and can be used to assess the extent of its reliance on debt.

Be Aware

Altman Z2-Score does not apply to financial companies.

Incyte Altman Z2-Score Related Terms

Thank you for viewing the detailed overview of Incyte's Altman Z2-Score provided by GuruFocus.com. Please click on the following links to see related term pages.

Incyte (NAS:INCY) Business Description

Industry

GURUFOCUS.COM » STOCK LIST » Healthcare » Biotechnology » Incyte Corp (NAS:INCY) » Definitions » Altman Z2-Score

Comparable Companies

Traded in Other Exchanges

ICY:Germany I1NC34:Brazil

Address

1801 Augustine Cut-Off, Wilmington, DE, USA, 19803

Website

https://www.incyte.com

Incyte focuses on the discovery and development of small-molecule drugs. The firm's lead drug, Jakafi, treats two types of rare blood cancer and graft versus host disease and is partnered with Novartis. Incyte's other marketed drugs include rheumatoid arthritis treatment Olumiant (licensed to Lilly), and oncology drugs Iclusig (chronic myeloid leukemia), Pemazyre (cholangiocarcinoma), Tabrecta (lung cancer), and Monjuvi (diffuse large B-cell lymphoma). The firm's first dermatology product, Opzelura, was approved in 2021 for atopic dermatitis. Incyte's pipeline includes a broad array of oncology and dermatology programs.

Executives

Susanne Schaffert	director	C/O RUBIUS THERAPEUTICS, INC., 399 BINNEY STREET, SUITE 300, CAMBRIDGE MA 02139
Thomas Tray	officer: Principal Accounting Officer	C/O INCYTE CORPORATION, 1801 AUGUSTINE CUT-OFF, WILMINGTON DE 19803
Otis W Brawley	director	5203 BRISTOL INDUSTRIAL WAY, BUFORD GA 30518
Katherine A High	director	3737 MARKET STREET, SUITE 1300, PHILADELPHIA PA 19104
Edmund Harrigan	director
Michael James Morrissey	officer: EVP, Head of Tech. Operations	IN CARE OF INCYTE CORPORATION, 1801 AUGUSTINE CUT OFF, WILMINGTON DE 19803
Jonathan Elliott Dickinson	officer: EVP, General Manager, Europe	CARE OF INCYTE CORPORATION, 1801 AUGUSTINE CUT OFF, WILMINGTON DE 19803
Christiana Stamoulis	officer: EVP & Chief Financial Officer	C/O VERTEX PHARMACEUTICALS INCORPORATED, 130 WAVERLY ST, CAMBRIDGE MA 02139
Dashyant Dhanak	officer: EVP & Chief Scientific Officer	C/O INCYTE CORPORATION, 1801 AUGUSTINE CUT-OFF, WILMINGTON DE 19803
Maria E Pasquale	officer: EVP & General Counsel	C/O INCYTE CORPORATION, 1801 AUGUSTINE CUT-OFF, WILMINGTON DE 19803
Jacqualyn A Fouse	director	C/O DICK'S SPORTING GOODS, 345 COURT STREET, CORAOPOLIS PA 15108
Vijay K Iyengar	officer: EVP GPS, BD, & Licensing	1801 AUGUSTINE CUT-OFF, WILMINGTON DE 19803
Steven H Stein	officer: EVP & Chief Medical Officer	1801 AUGUSTINE CUT-OFF, WILMINGTON DE 19803
Paul Trower	officer: VP, Finance & Prin Acc Officer	1801 AUGUSTINE CUT-OFF, WILMINGTON DE 19803
Paul J Clancy	director	C/O BIOGEN IDEC INC., 14 CAMBRIDGE CENTER, CAMBRIDGE MA 02142