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Castrol IndiaNSE:CASTROLIND -0.27%82 Altman Z2-Score is 6.96 as of Jul. 27, 2026, which is 8% below its 10-year median of 7.57. GuruFocus rates NSE:CASTROLIND with a GF Score™ of 82/100 and a GF Value™ of ₹217.21 (Modestly Undervalued). The stock has 4 warning signs investors should review. Among 1,004 Oil & Gas companies, Castrol India ranks worse than 99601.49% on this metric.
Altman Z2-Score, also known as Z"-Score, is used to predict the likelihood that a non-manufacturing company (excluding property/financial company) will face bankruptcy within a two-year period.
Good Sign:
Castrol India has a Altman Z2-Score of 6.96, 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 Castrol India's Altman Z2-Score or its related term are showing as below:
During the past 13 years, Castrol India's highest Altman Z2-Score was 9.28. The lowest was 5.46. And the median was 7.57.
Castrol India (NSE:CASTROLIND) 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.
Altman Z2-Score does not apply to financial companies.
Castrol India Altman Z2-Score Related Terms
Castrol India Altman Z2-Score Historical Data
* Premium members only.
The historical data trend for Castrol India'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.
NSE:CASTROLIND vs MPC, VLO, PSX: Altman Z2-Score Comparison
For the Oil & Gas Refining & Marketing subindustry, Castrol India'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.
Castrol India Altman Z2-Score vs Oil & Gas Industry
For the Oil & Gas industry and Energy sector, Castrol India's Altman Z2-Score distribution charts can be found below:
* The bar in red indicates where Castrol India's Altman Z2-Score falls into.
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.
Castrol India's Altman Z2-Score for today is calculated with this formula:
Z
=
6.56
*
X1
+
3.26
*
X2
+
6.72
*
X3
+
1.05
*
X4_2
=
6.56
*
0.2758
+
3.26
*
0.3796
+
6.72
*
0.3834
+
1.05
*
1.2715
=
6.96
* 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. GuruFocus does not calculate Altman Z2-Score when X4_2 value is 0.
Castrol India (NSE:CASTROLIND) has a Altman Z2-Score of 6.96 as of Jul. 27, 2026. Z2-Score is the Z-Score for non-manufacturing companies excluding property/financial companies, which measures a company's bankruptcy risk. View historical data on Castrol India and its competitors. This is near median its historical median of 7.57. Over the past decade, Castrol India's Altman Z2-Score has ranged from 5.46 to 9.28. According to the industry distribution chart, Castrol India ranks #999999 out of 1004 companies in the Oil & Gas industry.
Is Castrol India's Altman Z2-Score too high?
Castrol India's current Altman Z2-Score of 6.96 is near median its 10-year median of 7.57. Over the past 10 years, this metric has ranged from a low of 5.46 to a high of 9.28. The Oil & Gas industry median Altman Z2-Score is 1.82. Castrol India's value of 6.96 is 282.4% above this industry median. Based on the distribution chart, Castrol India ranks #999999 out of 1004 companies in the Oil & Gas industry, which is in the bottom quartile relative to peers. Overall, Castrol India has a GF Score™ of 82/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Castrol India's Altman Z2-Score compare to MPC and VLO?
According to the Oil & Gas industry distribution chart, Castrol India ranks #999999 out of 1004 companies for Altman Z2-Score. This places Castrol India in the lower half of its industry. The industry median Altman Z2-Score is 1.82. Castrol India's value of 6.96 is 282.4% above this benchmark. Historically, Castrol India's own Altman Z2-Score has ranged from 5.46 to 9.28 over the past decade. While the company's 10-year median is 7.57 vs. the industry median of 1.82, Castrol India has consistently been above the industry average. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Altman Z2-Score for an Oil & Gas company?
The median Altman Z2-Score among Oil & Gas companies is 1.82, based on 1,004 companies in the industry. Companies in the top quartile (top 25%) have a Altman Z2-Score significantly above this median, while those in the bottom quartile fall well below. However, Altman Z2-Score should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Castrol India's current Altman Z2-Score of 6.96 is 282.4% above the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high Altman Z2-Score mean?
A high Altman Z2-Score can signal that a stock is expensive relative to its fundamentals. Z2-Score is the Z-Score for non-manufacturing companies excluding property/financial companies, which measures a company's bankruptcy risk. View historical data on Castrol India and its competitors. For the Oil & Gas industry, the median Altman Z2-Score is 1.82 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Castrol India's current Altman Z2-Score is 6.96, which is near median its own 10-year median of 7.57. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Castrol India stock overvalued right now?
Based on GuruFocus' analysis, Castrol India (NSE:CASTROLIND) is currently considered Modestly Undervalued. The stock's GF Value™ is ₹217.21, compared to a current price of ₹184.79 — trading 14.9% below its estimated fair value. The current Altman Z2-Score is 6.96, which is near median its 10-year median of 7.57 and 282.4% above the Oil & Gas industry median of 1.82. Castrol India's overall GF Score™ is 82/100 with 4 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Altman Z2-Score calculated?
Altman Z2-Score is calculated from a company's financial statements. For Castrol India (NSE:CASTROLIND), the current Altman Z2-Score is 6.96 as of Jul. 27, 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.
Is Castrol India (NSE:CASTROLIND) Overvalued in 2026?
Based on GuruFocus' analysis, Castrol India stock appears to be undervalued.
The current stock price of ₹184.79 is trading 14.9% below its estimated GF Value™ of ₹217.21.
GuruFocus considers Castrol India to be Modestly Undervalued.
Key valuation signals for NSE:CASTROLIND:
Altman Z2-Score: 6.96 (near median its 10-year median of 7.57)
GF Value™: ₹217.21 vs. price of ₹184.79 (14.9% below fair value)
Industry Position: 282.4% above the Oil & Gas median (#999999 of 1004)
No single metric tells the full story. See the NSE:CASTROLIND stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Castrol India Ltd is principally engaged in the manufacturing and marketing of automotive and industrial lubricants and related services. It sells its products under the Castrol brand. The company's reportable business segment consists of a single segment: lubricants. The majority of all revenue comes from India.
82GF Score
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