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CPMD (Cannapharmarx) Altman Z-Score : -12.65 (As of Mar. 17, 2025)


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What is Cannapharmarx Altman Z-Score?

The Altman Z-Score is a model designed to predict the likelihood of a company going bankrupt within the next two years. Created by American finance professor Edward Altman in 1968, the model is specifically designed for publicly traded manufacturing companies with assets greater than $1 million.

Warning Sign:

Altman Z-score of -12.65 is in distress zone. This implies bankruptcy possibility in the next two years.

Cannapharmarx has a Altman Z-Score of -12.65, indicating it is in Distress Zones. This implies bankrupcy possibility in the next two years.

The zones of discrimination were as such:

When Altman Z-Score <= 1.8, it is in Distress Zones.
When Altman Z-Score >= 3, it is in Safe Zones.
When Altman Z-Score is between 1.8 and 3, it is in Grey Zones.

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

CPMD' s Altman Z-Score Range Over the Past 10 Years
Min: -25946.01   Med: -18.15   Max: -0.12
Current: -12.65

During the past 13 years, Cannapharmarx's highest Altman Z-Score was -0.12. The lowest was -25946.01. And the median was -18.15.


Cannapharmarx Altman Z-Score Historical Data

The historical data trend for Cannapharmarx's Altman Z-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.

Cannapharmarx Altman Z-Score Chart

Cannapharmarx Annual Data
Trend Dec14 Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23
Altman Z-Score
Get a 7-Day Free Trial Premium Member Only Premium Member Only - - - - -

Cannapharmarx Quarterly Data
Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24
Altman Z-Score Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only - - -16.92 -12.85 -12.60

Competitive Comparison of Cannapharmarx's Altman Z-Score

For the Drug Manufacturers - Specialty & Generic subindustry, Cannapharmarx'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.


Cannapharmarx's Altman Z-Score Distribution in the Drug Manufacturers Industry

For the Drug Manufacturers industry and Healthcare sector, Cannapharmarx's Altman Z-Score distribution charts can be found below:

* The bar in red indicates where Cannapharmarx's Altman Z-Score falls into.



Cannapharmarx Altman Z-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.

Cannapharmarx's Altman Z-Score for today is calculated with this formula:

Z=1.2*X1+1.4*X2+3.3*X3+0.6*X4+1.0*X5
=1.2*-1.7983+1.4*-8.342+3.3*0.3289+0.6*0.1289+1.0*0.0289
=-12.65

* 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 Z-Score when X4 or X5 value is 0.

Trailing Twelve Months (TTM) ended in Sep. 2024:
Total Assets was $11.68 Mil.
Total Current Assets was $1.50 Mil.
Total Current Liabilities was $22.50 Mil.
Retained Earnings was $-97.44 Mil.
Pre-Tax Income was 0.188 + 5.362 + -11.716 + 7.545 = $1.38 Mil.
Interest Expense was -0.632 + -0.734 + -0.576 + -0.521 = $-2.46 Mil.
Revenue was 0.312 + 0 + 0.026 + 0 = $0.34 Mil.
Market Cap (Today) was $3.64 Mil.
Total Liabilities was $28.27 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
=(1.497 - 22.503)/11.681
=-1.7983

X2=Retained Earnings/Total Assets
=-97.443/11.681
=-8.342

X3=Earnings Before Interest and Taxes/Total Assets
=(Pre-Tax Income - Interest Expense)/Total Assets
=(1.379 - -2.463)/11.681
=0.3289

X4=Market Value Equity/Book Value of Total Liabilities
=Market Cap/Total Liabilities
=3.644/28.266
=0.1289

X5=Revenue/Total Assets
=0.338/11.681
=0.0289

The zones of discrimination were as such:

Distress Zones - 1.81 < Grey Zones < 2.99 - Safe Zones

Cannapharmarx has a Altman Z-Score of -12.65 indicating it is in Distress Zones.

Study by Altman found that companies that are in Distress Zone have more than 80% of chances of bankruptcy in two years.


Cannapharmarx  (OTCPK:CPMD) 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.


Cannapharmarx Altman Z-Score Related Terms

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Cannapharmarx Business Description

Traded in Other Exchanges
N/A
Address
888 3rd Street SW, Suite 3600, Calgary, AB, CAN, T2P 5C5
Cannapharmarx Inc is involved in the cannabis sector. The company negotiates, acquires, and develops various cannabis cultivation projects throughout Canada. Its three projects include the Hanover Project; the Great Northern Project, and the Acquisition of Sunniva Medical.
Executives
Anthony Michael Panek director 95 SOUTH STATE STREET, SUITE 2300, SALT LAKE CITY UT 84111
Dominic Colvin director, officer: Chief Executive Officer C/O CANNAPHARMARX, INC., 2 PARK PLAZA, SUITE 1200-B, IRVINE CA 92614
John Hamilton Cassels officer: Chief Financial Officer SUITE 500, 209 8TH AVENUE SW, CALGARY A0 T2P 1B8
Richard Dale Orman director 302, 3204 RIDEAU PLACE SW, CALGARY A0 T2S1Z2
Andrew Clifford Steedman officer: Chief Operating Officer 1131 RIVERDALE AVE SW, CALGARY A0 T2S 0Y9
Marc R Branson director 977 KEITH ROAD, WEST VANCOUVER A1 V7T 1M6
Gary J Herick 10 percent owner 7609 RALSTON ROAD, ARVADA CO 80002
James F Samuelson director PO BOX 22, NEWPORT BEACH CA 92662
Matthew Nicosia director, 10 percent owner 2 PARK PLAZA, SUITE 400, IRVINE CA 92614
Robert M Liess director 2602 W. SAM ALLEN RD., PLANT CITY FL 33565
Mathew D Sherwood director P.O. BOX 4375, DILLON CO 80435
James E Smeeding director 4029 GILBERT AVENUE, DALLAS TX 75219
Elie M Khalife director 9447 E. CROSS CREEK STREET, WICHITA KS 67206
Steven J Rule director C/O CANNAPHARMARX, INC., ONE COLLINS DRIVE, SUITE 100, CARNEYS POINT NJ 08069
Alexander R Giaquinto director 120 MOUNTAIN VIEW BOULEVARD, BASKING RIDGE NJ 07920