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EFSH (1847 Holdings LLC) Altman Z-Score : -7.39 (As of Dec. 12, 2024)


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What is 1847 Holdings LLC 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 -7.38 is in distress zone. This implies bankruptcy possibility in the next two years.

1847 Holdings LLC has a Altman Z-Score of -7.39, 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 1847 Holdings LLC's Altman Z-Score or its related term are showing as below:

EFSH' s Altman Z-Score Range Over the Past 10 Years
Min: -19.73   Med: -0.17   Max: 9.47
Current: -7.38

During the past 11 years, 1847 Holdings LLC's highest Altman Z-Score was 9.47. The lowest was -19.73. And the median was -0.17.


1847 Holdings LLC Altman Z-Score Historical Data

The historical data trend for 1847 Holdings LLC'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.

1847 Holdings LLC Altman Z-Score Chart

1847 Holdings LLC 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 1.45 3.05 1.75 -0.76 -1.91

1847 Holdings LLC 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 -0.62 -1.91 -3.45 -4.14 -7.43

Competitive Comparison of 1847 Holdings LLC's Altman Z-Score

For the Conglomerates subindustry, 1847 Holdings LLC'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.


1847 Holdings LLC's Altman Z-Score Distribution in the Conglomerates Industry

For the Conglomerates industry and Industrials sector, 1847 Holdings LLC's Altman Z-Score distribution charts can be found below:

* The bar in red indicates where 1847 Holdings LLC's Altman Z-Score falls into.



1847 Holdings LLC 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.

1847 Holdings LLC'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*-0.3462+1.4*-5.1779+3.3*-1.5892+0.6*0.1013+1.0*5.4567
=-7.39

* 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 $16.90 Mil.
Total Current Assets was $13.49 Mil.
Total Current Liabilities was $19.34 Mil.
Retained Earnings was $-87.49 Mil.
Pre-Tax Income was -5.915 + -5.15 + -11.059 + -20.86 = $-42.98 Mil.
Interest Expense was -3.248 + -4.232 + -4.992 + -3.661 = $-16.13 Mil.
Revenue was 4.759 + 15.501 + 14.913 + 57.024 = $92.20 Mil.
Market Cap (Today) was $4.37 Mil.
Total Liabilities was $43.17 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
=(13.491 - 19.34)/16.896
=-0.3462

X2=Retained Earnings/Total Assets
=-87.485/16.896
=-5.1779

X3=Earnings Before Interest and Taxes/Total Assets
=(Pre-Tax Income - Interest Expense)/Total Assets
=(-42.984 - -16.133)/16.896
=-1.5892

X4=Market Value Equity/Book Value of Total Liabilities
=Market Cap/Total Liabilities
=4.372/43.169
=0.1013

X5=Revenue/Total Assets
=92.197/16.896
=5.4567

The zones of discrimination were as such:

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

1847 Holdings LLC has a Altman Z-Score of -7.39 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.


1847 Holdings LLC  (AMEX:EFSH) 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.


1847 Holdings LLC Altman Z-Score Related Terms

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1847 Holdings LLC Business Description

Traded in Other Exchanges
N/A
Address
590 Madison Avenue, 21st Floor, New York, NY, USA, 10022
1847 Holdings LLC is a diversified holding company. It operates in Four segments: Retail and appliances, Retail and Eyewear, Construction, and Automotive Supplies. The company generates maximum revenue from the Construction segment. The firm, through its subsidiaries, provides a wide range of land application services and sells equipment and parts, primarily to the agricultural, construction, and lawn and garden industries.
Executives
Ellery Roberts director, 10 percent owner, officer: CEO, President and CFO 590 MADISON AVENUE, 21ST FLOOR, NEW YORK NY 10022
Strategic Risk, Llc. 10 percent owner 228 PARK AVE S., PMB 828333, NEW YORK NY 10003
Michele A. Chow-tai director 590 MADISON AVENUE, 21ST FLOOR, NEW YORK NY 10022
Paul Froning director 590 MADISON AVENUE, 21ST FLOOR, NEW YORK NY 10022
Glyn C. Milburn director 13850 MANCHESTER RD, C/O 1847 GOEDEKER INC., BALLWIN MO 63011
Clark R. Crosnoe director 13850 MANCHESTER RD, C/O 1847 GOEDEKER INC.,, BALLWIN MO 63011
Taylor Lawrence X. Iii director 2727 N 3RD STREET, SUITE 201, PHOENIX AZ 85004
Tracy S. Harris director C/O 1847 HOLDINGS LLC, 590 MADISON AVE., 21ST FLOOR, NEW YORK NY 10022
Eric Vandam officer: Chief Operating Officer C/O 1847 HOLDINGS LLC, 590 MADISON AVENUE, 21ST FLOOR, NEW YORK NY 10022
Edward Tobin 10 percent owner C/O GEM SURGILIGHT INVESTORS, LLC, 9 WEST 57TH STREET, 46TH FLOOR, NEW YORK NY 10022
Vernice L Howard officer: Chief Financial Officer 590 MADISON AVENUE, 21ST FLOOR, C/O 1847 HOLDINGS LLC, NEW YORK NY 10022
Jay Amond officer: Chief Financial Officer 590 MADISON AVENUE, NEW YORK NY 10022
Rita Mallatt 10 percent owner 1847 HOLDINGS LLC, 590 MADISON AVENUE, 21ST FLOOR, NEW YORK NY 10022
Stephen Jr Mallatt 10 percent owner 1847 HOLDINGS LLC, 590 MADISON AVENUE, 21ST FLOOR, NEW YORK NY 10022
Robert Barry director 1847 GOEDEKER INC., 13850 MANCHESTER RD., BALLWIN MO 63011