Roivant SciencesFRA:87S -1.60%55 Altman Z-Score is 36.70 as of Jun. 27, 2026, which is 273% above its 10-year median of 9.84. GuruFocus rates FRA:87S with a GF Score™ of 55/100 and a GF Value™ of €9.06 (Significantly Overvalued). The stock has 7 warning signs investors should review. Among 934 Biotechnology companies, Roivant Sciences ranks better than 92.93% on this metric.
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.
Good Sign:
Altman Z-score of 36.07 is strong.
Roivant Sciences has a Altman Z-Score of 36.70, indicating it is in Safe Zones. This implies the Altman Z-Score is strong.
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 Roivant Sciences's Altman Z-Score or its related term are showing as below:
FRA:87S'
s Altman Z-Score Range Over the Past 10 Years
Min: 1.69 Med: 9.84 Max: 36.07
Current: 36.07
During the past 6 years, Roivant Sciences's highest Altman Z-Score was 36.07. The lowest was 1.69. And the median was 9.84.
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.
Altman Z-Score does not apply to financial companies.
Roivant Sciences Altman Z-Score Related Terms
Roivant Sciences Altman Z-Score Historical Data
* Premium members only.
The historical data trend for Roivant Sciences'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.
FRA:87S vs INSM, INCY, BNTX: Altman Z-Score Comparison
For the Biotechnology subindustry, Roivant Sciences'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.
Roivant Sciences Altman Z-Score vs Biotechnology Industry
For the Biotechnology industry and Healthcare sector, Roivant Sciences's Altman Z-Score distribution charts can be found below:
* The bar in red indicates where Roivant Sciences's Altman Z-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.
Roivant Sciences'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
*
0.8559
+
1.4
*
-0.0879
+
3.3
*
-0.0454
+
0.6
*
59.9023
+
1.0
*
0.0014
=
36.70
* 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.
Roivant Sciences (FRA:87S) has a Altman Z-Score of 36.70 as of Jun. 27, 2026. The Altman Z-score measures a company's bankruptcy risk. View historical data on Roivant Sciences and its competitors. This is 273% above median its historical median of 9.84. Over the past decade, Roivant Sciences' Altman Z-Score has ranged from 1.69 to 36.07. According to the industry distribution chart, Roivant Sciences ranks #66 out of 934 companies in the Biotechnology industry, placing it in the top 7.1%.
Is Roivant Sciences' Altman Z-Score too high?
Roivant Sciences' current Altman Z-Score of 36.70 is 273% above median its 10-year median of 9.84. Over the past 10 years, this metric has ranged from a low of 1.69 to a high of 36.07. The Biotechnology industry median Altman Z-Score is 2.63. Roivant Sciences' value of 36.70 is 1298.1% above this industry median. Based on the distribution chart, Roivant Sciences ranks #66 out of 934 companies in the Biotechnology industry, which is in the top quartile — a strong position relative to peers. Overall, Roivant Sciences has a GF Score™ of 55/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Roivant Sciences' Altman Z-Score compare to INSM and INCY?
According to the Biotechnology industry distribution chart, Roivant Sciences ranks #66 out of 934 companies for Altman Z-Score. This places Roivant Sciences in the top 7% of its industry — outperforming the majority of peers. The industry median Altman Z-Score is 2.63. Roivant Sciences' value of 36.70 is 1298.1% above this benchmark. Historically, Roivant Sciences' own Altman Z-Score has ranged from 1.69 to 36.07 over the past decade. While the company's 10-year median is 9.84 vs. the industry median of 2.63, Roivant Sciences 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 Z-Score for a Biotechnology company?
The median Altman Z-Score among Biotechnology companies is 2.63, based on 934 companies in the industry. Companies in the top quartile (top 25%) have a Altman Z-Score significantly above this median, while those in the bottom quartile fall well below. However, Altman Z-Score should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Roivant Sciences's current Altman Z-Score of 36.70 is 1298.1% 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 Z-Score mean?
A high Altman Z-Score can signal that a stock is expensive relative to its fundamentals. The Altman Z-score measures a company's bankruptcy risk. View historical data on Roivant Sciences and its competitors. For the Biotechnology industry, the median Altman Z-Score is 2.63 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Roivant Sciences's current Altman Z-Score is 36.70, which is 273% above median its own 10-year median of 9.84. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Roivant Sciences stock overvalued right now?
Based on GuruFocus' analysis, Roivant Sciences (FRA:87S) is currently considered Significantly Overvalued. The stock's GF Value™ is €9.06, compared to a current price of €29.53 — trading 225.9% above its estimated fair value. The current Altman Z-Score is 36.70, which is 273% above median its 10-year median of 9.84 and 1298.1% above the Biotechnology industry median of 2.63. Roivant Sciences' overall GF Score™ is 55/100 with 7 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Altman Z-Score calculated?
Altman Z-Score is calculated from a company's financial statements. For Roivant Sciences (FRA:87S), the current Altman Z-Score is 36.70 as of Jun. 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 Roivant Sciences (FRA:87S) Overvalued in 2026?
Based on GuruFocus' analysis, Roivant Sciences stock appears to be overvalued.
The current stock price of €29.53 is trading 225.9% above its estimated GF Value™ of €9.06.
GuruFocus considers Roivant Sciences to be Significantly Overvalued.
Key valuation signals for FRA:87S:
Altman Z-Score: 36.70 (273% above median its 10-year median of 9.84)
GF Value™: €9.06 vs. price of €29.53 (225.9% above fair value)
Industry Position: 1298.1% above the Biotechnology median (#66 of 934)
No single metric tells the full story. See the FRA:87S stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Roivant Sciences Ltd is a commercial-stage biopharmaceutical company dedicated to improving the delivery of healthcare to patients. It also incubates discovery-stage companies and health technology startups complementary to its biopharmaceutical business. Its drug candidate VTAMA (tapinarof) is a treatment of plaque psoriasis in adult patients and is in its commercial stage. The other drug candidates in their different stages of development are; Batoclimab, IMVT-1402, Brepocitinib, Namilumab, and others.
55GF Score
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