Kumba Iron OreFRA:KUI -1.30%72 Altman Z-Score is 4.32 as of Jun. 26, 2026, which is 35% below its 10-year median of 6.64. GuruFocus rates FRA:KUI with a GF Score™ of 72/100 and a GF Value™ of €17.65 (Modestly Undervalued). The stock has 5 warning signs investors should review. Among 614 Steel companies, Kumba Iron Ore ranks better than 78.18% 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 4.28 is strong.
Kumba Iron Ore has a Altman Z-Score of 4.32, 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 Kumba Iron Ore's Altman Z-Score or its related term are showing as below:
FRA:KUI'
s Altman Z-Score Range Over the Past 10 Years
Min: 4.03 Med: 6.64 Max: 9.73
Current: 4.28
During the past 13 years, Kumba Iron Ore's highest Altman Z-Score was 9.73. The lowest was 4.03. And the median was 6.64.
Kumba Iron Ore (FRA:KUI) 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.
Altman Z-Score does not apply to financial companies.
Kumba Iron Ore Altman Z-Score Related Terms
Kumba Iron Ore Altman Z-Score Historical Data
* Premium members only.
The historical data trend for Kumba Iron Ore'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:KUI vs NUE, STLD, RS: Altman Z-Score Comparison
For the Steel subindustry, Kumba Iron Ore'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.
Kumba Iron Ore Altman Z-Score vs Steel Industry
For the Steel industry and Basic Materials sector, Kumba Iron Ore's Altman Z-Score distribution charts can be found below:
* The bar in red indicates where Kumba Iron Ore'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.
Kumba Iron Ore'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
*
0.1826
+
1.4
*
0.5055
+
3.3
*
0.2617
+
0.6
*
3.0862
+
1.0
*
0.6757
=
4.32
* 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.
Kumba Iron Ore (FRA:KUI) has a Altman Z-Score of 4.32 as of Jun. 26, 2026. The Altman Z-score measures a company's bankruptcy risk. View historical data on Kumba Iron Ore and its competitors. This is 35% below median its historical median of 6.64. Over the past decade, Kumba Iron Ore's Altman Z-Score has ranged from 4.03 to 9.73. According to the industry distribution chart, Kumba Iron Ore ranks #134 out of 614 companies in the Steel industry, placing it in the top 21.8%.
Is Kumba Iron Ore's Altman Z-Score too high?
Kumba Iron Ore's current Altman Z-Score of 4.32 is 35% below median its 10-year median of 6.64. Over the past 10 years, this metric has ranged from a low of 4.03 to a high of 9.73. The Steel industry median Altman Z-Score is 2.47. Kumba Iron Ore's value of 4.32 is 74.9% above this industry median. Based on the distribution chart, Kumba Iron Ore ranks #134 out of 614 companies in the Steel industry, which is in the top quartile — a strong position relative to peers. Overall, Kumba Iron Ore has a GF Score™ of 72/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Kumba Iron Ore's Altman Z-Score compare to NUE and STLD?
According to the Steel industry distribution chart, Kumba Iron Ore ranks #134 out of 614 companies for Altman Z-Score. This places Kumba Iron Ore in the top 22% of its industry — outperforming the majority of peers. The industry median Altman Z-Score is 2.47. Kumba Iron Ore's value of 4.32 is 74.9% above this benchmark. Historically, Kumba Iron Ore's own Altman Z-Score has ranged from 4.03 to 9.73 over the past decade. While the company's 10-year median is 6.64 vs. the industry median of 2.47, Kumba Iron Ore 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 Steel company?
The median Altman Z-Score among Steel companies is 2.47, based on 614 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. Kumba Iron Ore's current Altman Z-Score of 4.32 is 74.9% 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 Kumba Iron Ore and its competitors. For the Steel industry, the median Altman Z-Score is 2.47 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Kumba Iron Ore's current Altman Z-Score is 4.32, which is 35% below median its own 10-year median of 6.64. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Kumba Iron Ore stock overvalued right now?
Based on GuruFocus' analysis, Kumba Iron Ore (FRA:KUI) is currently considered Modestly Undervalued. The stock's GF Value™ is €17.65, compared to a current price of €15.20 — trading 13.9% below its estimated fair value. The current Altman Z-Score is 4.32, which is 35% below median its 10-year median of 6.64 and 74.9% above the Steel industry median of 2.47. Kumba Iron Ore's overall GF Score™ is 72/100 with 5 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 Kumba Iron Ore (FRA:KUI), the current Altman Z-Score is 4.32 as of Jun. 26, 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 Kumba Iron Ore (FRA:KUI) Overvalued in 2026?
Based on GuruFocus' analysis, Kumba Iron Ore stock appears to be undervalued.
The current stock price of €15.20 is trading 13.9% below its estimated GF Value™ of €17.65.
GuruFocus considers Kumba Iron Ore to be Modestly Undervalued.
Key valuation signals for FRA:KUI:
Altman Z-Score: 4.32 (35% below median its 10-year median of 6.64)
GF Value™: €17.65 vs. price of €15.20 (13.9% below fair value)
Industry Position: 74.9% above the Steel median (#134 of 614)
No single metric tells the full story. See the FRA:KUI stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Kumba Iron Ore Ltd is engaged in the exploration, mining, processing, blending, and sale of iron ore to the steel industry. The company operates in South Africa, with mining operations in the Northern Cape and Limpopo provinces, as well as a head office in Centurion, Gauteng, and a port operation in Saldanha Bay, Western Cape. The company's flagship asset is the Sishen mine, which it holds a majority stake in, located near the town of Kathu in the Northern Cape Province. The Sishen mine is opencast and produces the bulk of the group's iron ore, which is exported. It also holds an interest in the Kolomela mine. The company also generates revenue from Shipping operations. The majority of the company's revenue is generated from its products.
72GF Score
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