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Gold Fields Altman Z-Score

: 3.18 (As of Today)
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Good Sign:

Altman Z-score of 3.23 is strong.

Gold Fields has a Altman Z-Score of 3.18, 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 Gold Fields's Altman Z-Score or its related term are showing as below:

GFI' s Altman Z-Score Range Over the Past 10 Years
Min: 0.09   Med: 2.23   Max: 5.17
Current: 3.23

During the past 13 years, Gold Fields's highest Altman Z-Score was 5.17. The lowest was 0.09. And the median was 2.23.


Gold Fields Altman Z-Score Historical Data

The historical data trend for Gold Fields'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.

Gold Fields Annual Data
Trend Dec12 Dec13 Dec14 Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21
Altman Z-Score
Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 1.56 1.08 1.79 2.91 3.51

Gold Fields Semi-Annual Data
Jun12 Dec12 Jun13 Dec13 Jun14 Dec14 Jun15 Dec15 Jun16 Dec16 Jun17 Dec17 Jun18 Dec18 Jun19 Dec19 Jun20 Dec20 Jun21 Dec21
Altman Z-Score 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 Premium Member Only Premium Member Only Premium Member Only 1.79 - 2.91 - 3.51

Competitive Comparison

For the Gold subindustry, Gold Fields'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.

   

Gold Fields Altman Z-Score Distribution

For the Metals & Mining industry and Basic Materials sector, Gold Fields's Altman Z-Score distribution charts can be found below:

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



Gold Fields 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.

Gold Fields'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*0.0815+1.4*0.3024+3.3*0.1844+0.6*2.4722+1.0*0.5709
=3.18

* 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 Dec. 2021:
Total Assets was $7,349 Mil.
Total Current Assets was $1,421 Mil.
Total Current Liabilities was $822 Mil.
Retained Earnings was $2,223 Mil.
Pre-Tax Income was $1,254 Mil.
Interest Expense was $-101 Mil.
Revenue was $4,195 Mil.
Market Cap (Today) was $7,957 Mil.
Total Liabilities was $3,219 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
=(1421.1 - 822.4)/7348.8
=0.0815

X2=Retained Earnings/Total Assets
=2222.6/7348.8
=0.3024

X3=Earnings Before Interest and Taxes/Total Assets
=(Pre-Tax Income - Interest Expense)/Total Assets
=(1254.4 - -100.9)/7348.8
=0.1844

X4=Market Value Equity/Book Value of Total Liabilities
=Market Cap/Total Liabilities
=7957.376/3218.7
=2.4722

X5=Revenue/Total Assets
=4195.2/7348.8
=0.5709

The zones of discrimination were as such:

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

Gold Fields has a Altman Z-Score of 3.18 indicating it is in Safe Zones.

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


Gold Fields  (NYSE:GFI) 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.


Gold Fields Altman Z-Score Related Terms

Thank you for viewing the detailed overview of Gold Fields's Altman Z-Score provided by GuruFocus.com. Please click on the following links to see related term pages.


Gold Fields Business Description

Gold Fields logo
Industry
Basic Materials » Metals & Mining NAICS : 212221 SIC : 0
Address
150 Helen Road, Sandown, Sandton, ZAF, 2196
Gold Fields Ltd is a globally diversified gold miner and producer with eight operating mines in Australia, Ghana, Peru, and South Africa. The majority of group revenue is generated in the Australian mines, largely the St Ives and Granny Smith sites, with Ghana the second- largest contributor of revenue. The company is involved in underground and surface gold and copper mining and related activities, including exploration, development, extraction, processing, and smelting. In Peru, the company also produces copper, and it has other precious metal exploration interests in Africa, Eurasia, Australasia, and the Americas.

Gold Fields Headlines

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