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LX Technology GroupHKSE:02436 -2.63%60 Altman Z-Score is 4.25 as of Jul. 26, 2026, which is 125% above its 10-year median of 1.89. GuruFocus rates HKSE:02436 with a GF Score™ of 60/100 and a GF Value™ of HK$6.67 (Significantly Overvalued). The stock has 6 warning signs investors should review. Among 2,460 Hardware companies, LX Technology Group ranks better than 60.57% 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 4.25 is strong.
LX Technology Group has a Altman Z-Score of 4.25, 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 LX Technology Group's Altman Z-Score or its related term are showing as below:
HKSE:02436'
s Altman Z-Score Range Over the Past 10 Years
Min: 1.53 Med: 1.89 Max: 4.25
Current: 4.25
During the past 7 years, LX Technology Group's highest Altman Z-Score was 4.25. The lowest was 1.53. And the median was 1.89.
LX Technology Group (HKSE:02436) 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.
LX Technology Group Altman Z-Score Related Terms
LX Technology Group Altman Z-Score Historical Data
* Premium members only.
The historical data trend for LX Technology Group'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.
HKSE:02436 vs SNDK, DELL, STX: Altman Z-Score Comparison
For the Computer Hardware subindustry, LX Technology Group'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.
LX Technology Group Altman Z-Score vs Hardware Industry
For the Hardware industry and Technology sector, LX Technology Group's Altman Z-Score distribution charts can be found below:
* The bar in red indicates where LX Technology Group'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.
LX Technology Group'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
*
0.1386
+
1.4
*
-0.4189
+
3.3
*
0.0326
+
0.6
*
5.411
+
1.0
*
1.3129
=
4.25
* 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.
LX Technology Group (HKSE:02436) has a Altman Z-Score of 4.25 as of Jul. 26, 2026. The Altman Z-score measures a company's bankruptcy risk. View historical data on LX Technology Group and its competitors. This is 125% above median its historical median of 1.89. Over the past decade, LX Technology Group's Altman Z-Score has ranged from 1.53 to 4.25. According to the industry distribution chart, LX Technology Group ranks #970 out of 2460 companies in the Hardware industry, placing it in the top 39.4%.
Is LX Technology Group's Altman Z-Score too high?
LX Technology Group's current Altman Z-Score of 4.25 is 125% above median its 10-year median of 1.89. Over the past 10 years, this metric has ranged from a low of 1.53 to a high of 4.25. The Hardware industry median Altman Z-Score is 3.38. LX Technology Group's value of 4.25 is 25.7% above this industry median. Based on the distribution chart, LX Technology Group ranks #970 out of 2460 companies in the Hardware industry, which is above the industry midpoint. Overall, LX Technology Group has a GF Score™ of 60/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does LX Technology Group's Altman Z-Score compare to SNDK and DELL?
According to the Hardware industry distribution chart, LX Technology Group ranks #970 out of 2460 companies for Altman Z-Score. This puts LX Technology Group in the upper half of its industry. The industry median Altman Z-Score is 3.38. LX Technology Group's value of 4.25 is 25.7% above this benchmark. Historically, LX Technology Group's own Altman Z-Score has ranged from 1.53 to 4.25 over the past decade. While the company's 10-year median is 1.89 vs. the industry median of 3.38, LX Technology Group 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 Hardware company?
The median Altman Z-Score among Hardware companies is 3.38, based on 2,460 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. LX Technology Group's current Altman Z-Score of 4.25 is 25.7% 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 LX Technology Group and its competitors. For the Hardware industry, the median Altman Z-Score is 3.38 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. LX Technology Group's current Altman Z-Score is 4.25, which is 125% above median its own 10-year median of 1.89. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is LX Technology Group stock overvalued right now?
Based on GuruFocus' analysis, LX Technology Group (HKSE:02436) is currently considered Significantly Overvalued. The stock's GF Value™ is HK$6.67, compared to a current price of HK$18.50 — trading 177.4% above its estimated fair value. The current Altman Z-Score is 4.25, which is 125% above median its 10-year median of 1.89 and 25.7% above the Hardware industry median of 3.38. LX Technology Group's overall GF Score™ is 60/100 with 6 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 LX Technology Group (HKSE:02436), the current Altman Z-Score is 4.25 as of Jul. 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 LX Technology Group (HKSE:02436) Overvalued in 2026?
Based on GuruFocus' analysis, LX Technology Group stock appears to be overvalued.
The current stock price of HK$18.50 is trading 177.4% above its estimated GF Value™ of HK$6.67.
GuruFocus considers LX Technology Group to be Significantly Overvalued.
Key valuation signals for HKSE:02436:
Altman Z-Score: 4.25 (125% above median its 10-year median of 1.89)
GF Value™: HK$6.67 vs. price of HK$18.50 (177.4% above fair value)
Industry Position: 25.7% above the Hardware median (#970 of 2460)
No single metric tells the full story. See the HKSE:02436 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
LX Technology Group Ltd is a device as a service provider in China. It is principally engaged in the sales of refurbished de-commissioned IT devices to, among others, resellers of IT devices, and the provision of the device and IT technical subscription services to SMEs in China. The service line of the company are the Device recycling business, Device subscription services and IT technical subscription services. from which the company earns maximum revenue from the Device recycling business.
60GF Score
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