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Kinetix Systems HoldingsHKSE:08606 -5.36% Altman Z-Score is 1.76 as of Aug. 08, 2026, which is 25% below its 10-year median of 2.36. The stock has 4 warning signs investors should review. Among 2,771 Software companies, Kinetix Systems Holdings ranks worse than 67.95% 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.
Warning Sign:
Altman Z-score of 1.72 is in distress zone. This implies bankruptcy possibility in the next two years.
Kinetix Systems Holdings has a Altman Z-Score of 1.76, 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 Kinetix Systems Holdings's Altman Z-Score or its related term are showing as below:
HKSE:08606'
s Altman Z-Score Range Over the Past 10 Years
Min: 0.68 Med: 2.36 Max: 6.17
Current: 1.72
During the past 11 years, Kinetix Systems Holdings's highest Altman Z-Score was 6.17. The lowest was 0.68. And the median was 2.36.
Kinetix Systems Holdings (HKSE:08606) 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.
* 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:08606 vs IBM, ACN, FISV: Altman Z-Score Comparison
For the Information Technology Services subindustry, Kinetix Systems Holdings'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.
Kinetix Systems Holdings Altman Z-Score vs Software Industry
For the Software industry and Technology sector, Kinetix Systems Holdings's Altman Z-Score distribution charts can be found below:
* The bar in red indicates where Kinetix Systems Holdings's Altman Z-Score falls into.
Kinetix Systems Holdings 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.
* 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.
Kinetix Systems Holdings (HKSE:08606) has a Altman Z-Score of 1.76 as of Aug. 08, 2026. The Altman Z-score measures a company's bankruptcy risk. View historical data on Kinetix Systems Holdings and its competitors. This is 25% below median its historical median of 2.36. Over the past decade, Kinetix Systems Holdings' Altman Z-Score has ranged from 0.68 to 6.17. According to the industry distribution chart, Kinetix Systems Holdings ranks #1883 out of 2771 companies in the Software industry, placing it in the top 68%.
Is Kinetix Systems Holdings' Altman Z-Score too high?
Kinetix Systems Holdings' current Altman Z-Score of 1.76 is 25% below median its 10-year median of 2.36. Over the past 10 years, this metric has ranged from a low of 0.68 to a high of 6.17. The Software industry median Altman Z-Score is 3.15. Kinetix Systems Holdings' value of 1.76 is 44.1% below this industry median. Based on the distribution chart, Kinetix Systems Holdings ranks #1883 out of 2771 companies in the Software industry, which is below the industry midpoint.
How does Kinetix Systems Holdings' Altman Z-Score compare to IBM and ACN?
According to the Software industry distribution chart, Kinetix Systems Holdings ranks #1883 out of 2771 companies for Altman Z-Score. This places Kinetix Systems Holdings in the lower half of its industry. The industry median Altman Z-Score is 3.15. Kinetix Systems Holdings' value of 1.76 is 44.1% below this benchmark. Historically, Kinetix Systems Holdings' own Altman Z-Score has ranged from 0.68 to 6.17 over the past decade. While the company's 10-year median is 2.36 vs. the industry median of 3.15, Kinetix Systems Holdings has consistently been below 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 Software company?
The median Altman Z-Score among Software companies is 3.15, based on 2,771 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. Kinetix Systems Holdings's current Altman Z-Score of 1.76 is 44.1% below 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 Kinetix Systems Holdings and its competitors. For the Software industry, the median Altman Z-Score is 3.15 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Kinetix Systems Holdings's current Altman Z-Score is 1.76, which is 25% below median its own 10-year median of 2.36. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Kinetix Systems Holdings stock overvalued right now?
Based on GuruFocus' analysis, Kinetix Systems Holdings (HKSE:08606) is currently considered Possible Value Trap. The stock's GF Value™ is HK$0.10, compared to a current price of HK$0.05 — trading 47% below its estimated fair value. The current Altman Z-Score is 1.76, which is 25% below median its 10-year median of 2.36 and 44.1% below the Software industry median of 3.15. 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 Kinetix Systems Holdings (HKSE:08606), the current Altman Z-Score is 1.76 as of Aug. 08, 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.
Kinetix Systems Holdings Ltd is an Information Technology (IT) services provider. The company operates in three segments, which include the Provision of IT infrastructure solutions services, the Provision of IT development solutions services, and the Provision of IT maintenance and support services. The majority of its revenue comes from the IT infrastructure solutions services segment, which includes IT infrastructure, procurement of hardware and software, installation and testing & integration services, and system analysis & design, software development, and technology consultancy. Its geographical segments are Hong Kong, Macau, Singapore, and the United Kingdom, of which the vast majority of its revenue comes from Hong Kong.
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