Premier Foods (LSE:PFD) Altman Z-Score: 2.68 (As of Jun. 27, 2026) — 69% Above Median


LSE:PFD Premier Foods PLC LSE:PFD
84 GF Score
Price £2.07
GF Value £1.85
Valuation Modestly Overvalued
! 6 Warning Signs
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What is Premier Foods Altman Z-Score?

Premier Foods LSE:PFD +1.37% 84 Altman Z-Score is 2.68 as of Jun. 27, 2026, which is 69% above its 10-year median of 1.59. GuruFocus rates LSE:PFD with a GF Score™ of 84/100 and a GF Value™ of £1.85 (Modestly Overvalued). The stock has 6 warning signs investors should review. Among 1,933 Consumer Packaged Goods companies, Premier Foods ranks worse than 54.32% 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 2.62 is in the grey area. This implies that the company is under some kind of financial stress. If it is below 1.8, the company may face bankruptcy risk.

Premier Foods has a Altman Z-Score of 2.68, indicating it is in Grey Zones. This implies that Premier Foods is in some kind of financial stress. If it is below 1.81, the company may face bankrupcy risk.

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 Premier Foods's Altman Z-Score or its related term are showing as below:

LSE:PFD' s Altman Z-Score Range Over the Past 10 Years
Min: -0.1   Med: 1.59   Max: 2.66
Current: 2.62

During the past 13 years, Premier Foods's highest Altman Z-Score was 2.66. The lowest was -0.10. And the median was 1.59.


Premier Foods  (LSE:PFD) 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.


Premier Foods Altman Z-Score Related Terms


Premier Foods Altman Z-Score Historical Data

* Premium members only.

The historical data trend for Premier Foods'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.

Premier Foods Altman Z-Score Chart

Premier Foods Annual Data
Trend Mar17 Mar18 Mar19 Mar20 Mar21 Mar22 Mar23 Mar24 Mar25 Mar26
Altman Z-Score
Get a 7-Day Free Trial Premium Member Only Premium Member Only 1.67 1.80 2.07 2.66 2.54

Premier Foods Semi-Annual Data
Sep16 Mar17 Sep17 Mar18 Sep18 Mar19 Sep19 Mar20 Sep20 Mar21 Sep21 Mar22 Sep22 Mar23 Sep23 Mar24 Sep24 Mar25 Sep25 Mar26
Altman Z-Score Get a 7-Day Free Trial 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 2.07 0.00 2.66 0.00 2.54

LSE:PFD vs KHC, GIS: Altman Z-Score Comparison

For the Packaged Foods subindustry, Premier Foods'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.


Premier Foods Altman Z-Score vs Consumer Packaged Goods Industry

For the Consumer Packaged Goods industry and Consumer Defensive sector, Premier Foods's Altman Z-Score distribution charts can be found below:

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


LSE:PFD
84GF Score
Premier Foods PLC LSE:PFD
Altman Z-Score is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

Premier Foods 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.

Premier Foods'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*-0.071+1.4*0.4397+3.3*0.0929+0.6*2.1883+1.0*0.5285
=2.68

* 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 Mar. 2026:
Total Assets was £2,224 Mil.
Total Current Assets was £475 Mil.
Total Current Liabilities was £633 Mil.
Retained Earnings was £978 Mil.
Pre-Tax Income was £182 Mil.
Interest Expense was £-25 Mil.
Revenue was £1,176 Mil.
Market Cap (Today) was £1,782 Mil.
Total Liabilities was £814 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
=(474.6 - 632.5)/2224.4
=-0.071

X2=Retained Earnings/Total Assets
=978.1/2224.4
=0.4397

X3=Earnings Before Interest and Taxes/Total Assets
=(Pre-Tax Income - Interest Expense)/Total Assets
=(181.9 - -24.8)/2224.4
=0.0929

X4=Market Value Equity/Book Value of Total Liabilities
=Market Cap/Total Liabilities
=1781.930/814.3
=2.1883

X5=Revenue/Total Assets
=1175.5/2224.4
=0.5285

The zones of discrimination were as such:

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

Premier Foods has a Altman Z-Score of 2.68 indicating it is in Grey Zones.

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

Frequently Asked Questions Learn more about Altman Z-Score →
What does a Altman Z-Score of 2.68 mean?
Premier Foods (LSE:PFD) has a Altman Z-Score of 2.68 as of Jun. 27, 2026. The Altman Z-score measures a company's bankruptcy risk. View historical data on Premier Foods and its competitors. This is 69% above median its historical median of 1.59. According to the industry distribution chart, Premier Foods ranks #1050 out of 1933 companies in the Consumer Packaged Goods industry, placing it in the top 54.3%.
Is Premier Foods' Altman Z-Score too high?
Premier Foods' current Altman Z-Score of 2.68 is 69% above median its 10-year median of 1.59. The Consumer Packaged Goods industry median Altman Z-Score is 2.84. Premier Foods' value of 2.68 is 5.6% below this industry median. Based on the distribution chart, Premier Foods ranks #1050 out of 1933 companies in the Consumer Packaged Goods industry, which is below the industry midpoint. Overall, Premier Foods has a GF Score™ of 84/100 and is considered Modestly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Premier Foods' Altman Z-Score compare to KHC and GIS?
According to the Consumer Packaged Goods industry distribution chart, Premier Foods ranks #1050 out of 1933 companies for Altman Z-Score. This places Premier Foods in the lower half of its industry. The industry median Altman Z-Score is 2.84. Premier Foods' value of 2.68 is 5.6% below this benchmark. While the company's 10-year median is 1.59 vs. the industry median of 2.84, Premier Foods 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 Consumer Packaged Goods company?
The median Altman Z-Score among Consumer Packaged Goods companies is 2.84, based on 1,933 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. Premier Foods's current Altman Z-Score of 2.68 is 5.6% 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 Premier Foods and its competitors. For the Consumer Packaged Goods industry, the median Altman Z-Score is 2.84 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Premier Foods's current Altman Z-Score is 2.68, which is 69% above median its own 10-year median of 1.59. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Premier Foods stock overvalued right now?
Based on GuruFocus' analysis, Premier Foods (LSE:PFD) is currently considered Modestly Overvalued. The stock's GF Value™ is £1.85, compared to a current price of £2.07 — trading 11.8% above its estimated fair value. The current Altman Z-Score is 2.68, which is 69% above median its 10-year median of 1.59 and 5.6% below the Consumer Packaged Goods industry median of 2.84. Premier Foods' overall GF Score™ is 84/100 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 Premier Foods (LSE:PFD), the current Altman Z-Score is 2.68 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 Premier Foods (LSE:PFD) Overvalued in 2026?

Based on GuruFocus' analysis, Premier Foods stock appears to be overvalued. The current stock price of £2.07 is trading 11.8% above its estimated GF Value™ of £1.85. GuruFocus considers Premier Foods to be Modestly Overvalued.

Key valuation signals for LSE:PFD:

  • Altman Z-Score: 2.68 (69% above median its 10-year median of 1.59)
  • GF Value™: £1.85 vs. price of £2.07 (11.8% above fair value)
  • GF Score™: 84/100 with 6 warning signs
  • Industry Position: 5.6% below the Consumer Packaged Goods median (#1050 of 1933)

No single metric tells the full story. See the LSE:PFD stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Premier Foods Business Description

Address Premier House, Griffiths Way, Centrium Business Park, Saint Albans, Hertfordshire, GBR, AL1 2RE
Premier Foods PLC is a food manufacturing company. It manufactures, processes, and distributes food products. The company's operating segments include Grocery, International, and Sweet Treats. The Grocery segment sells savoury ambient food products. The Sweet Treats segment sells sweet ambient food products. It generates maximum revenue from the Grocery segment. Geographically, it derives a majority of its revenue from the United Kingdom and also has a presence in Other Europe and Rest of world. The company brands include Ambrosia, Angel Delight, Atora, Batchelors, Be-Ro, Bird's, Bisto, Cadbury, Coffee Compliment, Homepride, and others.
84GF Score

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Altman Z-Score is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

£2.07
Price
£1.85
GF Value