Merlin Properties SOCIMIMRPRF +0.56%81 Altman Z-Score is 1.25 as of Jun. 25, 2026, which is 58% above its 10-year median of 0.79. GuruFocus rates MRPRF with a GF Score™ of 81/100 and a GF Value™ of $12.56 (Significantly Overvalued). The stock has 7 warning signs investors should review. Among 740 REITs companies, Merlin Properties SOCIMI ranks better than 58.11% 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 1.25 is in distress zone. This implies bankruptcy possibility in the next two years.
Merlin Properties SOCIMI has a Altman Z-Score of 1.25, 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 Merlin Properties SOCIMI's Altman Z-Score or its related term are showing as below:
MRPRF'
s Altman Z-Score Range Over the Past 10 Years
Min: 0.43 Med: 0.79 Max: 1.25
Current: 1.25
During the past 13 years, Merlin Properties SOCIMI's highest Altman Z-Score was 1.25. The lowest was 0.43. And the median was 0.79.
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.
For the REIT - Office subindustry, Merlin Properties SOCIMI'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.
Merlin Properties SOCIMI Altman Z-Score vs REITs Industry
For the REITs industry and Real Estate sector, Merlin Properties SOCIMI's Altman Z-Score distribution charts can be found below:
* The bar in red indicates where Merlin Properties SOCIMI'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.
* 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.
Merlin Properties SOCIMI (MRPRF) has a Altman Z-Score of 1.25 as of Jun. 25, 2026. The Altman Z-score measures a company's bankruptcy risk. View historical data on Merlin Properties SOCIMI and its competitors. This is 58% above median its historical median of 0.79. Over the past decade, Merlin Properties SOCIMI's Altman Z-Score has ranged from 0.43 to 1.25. According to the industry distribution chart, Merlin Properties SOCIMI ranks #310 out of 740 companies in the REITs industry, placing it in the top 41.9%.
Is Merlin Properties SOCIMI's Altman Z-Score too high?
Merlin Properties SOCIMI's current Altman Z-Score of 1.25 is 58% above median its 10-year median of 0.79. Over the past 10 years, this metric has ranged from a low of 0.43 to a high of 1.25. The REITs industry median Altman Z-Score is 1.07. Merlin Properties SOCIMI's value of 1.25 is 16.8% above this industry median. Based on the distribution chart, Merlin Properties SOCIMI ranks #310 out of 740 companies in the REITs industry, which is above the industry midpoint. Overall, Merlin Properties SOCIMI has a GF Score™ of 81/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Merlin Properties SOCIMI's Altman Z-Score compare to BXP and ARE?
According to the REITs industry distribution chart, Merlin Properties SOCIMI ranks #310 out of 740 companies for Altman Z-Score. This puts Merlin Properties SOCIMI in the upper half of its industry. The industry median Altman Z-Score is 1.07. Merlin Properties SOCIMI's value of 1.25 is 16.8% above this benchmark. Historically, Merlin Properties SOCIMI's own Altman Z-Score has ranged from 0.43 to 1.25 over the past decade. While the company's 10-year median is 0.79 vs. the industry median of 1.07, Merlin Properties SOCIMI 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 REITs company?
The median Altman Z-Score among REITs companies is 1.07, based on 740 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. Merlin Properties SOCIMI's current Altman Z-Score of 1.25 is 16.8% 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 Merlin Properties SOCIMI and its competitors. For the REITs industry, the median Altman Z-Score is 1.07 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Merlin Properties SOCIMI's current Altman Z-Score is 1.25, which is 58% above median its own 10-year median of 0.79. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Merlin Properties SOCIMI stock overvalued right now?
Based on GuruFocus' analysis, Merlin Properties SOCIMI (MRPRF) is currently considered Significantly Overvalued. The stock's GF Value™ is $12.56, compared to a current price of $17.90 — trading 42.5% above its estimated fair value. The current Altman Z-Score is 1.25, which is 58% above median its 10-year median of 0.79 and 16.8% above the REITs industry median of 1.07. Merlin Properties SOCIMI's overall GF Score™ is 81/100 with 7 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 Merlin Properties SOCIMI (MRPRF), the current Altman Z-Score is 1.25 as of Jun. 25, 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 Merlin Properties SOCIMI (MRPRF) Overvalued in 2026?
Based on GuruFocus' analysis, Merlin Properties SOCIMI stock appears to be overvalued.
The current stock price of $17.90 is trading 42.5% above its estimated GF Value™ of $12.56.
GuruFocus considers Merlin Properties SOCIMI to be Significantly Overvalued.
Key valuation signals for MRPRF:
Altman Z-Score: 1.25 (58% above median its 10-year median of 0.79)
GF Value™: $12.56 vs. price of $17.90 (42.5% above fair value)
Industry Position: 16.8% above the REITs median (#310 of 740)
No single metric tells the full story. See the MRPRF stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Merlin Properties is Spain's largest listed SOCIMI/REIT, managing a EUR 12.6 billion portfolio across offices, logistics, shopping centers, and data centers. Over the coming years, it will bring 730 MW of data center capacity online, increasing its gross rental income contribution from just 6% in 2025 to 65% by 2032. Its total GRI will more than triple to EUR 1.8 billion, driven by this "Mega" plan. Additionally, it has a pipeline of 4.4 GW worth of land at varying stages of readiness it can develop.
81GF Score
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