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Incyte Altman Z-Score

: 8.99 (As of Today)
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Good Sign:

Altman Z-score of 8.92 is strong.

Incyte has a Altman Z-Score of 8.99, 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 Incyte's Altman Z-Score or its related term are showing as below:

INCY' s Altman Z-Score Range Over the Past 10 Years
Min: -11.01   Med: 6.55   Max: 28.74
Current: 8.92

During the past 13 years, Incyte's highest Altman Z-Score was 28.74. The lowest was -11.01. And the median was 6.55.


Incyte Altman Z-Score Historical Data

The historical data trend for Incyte'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.

Incyte 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 17.47 11.81 14.88 12.50 9.69

Incyte Quarterly Data
Sep17 Dec17 Mar18 Jun18 Sep18 Dec18 Mar19 Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22
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 12.58 10.04 9.69 10.21 9.67

Competitive Comparison

For the Biotechnology subindustry, Incyte'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.

   

Incyte Altman Z-Score Distribution

For the Biotechnology industry and Healthcare sector, Incyte's Altman Z-Score distribution charts can be found below:

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



Incyte 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.

Incyte'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*0.5075+1.4*-0.1088+3.3*0.1188+0.6*12.5278+1.0*0.6243
=8.99

* 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 Jun. 2022:
Total Assets was $5,319 Mil.
Total Current Assets was $3,626 Mil.
Total Current Liabilities was $927 Mil.
Retained Earnings was $-578 Mil.
Pre-Tax Income was 229.378 + 70.535 + 120.02 + 209.469 = $629 Mil.
Interest Expense was -0.678 + -0.68 + -0.752 + -0.439 = $-3 Mil.
Revenue was 911.397 + 733.235 + 862.853 + 812.987 = $3,320 Mil.
Market Cap (Today) was $15,459 Mil.
Total Liabilities was $1,234 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
=(3625.845 - 926.674)/5319.035
=0.5075

X2=Retained Earnings/Total Assets
=-578.45/5319.035
=-0.1088

X3=Earnings Before Interest and Taxes/Total Assets
=(Pre-Tax Income - Interest Expense)/Total Assets
=(629.402 - -2.549)/5319.035
=0.1188

X4=Market Value Equity/Book Value of Total Liabilities
=Market Cap/Total Liabilities
=15458.929/1233.974
=12.5278

X5=Revenue/Total Assets
=3320.472/5319.035
=0.6243

The zones of discrimination were as such:

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

Incyte has a Altman Z-Score of 8.99 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.


Incyte  (NAS:INCY) 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.


Incyte Altman Z-Score Related Terms

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


Incyte Business Description

Incyte logo
Address
1801 Augustine Cut-Off, Wilmington, DE, USA, 19803
Incyte focuses on the discovery and development of small-molecule drugs. The firm's lead drug, Jakafi, treats two types of rare blood cancer and graft versus host disease and is partnered with Novartis. Incyte's other marketed drugs include rheumatoid arthritis treatment Olumiant (licensed to Lilly), and oncology drugs Iclusig (chronic myeloid leukemia), Pemazyre (cholangiocarcinoma), Tabrecta (lung cancer), and Monjuvi (diffuse large B-cell lymphoma). The firm's first dermatology product, Opzelura, was approved in 2021 for atopic dermatitis. Incyte's pipeline includes a broad array of oncology and dermatology programs.
Executives
Tray Thomas officer: Principal Accounting Officer C/O INCYTE CORPORATION 1801 AUGUSTINE CUT-OFF WILMINGTON DE 19803
Brawley Otis W director 5203 BRISTOL INDUSTRIAL WAY BUFORD GA 30518
High Katherine A director 3737 MARKET STREET SUITE 1300 PHILADELPHIA PA 19104
Harrigan Edmund director
Morrissey Michael James officer: EVP, Head of Tech. Operations IN CARE OF INCYTE CORPORATION 1801 AUGUSTINE CUT OFF WILMINGTON DE 19803
Dickinson Jonathan Elliott officer: EVP, General Manager, Europe CARE OF INCYTE CORPORATION 1801 AUGUSTINE CUT OFF WILMINGTON DE 19803
Stamoulis Christiana officer: EVP & Chief Financial Officer C/O VERTEX PHARMACEUTICALS INCORPORATED 130 WAVERLY ST CAMBRIDGE MA 02139
Dhanak Dashyant officer: EVP & Chief Scientific Officer C/O INCYTE CORPORATION 1801 AUGUSTINE CUT-OFF WILMINGTON DE 19803
Pasquale Maria E officer: EVP & General Counsel C/O INCYTE CORPORATION 1801 AUGUSTINE CUT-OFF WILMINGTON DE 19803
Fouse Jacqualyn A director C/O DICK'S SPORTING GOODS 345 COURT STREET CORAOPOLIS PA 15108
Iyengar Vijay K officer: EVP GPS, BD, & Licensing 1801 AUGUSTINE CUT-OFF WILMINGTON DE 19803
Stein Steven H officer: EVP & Chief Medical Officer 1801 AUGUSTINE CUT-OFF WILMINGTON DE 19803
Trower Paul officer: VP, Finance & Prin Acc Officer 1801 AUGUSTINE CUT-OFF WILMINGTON DE 19803
Clancy Paul J director C/O BIOGEN IDEC INC. 14 CAMBRIDGE CENTER CAMBRIDGE MA 02142
Bienaime Jean Jacques director 925 PAGE MILL ROAD PALO ALTO CA 94304

Incyte Headlines

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