GURUFOCUS.COM » STOCK LIST » USA » NAS » Qorvo Inc (NAS:QRVO) » Definitions » Altman Z-Score
Switch to:

Qorvo Altman Z-Score

: 3.11 (As of Today)
View and export this data going back to 2015. Start your Free Trial

Good Sign:

Altman Z-score of 3.11 is strong.

Qorvo has a Altman Z-Score of 3.11, 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 Qorvo's Altman Z-Score or its related term are showing as below:

QRVO' s Altman Z-Score Range Over the Past 10 Years
Min: 1.83   Med: 4.02   Max: 10.34
Current: 3.11

During the past 10 years, Qorvo's highest Altman Z-Score was 10.34. The lowest was 1.83. And the median was 4.02.


Qorvo Altman Z-Score Historical Data

The historical data trend for Qorvo'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.

Qorvo Annual Data
Trend Mar13 Mar14 Mar15 Mar16 Mar17 Mar18 Mar19 Mar20 Mar21 Mar22
Altman Z-Score
Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 3.99 4.33 3.38 6.09 4.22

Qorvo 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 6.42 5.38 4.97 4.22 3.35

Competitive Comparison

For the Semiconductors subindustry, Qorvo'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.

   

Qorvo Altman Z-Score Distribution

For the Semiconductors industry and Technology sector, Qorvo's Altman Z-Score distribution charts can be found below:

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



Qorvo 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.

Qorvo'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*0.2256+1.4*0.0486+3.3*0.1401+0.6*2.804+1.0*0.6235
=3.11

* 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 $7,331 Mil.
Total Current Assets was $2,372 Mil.
Total Current Liabilities was $718 Mil.
Retained Earnings was $356 Mil.
Pre-Tax Income was 79.545 + 247.469 + 283.214 + 351.787 = $962 Mil.
Interest Expense was -17.252 + -17.392 + -15.328 + -15.327 = $-65 Mil.
Revenue was 1035.358 + 1166.158 + 1113.957 + 1255.248 = $4,571 Mil.
Market Cap (Today) was $8,496 Mil.
Total Liabilities was $3,030 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
=(2372.489 - 718.45)/7330.521
=0.2256

X2=Retained Earnings/Total Assets
=356.08/7330.521
=0.0486

X3=Earnings Before Interest and Taxes/Total Assets
=(Pre-Tax Income - Interest Expense)/Total Assets
=(962.015 - -65.299)/7330.521
=0.1401

X4=Market Value Equity/Book Value of Total Liabilities
=Market Cap/Total Liabilities
=8495.755/3029.916
=2.804

X5=Revenue/Total Assets
=4570.721/7330.521
=0.6235

The zones of discrimination were as such:

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

Qorvo has a Altman Z-Score of 3.11 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.


Qorvo  (NAS:QRVO) 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.


Qorvo Altman Z-Score Related Terms

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


Qorvo Business Description

Qorvo logo
Traded in Other Exchanges
Address
7628 Thorndike Road, Greensboro, NC, USA, 27409-9421
Qorvo represents the combined entity of RF Micro Devices and TriQuint Semiconductor, which merged with one another in January 2015. The company specializes in radio frequency filters, power amplifiers, and front-end modules used in many of the world's most advanced smartphones. Qorvo also has a suite of products sold into a variety of nonsmartphone end markets, such as wireless base stations, cable TV and networking equipment, and infrastructure and military applications.
Executives
Brown Grant officer: VP of Treasury & Interim CFO 7628 THORNDIKE ROAD GREENSBORO NC 27409
Chesley Philip officer: Pres. Infra & Defense 7628 THORNDIKE ROAD GREENSBORO NC 27409
Bruner Judy director C/O SANDISK CORPORATION 601 MCCARTHY BLVD. MILPITAS CA 95035
Fego Paul J officer: VP, Global Operations 15 SECOR ROAD PO BOX 5226 BROOKFIELD CT 06804
Spradley Susan Louise director C/O NORTEL NETWORKS 8200 DIXIE ROAD STE 100 BRAMPTON ONTARIO A6 L6T 5PT
Murphy Mark J. officer: Chief Financial Officer DELPHI AUTOMOTIVE PLC 5725 DELPHI DRIVE TROY MI 48098
Harrison Gina officer: VP and Corporate Controller 7628 THORNDIKE ROAD GREENSBORO NC 27409
Quinsey Ralph director C/O TRIQUINT SEMICONDUCTOR INC 2300 NE BROOKWOOD PKWY HILLSBORO OR 97124
Laber Michael J. officer: VP and Corporate Controller 2300 NE BROOKWOOD PARKWAY HILLSBORO OR 97124
Buhaly Steven J officer: CFO and Secretary 1195 NW LOMPTON DRIVE BEAVESTON OR 97006
Dileo Daniel A director C/O RF MICRO DEVICES 7628 THORNDIKE ROAD GREENSBORO NC 27409
Gibson C Scott director PMB 316, PO BOX 30,000 JACKSON WY 83002
Nelson Roderick director 2300 NE BROOKWOOD PARKWAY HILLSBORO OR 97124
Ho David H Y director 5500 WAYZATA BOULEVARD SUITE 600 GOLDEN VALLEY MN 55416
Wilkinson Walter H director C/O RF MICRO DEVICES, INC. 7628 THORNDIKE ROAD GREENSBORO NC 27409

Qorvo Headlines

Get WordPress Plugins for easy affiliate links on Stock Tickers and Guru Names | Earn affiliate commissions by embedding GuruFocus Charts
GuruFocus Affiliate Program: Earn up to $400 per referral. ( Learn More)