GURUFOCUS.COM » STOCK LIST » USA » NYSE » DuPont de Nemours Inc (NYSE:DD) » Definitions » Altman Z-Score
Switch to:

DuPont de Nemours Altman Z-Score

: 0.84 (As of Today)
View and export this data going back to 1947. Start your Free Trial

Warning Sign:

Altman Z-score of 0.83 is in distress zone. This implies bankruptcy possibility in the next two years.

DuPont de Nemours has a Altman Z-Score of 0.84, 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 DuPont de Nemours's Altman Z-Score or its related term are showing as below:

DD' s Altman Z-Score Range Over the Past 10 Years
Min: 0.6   Med: 1.92   Max: 2.6
Current: 0.83

During the past 13 years, DuPont de Nemours's highest Altman Z-Score was 2.60. The lowest was 0.60. And the median was 1.92.


DuPont de Nemours Altman Z-Score Historical Data

The historical data trend for DuPont de Nemours'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.

DuPont de Nemours 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 0.92 1.19 1.13 1.17 1.21

DuPont de Nemours 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 1.24 1.02 1.21 1.23 0.92

Competitive Comparison

For the Specialty Chemicals subindustry, DuPont de Nemours'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.

   

DuPont de Nemours Altman Z-Score Distribution

For the Chemicals industry and Basic Materials sector, DuPont de Nemours's Altman Z-Score distribution charts can be found below:

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



DuPont de Nemours 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.

DuPont de Nemours'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*0.1915+1.4*-0.5132+3.3*0.0485+0.6*1.3851+1.0*0.3406
=0.84

* 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 $44,440 Mil.
Total Current Assets was $14,006 Mil.
Total Current Liabilities was $5,494 Mil.
Retained Earnings was $-22,808 Mil.
Pre-Tax Income was 478 + 279 + 350 + 558 = $1,665 Mil.
Interest Expense was -122 + -120 + -135 + -115 = $-492 Mil.
Revenue was 3322 + 3274 + 4271 + 4271 = $15,138 Mil.
Market Cap (Today) was $25,351 Mil.
Total Liabilities was $18,303 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
=(14006 - 5494)/44440
=0.1915

X2=Retained Earnings/Total Assets
=-22808/44440
=-0.5132

X3=Earnings Before Interest and Taxes/Total Assets
=(Pre-Tax Income - Interest Expense)/Total Assets
=(1665 - -492)/44440
=0.0485

X4=Market Value Equity/Book Value of Total Liabilities
=Market Cap/Total Liabilities
=25350.855/18303
=1.3851

X5=Revenue/Total Assets
=15138/44440
=0.3406

The zones of discrimination were as such:

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

DuPont de Nemours has a Altman Z-Score of 0.84 indicating it is in Distress Zones.

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


DuPont de Nemours  (NYSE:DD) 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.


DuPont de Nemours Altman Z-Score Related Terms

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


DuPont de Nemours Business Description

DuPont de Nemours logo
Address
974 Centre Road, Building 730, Wilmington, DE, USA, 19805
DuPont is a diversified global specialty chemicals company created in 2019 as a result of the DowDuPont merger and subsequent separations. Its portfolio includes specialty chemicals and downstream products that serve the electronics and communication, automotive, construction, safety and protection, and water management industries. DuPont benefits from the ability to produce patented specialty chemicals that command pricing power. Noteworthy products include Kevlar, Tyvek, and Nomex, which tend to have a wide range of applications across multiple industries.
Executives
Johnson Kristina M director 19 HEATH PL DURHAM NC 27705
Lowery Frederick M. director 974 CENTRE ROAD CRP 730 WILMINGTON DE 19805
Curtin Terrence R director C/O TYCO ELECTRONICS LTD. 1050 WESTLAKES DRIVE BERWYN PA 19312
Mulligan Deanna director 7 HANOVER SQUARE NEW YORK NY 10004
Ratnakar Raj officer: SVP and Chief Strategy Officer C/O FORTIVE CORPORATION 6920 SEAWAY BOULEVARD EVERETT WA 98203
Weaver Leland officer: President, Water & Protection 974 CENTRE ROAD CRP 730, 5216 WILMINGTON DE 19805
Stone Randy Lee officer: President, Mobility & Material 974 CENTRE ROAD CRP 730 WILMINGTON DE 19805
Hoover Erik T. officer: SVP & General Counsel 974 CENTRE ROAD CRP 730 WILMINGTON DE 19805
Goss Michael G. officer: Controller 974 CENTRE ROAD CRP 730 WILMINGTON DE 19805
Larrabee Steven P. officer: SVP & CIO 974 CENTRE ROAD CRP 730 WILMINGTON DE 19805
Kemp Jon D. officer: President, E&I 974 CENTRE ROAD CRP 730 WILMINGTON DE 19805
Koch Lori officer: EVP & CFO 974 CENTRE ROAD CRP 730 WILMINGTON DE 19805
Raia Christopher officer: SVP & CHRO 974 CENTRE ROAD CRP 730 WILMINGTON DE 19805
Brady Amy G. director 127 PUBLIC SQUARE CLEVELAND OH 44114
Lee Rose officer: President, S&C C/O CROWN HOLDINGS, INC. 770 TOWNSHIP LINE ROAD YARDLEY PA 19067

DuPont de Nemours Headlines

Other Sources

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)