Porch GroupPRCH +6.25%64 Altman Z-Score is 1.01 as of Jul. 02, 2026. GuruFocus rates PRCH with a GF Score™ of 64/100 and a GF Value™ of $3.98 (Significantly Overvalued). The stock has 4 warning signs investors should review. Among 64 Insurance companies, Porch Group ranks worse than 70.31% 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 0.93 is in distress zone. This implies bankruptcy possibility in the next two years.
Porch Group has a Altman Z-Score of 1.01, 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 Porch Group's Altman Z-Score or its related term are showing as below:
PRCH'
s Altman Z-Score Range Over the Past 10 Years
Min: -1.23 Med: -0.08 Max: 4.17
Current: 0.93
During the past 7 years, Porch Group's highest Altman Z-Score was 4.17. The lowest was -1.23. And the median was -0.08.
Porch Group (NAS:PRCH) 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.
Altman Z-Score does not apply to financial companies.
Porch Group Altman Z-Score Related Terms
Porch Group Altman Z-Score Historical Data
* Premium members only.
The historical data trend for Porch Group'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.
PRCH vs KMPR, UFCS, PRA: Altman Z-Score Comparison
For the Insurance - Property & Casualty subindustry, Porch Group'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.
Porch Group Altman Z-Score vs Insurance Industry
For the Insurance industry and Financial Services sector, Porch Group's Altman Z-Score distribution charts can be found below:
* The bar in red indicates where Porch Group'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.
Porch Group'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
*
-0.0727
+
1.4
*
-0.8127
+
3.3
*
0.0728
+
0.6
*
2.2406
+
1.0
*
0.6522
=
1.01
* 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.
Porch Group (PRCH) has a Altman Z-Score of 1.01 as of Jul. 02, 2026. The Altman Z-score measures a company's bankruptcy risk. View historical data on Porch Group and its competitors. According to the industry distribution chart, Porch Group ranks #45 out of 64 companies in the Insurance industry, placing it in the top 70.3%.
Is Porch Group's Altman Z-Score too high?
Porch Group's current Altman Z-Score is 1.01. The Insurance industry median Altman Z-Score is 1.51. Porch Group's value of 1.01 is 32.9% below this industry median. Based on the distribution chart, Porch Group ranks #45 out of 64 companies in the Insurance industry, which is below the industry midpoint. Overall, Porch Group has a GF Score™ of 64/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Porch Group's Altman Z-Score compare to KMPR and UFCS?
According to the Insurance industry distribution chart, Porch Group ranks #45 out of 64 companies for Altman Z-Score. This places Porch Group in the lower half of its industry. The industry median Altman Z-Score is 1.51. Porch Group's value of 1.01 is 32.9% below this benchmark. 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 an Insurance company?
The median Altman Z-Score among Insurance companies is 1.51, based on 64 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. Porch Group's current Altman Z-Score of 1.01 is 32.9% 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 Porch Group and its competitors. For the Insurance industry, the median Altman Z-Score is 1.51 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Porch Group's current Altman Z-Score is 1.01. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Porch Group stock overvalued right now?
Based on GuruFocus' analysis, Porch Group (PRCH) is currently considered Significantly Overvalued. The stock's GF Value™ is $3.98, compared to a current price of $15.98 — trading 301.5% above its estimated fair value. The current Altman Z-Score is 1.01 and 32.9% below the Insurance industry median of 1.51. Porch Group's overall GF Score™ is 64/100 with 4 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 Porch Group (PRCH), the current Altman Z-Score is 1.01 as of Jul. 02, 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 Porch Group (PRCH) Overvalued in 2026?
Based on GuruFocus' analysis, Porch Group stock appears to be overvalued.
The current stock price of $15.98 is trading 301.5% above its estimated GF Value™ of $3.98.
GuruFocus considers Porch Group to be Significantly Overvalued.
Key valuation signals for PRCH:
Altman Z-Score: 1.01
GF Value™: $3.98 vs. price of $15.98 (301.5% above fair value)
Industry Position: 32.9% below the Insurance median (#45 of 64)
No single metric tells the full story. See the PRCH stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Porch Group Inc is a vertical software company reinventing the home services and insurance industries. It has four reportable segments: Insurance Services, Software & Data, Consumer Services, and Corporate. The majority of revenue is from the Insurance segment. The Insurance Services segment manages and operates the Reciprocal, providing services related, but not limited, to underwriting, policy renewal, risk management, insurance portfolio management, financial management, and setting investment guidelines in exchange for commissions and fees.
64GF Score
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