Focused on building reliable datasets, financial models, and research tools for value-minded investors. Committed to turning complex data into practical guidance for value-investing and long-term wealth.
Dr. Charlie Tian is the founder and CEO of GuruFocus.com, a leading global investment research platform established in 2004. With a Ph.D. in physics, Dr. Tian transitioned from science to finance, applying a data-driven, disciplined approach to value investing.
SEC Electric Machinery CoSHSE:603988 +10.02%63 Altman Z-Score is 8.66 as of Aug. 05, 2026, which is 30% above its 10-year median of 6.66. GuruFocus rates SHSE:603988 with a GF Score™ of 63/100 and a GF Value™ of ¥15.51 (Significantly Overvalued). The stock has 4 warning signs investors should review. Among 3,005 Industrial Products companies, SEC Electric Machinery Co ranks better than 82.26% 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.
Good Sign:
Altman Z-score of 7.2 is strong.
SEC Electric Machinery Co has a Altman Z-Score of 8.66, 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 SEC Electric Machinery Co's Altman Z-Score or its related term are showing as below:
SHSE:603988'
s Altman Z-Score Range Over the Past 10 Years
Min: 3.88 Med: 6.66 Max: 19.93
Current: 7.2
During the past 13 years, SEC Electric Machinery Co's highest Altman Z-Score was 19.93. The lowest was 3.88. And the median was 6.66.
SEC Electric Machinery Co (SHSE:603988) 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.
* 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.
SHSE:603988 vs GEV, ETN, PH: Altman Z-Score Comparison
For the Specialty Industrial Machinery subindustry, SEC Electric Machinery Co'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.
SEC Electric Machinery Co Altman Z-Score vs Industrial Products Industry
For the Industrial Products industry and Industrials sector, SEC Electric Machinery Co's Altman Z-Score distribution charts can be found below:
* The bar in red indicates where SEC Electric Machinery Co's Altman Z-Score falls into.
SEC Electric Machinery Co 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.
* 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.
SEC Electric Machinery Co (SHSE:603988) has a Altman Z-Score of 8.66 as of Aug. 05, 2026. The Altman Z-score measures a company's bankruptcy risk. View historical data on SEC Electric Machinery Co and its competitors. This is 30% above median its historical median of 6.66. Over the past decade, SEC Electric Machinery Co's Altman Z-Score has ranged from 3.88 to 19.93. According to the industry distribution chart, SEC Electric Machinery Co ranks #533 out of 3005 companies in the Industrial Products industry, placing it in the top 17.7%.
Is SEC Electric Machinery Co's Altman Z-Score too high?
SEC Electric Machinery Co's current Altman Z-Score of 8.66 is 30% above median its 10-year median of 6.66. Over the past 10 years, this metric has ranged from a low of 3.88 to a high of 19.93. The Industrial Products industry median Altman Z-Score is 3.20. SEC Electric Machinery Co's value of 8.66 is 170.6% above this industry median. Based on the distribution chart, SEC Electric Machinery Co ranks #533 out of 3005 companies in the Industrial Products industry, which is in the top quartile — a strong position relative to peers. Overall, SEC Electric Machinery Co has a GF Score™ of 63/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does SEC Electric Machinery Co's Altman Z-Score compare to GEV and ETN?
According to the Industrial Products industry distribution chart, SEC Electric Machinery Co ranks #533 out of 3005 companies for Altman Z-Score. This places SEC Electric Machinery Co in the top 18% of its industry — outperforming the majority of peers. The industry median Altman Z-Score is 3.20. SEC Electric Machinery Co's value of 8.66 is 170.6% above this benchmark. Historically, SEC Electric Machinery Co's own Altman Z-Score has ranged from 3.88 to 19.93 over the past decade. While the company's 10-year median is 6.66 vs. the industry median of 3.20, SEC Electric Machinery Co 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 an Industrial Products company?
The median Altman Z-Score among Industrial Products companies is 3.20, based on 3,005 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. SEC Electric Machinery Co's current Altman Z-Score of 8.66 is 170.6% 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 SEC Electric Machinery Co and its competitors. For the Industrial Products industry, the median Altman Z-Score is 3.20 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. SEC Electric Machinery Co's current Altman Z-Score is 8.66, which is 30% above median its own 10-year median of 6.66. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is SEC Electric Machinery Co stock overvalued right now?
Based on GuruFocus' analysis, SEC Electric Machinery Co (SHSE:603988) is currently considered Significantly Overvalued. The stock's GF Value™ is ¥15.51, compared to a current price of ¥20.65 — trading 33.1% above its estimated fair value. The current Altman Z-Score is 8.66, which is 30% above median its 10-year median of 6.66 and 170.6% above the Industrial Products industry median of 3.20. SEC Electric Machinery Co's overall GF Score™ is 63/100 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 SEC Electric Machinery Co (SHSE:603988), the current Altman Z-Score is 8.66 as of Aug. 05, 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 SEC Electric Machinery Co (SHSE:603988) Overvalued in 2026?
Based on GuruFocus' analysis, SEC Electric Machinery Co stock appears to be overvalued.
The current stock price of ¥20.65 is trading 33.1% above its estimated GF Value™ of ¥15.51.
GuruFocus considers SEC Electric Machinery Co to be Significantly Overvalued.
Key valuation signals for SHSE:603988:
Altman Z-Score: 8.66 (30% above median its 10-year median of 6.66)
GF Value™: ¥15.51 vs. price of ¥20.65 (33.1% above fair value)
Industry Position: 170.6% above the Industrial Products median (#533 of 3005)
No single metric tells the full story. See the SHSE:603988 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
SEC Electric Machinery Co Ltd is a China-based medium and large-scale motors manufacturer and exporter. Its product range includes direct current (DC) motors, slip ring alternating current (AC) motors, squirrel cage AC motors, synchronous motors, petroleum drilling motors, mine elevator motors, wind-driven generators, flameproof motors, short-circuit generators, and turbo generators. The company caters its products and services to the metallurgy, thermal power, petrochemical, mining, building material production, paper converting,g, and wind energy conversion industries. The company exports its products to the United States, Italy, Brazil, Russia, Turkey, Korea, South Africa, India, Kazakhstan, Thailand, Bangladesh, Vietnam, Nigeria, and Sudan.
63GF Score
Get the complete analysis for SHSE:603988
Altman Z-Score is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.
Quick Browse
Personalize
Premium Gurus 
Create New Portfolio
SHSE:603988 has been successfully added to your 
