Tronox HoldingsTROX -2.19%60 Altman Z-Score is 0.71 as of Jun. 27, 2026, which is 43% below its 10-year median of 1.24. GuruFocus rates TROX with a GF Score™ of 60/100 and a GF Value™ of $10.64 (Possible Value Trap). The stock has 7 warning signs investors should review. Among 1,572 Chemicals companies, Tronox Holdings ranks worse than 92.24% 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 0.71 is in distress zone. This implies bankruptcy possibility in the next two years.
Tronox Holdings has a Altman Z-Score of 0.71, 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 Tronox Holdings's Altman Z-Score or its related term are showing as below:
TROX'
s Altman Z-Score Range Over the Past 10 Years
Min: 0.42 Med: 1.24 Max: 1.85
Current: 0.71
During the past 13 years, Tronox Holdings's highest Altman Z-Score was 1.85. The lowest was 0.42. And the median was 1.24.
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.
Tronox Holdings Altman Z-Score Related Terms
Tronox Holdings Altman Z-Score Historical Data
* Premium members only.
The historical data trend for Tronox Holdings'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.
TROX vs GPRE, REX, ASPI: Altman Z-Score Comparison
For the Chemicals subindustry, Tronox Holdings'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.
Tronox Holdings Altman Z-Score vs Chemicals Industry
For the Chemicals industry and Basic Materials sector, Tronox Holdings's Altman Z-Score distribution charts can be found below:
* The bar in red indicates where Tronox Holdings'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.
Tronox Holdings'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
*
0.2098
+
1.4
*
-0.0121
+
3.3
*
-0.0423
+
0.6
*
0.2253
+
1.0
*
0.4821
=
0.71
* 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.
Tronox Holdings (TROX) has a Altman Z-Score of 0.71 as of Jun. 27, 2026. The Altman Z-score measures a company's bankruptcy risk. View historical data on Tronox Holdings and its competitors. This is 43% below median its historical median of 1.24. Over the past decade, Tronox Holdings' Altman Z-Score has ranged from 0.42 to 1.85. According to the industry distribution chart, Tronox Holdings ranks #1450 out of 1572 companies in the Chemicals industry, placing it in the top 92.2%.
Is Tronox Holdings' Altman Z-Score too high?
Tronox Holdings' current Altman Z-Score of 0.71 is 43% below median its 10-year median of 1.24. Over the past 10 years, this metric has ranged from a low of 0.42 to a high of 1.85. The Chemicals industry median Altman Z-Score is 3.18. Tronox Holdings' value of 0.71 is 77.6% below this industry median. Based on the distribution chart, Tronox Holdings ranks #1450 out of 1572 companies in the Chemicals industry, which is in the bottom quartile relative to peers. Overall, Tronox Holdings has a GF Score™ of 60/100 and is considered Possible Value Trap, reflecting its overall financial health beyond just this single metric.
How does Tronox Holdings' Altman Z-Score compare to GPRE and REX?
According to the Chemicals industry distribution chart, Tronox Holdings ranks #1450 out of 1572 companies for Altman Z-Score. This places Tronox Holdings in the lower half of its industry. The industry median Altman Z-Score is 3.18. Tronox Holdings' value of 0.71 is 77.6% below this benchmark. Historically, Tronox Holdings' own Altman Z-Score has ranged from 0.42 to 1.85 over the past decade. While the company's 10-year median is 1.24 vs. the industry median of 3.18, Tronox Holdings has consistently been below 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 a Chemicals company?
The median Altman Z-Score among Chemicals companies is 3.18, based on 1,572 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. Tronox Holdings's current Altman Z-Score of 0.71 is 77.6% 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 Tronox Holdings and its competitors. For the Chemicals industry, the median Altman Z-Score is 3.18 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Tronox Holdings's current Altman Z-Score is 0.71, which is 43% below median its own 10-year median of 1.24. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Tronox Holdings stock overvalued right now?
Based on GuruFocus' analysis, Tronox Holdings (TROX) is currently considered Possible Value Trap. The stock's GF Value™ is $10.64, compared to a current price of $6.69 — trading 37.1% below its estimated fair value. The current Altman Z-Score is 0.71, which is 43% below median its 10-year median of 1.24 and 77.6% below the Chemicals industry median of 3.18. Tronox Holdings' overall GF Score™ is 60/100 with 7 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 Tronox Holdings (TROX), the current Altman Z-Score is 0.71 as of Jun. 27, 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 Tronox Holdings (TROX) Overvalued in 2026?
Based on GuruFocus' analysis, Tronox Holdings stock appears to be undervalued.
The current stock price of $6.69 is trading 37.1% below its estimated GF Value™ of $10.64.
GuruFocus considers Tronox Holdings to be Possible Value Trap.
Key valuation signals for TROX:
Altman Z-Score: 0.71 (43% below median its 10-year median of 1.24)
GF Value™: $10.64 vs. price of $6.69 (37.1% below fair value)
Industry Position: 77.6% below the Chemicals median (#1450 of 1572)
No single metric tells the full story. See the TROX stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Tronox Holdings PLC is a vertically integrated manufacturer of TiO2 pigment. It operates titanium-bearing mineral sand mines and beneficiation and smelting operations in Australia & South Africa to produce feedstock materials that can be processed into TiO2 for pigment, high-purity titanium chemicals, including titanium tetrachloride, and ultrafine TiO2 used in certain specialty applications. TiO2 and titanium feedstock, are used to produce paints and coatings, as well as plastics, paper, and printing ink. It has three pigment production facilities in the United States, the Netherlands, and Western Australia and three mining operations in Western Australia and South Africa. Europe, the Middle East, and Africa regions contribute the majority of revenue.
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