Halows Co (TSE:2742) Altman Z-Score: 3.43 (As of Jul. 26, 2026) — Near Median

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TSE:2742 Halows Co Ltd TSE:2742
72 GF Score
Price 円3,695.00
GF Value 円5,054.78
Valuation Modestly Undervalued
! 2 Warning Signs
View Full Analysis

What is Halows Co Altman Z-Score?

Halows Co TSE:2742 -0.14% 72 Altman Z-Score is 3.43 as of Jul. 26, 2026, which is 7% above its 10-year median of 3.21. GuruFocus rates TSE:2742 with a GF Score™ of 72/100 and a GF Value™ of 円5,054.78 (Modestly Undervalued). The stock has 2 warning signs investors should review. Among 309 Retail - Defensive companies, Halows Co ranks worse than 63.11% 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 2.91 is in the grey area. This implies that the company is under some kind of financial stress. If it is below 1.8, the company may face bankruptcy risk.

Halows Co has a Altman Z-Score of 3.43, 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 Halows Co's Altman Z-Score or its related term are showing as below:

TSE:2742' s Altman Z-Score Range Over the Past 10 Years
Min: 2.73   Med: 3.21   Max: 3.88
Current: 2.91

During the past 13 years, Halows Co's highest Altman Z-Score was 3.88. The lowest was 2.73. And the median was 3.21.


Halows Co  (TSE:2742) 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.


Halows Co Altman Z-Score Related Terms


Halows Co Altman Z-Score Historical Data

* Premium members only.

The historical data trend for Halows Co'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.

Halows Co Altman Z-Score Chart

Halows Co Annual Data
Trend Feb17 Feb18 Feb19 Feb20 Feb21 Feb22 Feb23 Feb24 Feb25 Feb26
Altman Z-Score
Get a 7-Day Free Trial Premium Member Only Premium Member Only 3.36 3.19 3.88 3.62 3.18

Halows Co Quarterly Data
Aug21 Nov21 Feb22 May22 Aug22 Nov22 Feb23 May23 Aug23 Nov23 Feb24 May24 Aug24 Nov24 Feb25 May25 Aug25 Nov25 Feb26 May26
Altman Z-Score Get a 7-Day Free Trial 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 3.79 3.69 3.72 3.18 0.00

TSE:2742 vs KR: Altman Z-Score Comparison

For the Grocery Stores subindustry, Halows 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.


Halows Co Altman Z-Score vs Retail - Defensive Industry

For the Retail - Defensive industry and Consumer Defensive sector, Halows Co's Altman Z-Score distribution charts can be found below:

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


TSE:2742
72GF Score
Halows Co Ltd TSE:2742
Altman Z-Score is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

Halows 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.

Halows Co'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*-0.0424+1.4*0.4975+3.3*0.0902+0.6*1.3587+1.0*1.6756
=3.43

* 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 Feb. 2026:
Total Assets was 円137,028 Mil.
Total Current Assets was 円35,331 Mil.
Total Current Liabilities was 円41,141 Mil.
Retained Earnings was 円68,169 Mil.
Pre-Tax Income was 2754 + 3653 + 3004 + 2846 = 円12,257 Mil.
Interest Expense was -29 + -29 + -25 + -22 = 円-105 Mil.
Revenue was 57875 + 58331 + 55839 + 57553 = 円229,598 Mil.
Market Cap (Today) was 円78,882 Mil.
Total Liabilities was 円58,055 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
=(35331 - 41141)/137028
=-0.0424

X2=Retained Earnings/Total Assets
=68169/137028
=0.4975

X3=Earnings Before Interest and Taxes/Total Assets
=(Pre-Tax Income - Interest Expense)/Total Assets
=(12257 - -105)/137028
=0.0902

X4=Market Value Equity/Book Value of Total Liabilities
=Market Cap/Total Liabilities
=78881.902/58055
=1.3587

X5=Revenue/Total Assets
=229598/137028
=1.6756

The zones of discrimination were as such:

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

Halows Co has a Altman Z-Score of 3.43 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.

Frequently Asked Questions Learn more about Altman Z-Score →
What does a Altman Z-Score of 3.43 mean?
Halows Co (TSE:2742) has a Altman Z-Score of 3.43 as of Jul. 26, 2026. The Altman Z-score measures a company's bankruptcy risk. View historical data on Halows Co and its competitors. This is near median its historical median of 3.21. Over the past decade, Halows Co's Altman Z-Score has ranged from 2.73 to 3.88. According to the industry distribution chart, Halows Co ranks #195 out of 309 companies in the Retail - Defensive industry, placing it in the top 63.1%.
Is Halows Co's Altman Z-Score too high?
Halows Co's current Altman Z-Score of 3.43 is near median its 10-year median of 3.21. Over the past 10 years, this metric has ranged from a low of 2.73 to a high of 3.88. The Retail - Defensive industry median Altman Z-Score is 3.52. Halows Co's value of 3.43 is 2.6% below this industry median. Based on the distribution chart, Halows Co ranks #195 out of 309 companies in the Retail - Defensive industry, which is below the industry midpoint. Overall, Halows Co has a GF Score™ of 72/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Halows Co's Altman Z-Score compare to KR?
According to the Retail - Defensive industry distribution chart, Halows Co ranks #195 out of 309 companies for Altman Z-Score. This places Halows Co in the lower half of its industry. The industry median Altman Z-Score is 3.52. Halows Co's value of 3.43 is 2.6% below this benchmark. Historically, Halows Co's own Altman Z-Score has ranged from 2.73 to 3.88 over the past decade. While the company's 10-year median is 3.21 vs. the industry median of 3.52, Halows Co 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 Retail - Defensive company?
The median Altman Z-Score among Retail - Defensive companies is 3.52, based on 309 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. Halows Co's current Altman Z-Score of 3.43 is 2.6% 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 Halows Co and its competitors. For the Retail - Defensive industry, the median Altman Z-Score is 3.52 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Halows Co's current Altman Z-Score is 3.43, which is near median its own 10-year median of 3.21. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Halows Co stock overvalued right now?
Based on GuruFocus' analysis, Halows Co (TSE:2742) is currently considered Modestly Undervalued. The stock's GF Value™ is 円5,054.78, compared to a current price of 円3,695.00 — trading 26.9% below its estimated fair value. The current Altman Z-Score is 3.43, which is near median its 10-year median of 3.21 and 2.6% below the Retail - Defensive industry median of 3.52. Halows Co's overall GF Score™ is 72/100 with 2 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 Halows Co (TSE:2742), the current Altman Z-Score is 3.43 as of Jul. 26, 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 Halows Co (TSE:2742) Overvalued in 2026?

Based on GuruFocus' analysis, Halows Co stock appears to be undervalued. The current stock price of 円3,695.00 is trading 26.9% below its estimated GF Value™ of 円5,054.78. GuruFocus considers Halows Co to be Modestly Undervalued.

Key valuation signals for TSE:2742:

  • Altman Z-Score: 3.43 (near median its 10-year median of 3.21)
  • GF Value™: 円5,054.78 vs. price of 円3,695.00 (26.9% below fair value)
  • GF Score™: 72/100 with 2 warning signs
  • Industry Position: 2.6% below the Retail - Defensive median (#195 of 309)

No single metric tells the full story. See the TSE:2742 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Halows Co Business Description

Address 3270 Hayashima, Hayashima-cho, Tsukubo-gun, Okayama, JPN, 701-0393
Halows Co Ltd operates food supermarket chain stores in Hiroshima and Okayama Prefectures. Its stores are open 24 hours a day.
72GF Score

Get the complete analysis for TSE:2742

Altman Z-Score is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

円3,695.00
Price
円5,054.78
GF Value