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Eltes CoTSE:3967 -0.17%64 Altman Z-Score is 1.70 as of Jul. 15, 2026, which is 56% below its 10-year median of 3.85. GuruFocus rates TSE:3967 with a GF Score™ of 64/100 and a GF Value™ of 円973.97 (Possible Value Trap). The stock has 6 warning signs investors should review. Among 2,765 Software companies, Eltes Co ranks worse than 68.86% 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 1.7 is in distress zone. This implies bankruptcy possibility in the next two years.
Eltes Co has a Altman Z-Score of 1.70, 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 Eltes Co's Altman Z-Score or its related term are showing as below:
TSE:3967'
s Altman Z-Score Range Over the Past 10 Years
Min: 1.18 Med: 3.85 Max: 43.73
Current: 1.7
During the past 12 years, Eltes Co's highest Altman Z-Score was 43.73. The lowest was 1.18. And the median was 3.85.
Eltes Co (TSE:3967) 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.
Eltes Co Altman Z-Score Related Terms
Eltes Co Altman Z-Score Historical Data
* Premium members only.
The historical data trend for Eltes 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.
TSE:3967 vs UBER, SHOP, CRM: Altman Z-Score Comparison
For the Software - Application subindustry, Eltes 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.
Eltes Co Altman Z-Score vs Software Industry
For the Software industry and Technology sector, Eltes Co's Altman Z-Score distribution charts can be found below:
* The bar in red indicates where Eltes Co'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.
Eltes 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
*
0.1345
+
1.4
*
-0.1378
+
3.3
*
0.0205
+
0.6
*
0.6825
+
1.0
*
1.2559
=
1.70
* 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.
Eltes Co (TSE:3967) has a Altman Z-Score of 1.70 as of Jul. 15, 2026. The Altman Z-score measures a company's bankruptcy risk. View historical data on Eltes Co and its competitors. This is 56% below median its historical median of 3.85. Over the past decade, Eltes Co's Altman Z-Score has ranged from 1.18 to 43.73. According to the industry distribution chart, Eltes Co ranks #1904 out of 2765 companies in the Software industry, placing it in the top 68.9%.
Is Eltes Co's Altman Z-Score too high?
Eltes Co's current Altman Z-Score of 1.70 is 56% below median its 10-year median of 3.85. Over the past 10 years, this metric has ranged from a low of 1.18 to a high of 43.73. The Software industry median Altman Z-Score is 3.16. Eltes Co's value of 1.70 is 46.2% below this industry median. Based on the distribution chart, Eltes Co ranks #1904 out of 2765 companies in the Software industry, which is below the industry midpoint. Overall, Eltes Co has a GF Score™ of 64/100 and is considered Possible Value Trap, reflecting its overall financial health beyond just this single metric.
How does Eltes Co's Altman Z-Score compare to UBER and SHOP?
According to the Software industry distribution chart, Eltes Co ranks #1904 out of 2765 companies for Altman Z-Score. This places Eltes Co in the lower half of its industry. The industry median Altman Z-Score is 3.16. Eltes Co's value of 1.70 is 46.2% below this benchmark. Historically, Eltes Co's own Altman Z-Score has ranged from 1.18 to 43.73 over the past decade. While the company's 10-year median is 3.85 vs. the industry median of 3.16, Eltes 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 Software company?
The median Altman Z-Score among Software companies is 3.16, based on 2,765 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. Eltes Co's current Altman Z-Score of 1.70 is 46.2% 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 Eltes Co and its competitors. For the Software industry, the median Altman Z-Score is 3.16 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Eltes Co's current Altman Z-Score is 1.70, which is 56% below median its own 10-year median of 3.85. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Eltes Co stock overvalued right now?
Based on GuruFocus' analysis, Eltes Co (TSE:3967) is currently considered Possible Value Trap. The stock's GF Value™ is 円973.97, compared to a current price of 円580.00 — trading 40.4% below its estimated fair value. The current Altman Z-Score is 1.70, which is 56% below median its 10-year median of 3.85 and 46.2% below the Software industry median of 3.16. Eltes Co's overall GF Score™ is 64/100 with 6 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 Eltes Co (TSE:3967), the current Altman Z-Score is 1.70 as of Jul. 15, 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 Eltes Co (TSE:3967) Overvalued in 2026?
Based on GuruFocus' analysis, Eltes Co stock appears to be undervalued.
The current stock price of 円580.00 is trading 40.4% below its estimated GF Value™ of 円973.97.
GuruFocus considers Eltes Co to be Possible Value Trap.
Key valuation signals for TSE:3967:
Altman Z-Score: 1.70 (56% below median its 10-year median of 3.85)
GF Value™: 円973.97 vs. price of 円580.00 (40.4% below fair value)
Industry Position: 46.2% below the Software median (#1904 of 2765)
No single metric tells the full story. See the TSE:3967 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Eltes Co Ltd provides consultation services based on digital risk technology for database risk and other large storage protection in Japan. It also offers internal fraud detection services that enable the prevention of information security breaches caused by internal factors; and a service that includes detection and diagnosis of security breaches caused by external factors.
64GF Score
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