Ecomott (TSE:3987) Altman Z-Score: 2.23 (As of Jul. 11, 2026) — 43% Below Median


TSE:3987 Ecomott Inc TSE:3987
64 GF Score
Price 円579.00
GF Value 円482.55
Valuation Modestly Overvalued
! 10 Warning Signs
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What is Ecomott Altman Z-Score?

Ecomott TSE:3987 -0.17% 64 Altman Z-Score is 2.23 as of Jul. 11, 2026, which is 43% below its 10-year median of 3.89. GuruFocus rates TSE:3987 with a GF Score™ of 64/100 and a GF Value™ of 円482.55 (Modestly Overvalued). The stock has 10 warning signs investors should review. Among 2,762 Software companies, Ecomott ranks worse than 62.13% 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 2.19 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.

Ecomott has a Altman Z-Score of 2.23, indicating it is in Grey Zones. This implies that Ecomott is in some kind of financial stress. If it is below 1.81, the company may face bankrupcy risk.

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 Ecomott's Altman Z-Score or its related term are showing as below:

TSE:3987' s Altman Z-Score Range Over the Past 10 Years
Min: 1.38   Med: 3.89   Max: 9.6
Current: 2.19

During the past 10 years, Ecomott's highest Altman Z-Score was 9.60. The lowest was 1.38. And the median was 3.89.


Ecomott  (TSE:3987) 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.


Ecomott Altman Z-Score Related Terms


Ecomott Altman Z-Score Historical Data

* Premium members only.

The historical data trend for Ecomott'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.

Ecomott Altman Z-Score Chart

Ecomott Annual Data
Trend Mar16 Mar17 Mar18 Mar19 Mar20 Aug21 Aug22 Aug23 Aug24 Aug25
Altman Z-Score
Get a 7-Day Free Trial Premium Member Only Premium Member Only 3.92 3.67 2.96 1.92 2.14

Ecomott Semi-Annual Data
Mar16 Mar17 Sep17 Mar18 Sep18 Mar19 Sep19 Mar20 Feb21 Aug21 Feb22 Aug22 Feb23 Aug23 Feb24 Aug24 Feb25 Aug25 Feb26
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 2.15 1.92 1.38 2.14 0.00

TSE:3987 vs MSFT, ORCL, PLTR: Altman Z-Score Comparison

For the Software - Infrastructure subindustry, Ecomott'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.


Ecomott Altman Z-Score vs Software Industry

For the Software industry and Technology sector, Ecomott's Altman Z-Score distribution charts can be found below:

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


TSE:3987
64GF Score
Ecomott Inc TSE:3987
Altman Z-Score is just one metric. See GF Score™, valuation, warning signs, and more.
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Ecomott 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.

Ecomott'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*0.2004+1.4*-0.1486+3.3*0.0037+0.6*1.6857+1.0*1.1738
=2.23

* 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 Aug. 2025:
Total Assets was 円2,559 Mil.
Total Current Assets was 円1,916 Mil.
Total Current Liabilities was 円1,403 Mil.
Retained Earnings was 円-380 Mil.
Pre-Tax Income was 円-5 Mil.
Interest Expense was 円-14 Mil.
Revenue was 円3,004 Mil.
Market Cap (Today) was 円2,992 Mil.
Total Liabilities was 円1,775 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
=(1916.19 - 1403.46)/2558.989
=0.2004

X2=Retained Earnings/Total Assets
=-380.197/2558.989
=-0.1486

X3=Earnings Before Interest and Taxes/Total Assets
=(Pre-Tax Income - Interest Expense)/Total Assets
=(-4.574 - -14.003)/2558.989
=0.0037

X4=Market Value Equity/Book Value of Total Liabilities
=Market Cap/Total Liabilities
=2991.666/1774.782
=1.6857

X5=Revenue/Total Assets
=3003.786/2558.989
=1.1738

The zones of discrimination were as such:

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

Ecomott has a Altman Z-Score of 2.23 indicating it is in Grey 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 2.23 mean?
Ecomott (TSE:3987) has a Altman Z-Score of 2.23 as of Jul. 11, 2026. The Altman Z-score measures a company's bankruptcy risk. View historical data on Ecomott and its competitors. This is 43% below median its historical median of 3.89. Over the past decade, Ecomott's Altman Z-Score has ranged from 1.38 to 9.60. According to the industry distribution chart, Ecomott ranks #1716 out of 2762 companies in the Software industry, placing it in the top 62.1%.
Is Ecomott's Altman Z-Score too high?
Ecomott's current Altman Z-Score of 2.23 is 43% below median its 10-year median of 3.89. Over the past 10 years, this metric has ranged from a low of 1.38 to a high of 9.60. The Software industry median Altman Z-Score is 3.17. Ecomott's value of 2.23 is 29.7% below this industry median. Based on the distribution chart, Ecomott ranks #1716 out of 2762 companies in the Software industry, which is below the industry midpoint. Overall, Ecomott has a GF Score™ of 64/100 and is considered Modestly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Ecomott's Altman Z-Score compare to MSFT and ORCL?
According to the Software industry distribution chart, Ecomott ranks #1716 out of 2762 companies for Altman Z-Score. This places Ecomott in the lower half of its industry. The industry median Altman Z-Score is 3.17. Ecomott's value of 2.23 is 29.7% below this benchmark. Historically, Ecomott's own Altman Z-Score has ranged from 1.38 to 9.60 over the past decade. While the company's 10-year median is 3.89 vs. the industry median of 3.17, Ecomott 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 3.17, based on 2,762 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. Ecomott's current Altman Z-Score of 2.23 is 29.7% 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 Ecomott and its competitors. For the Software industry, the median Altman Z-Score is 3.17 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Ecomott's current Altman Z-Score is 2.23, which is 43% below median its own 10-year median of 3.89. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Ecomott stock overvalued right now?
Based on GuruFocus' analysis, Ecomott (TSE:3987) is currently considered Modestly Overvalued. The stock's GF Value™ is 円482.55, compared to a current price of 円579.00 — trading 20% above its estimated fair value. The current Altman Z-Score is 2.23, which is 43% below median its 10-year median of 3.89 and 29.7% below the Software industry median of 3.17. Ecomott's overall GF Score™ is 64/100 with 10 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 Ecomott (TSE:3987), the current Altman Z-Score is 2.23 as of Jul. 11, 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 Ecomott (TSE:3987) Overvalued in 2026?

Based on GuruFocus' analysis, Ecomott stock appears to be overvalued. The current stock price of 円579.00 is trading 20% above its estimated GF Value™ of 円482.55. GuruFocus considers Ecomott to be Modestly Overvalued.

Key valuation signals for TSE:3987:

  • Altman Z-Score: 2.23 (43% below median its 10-year median of 3.89)
  • GF Value™: 円482.55 vs. price of 円579.00 (20% above fair value)
  • GF Score™: 64/100 with 10 warning signs
  • Industry Position: 29.7% below the Software median (#1716 of 2762)

No single metric tells the full story. See the TSE:3987 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Ecomott Business Description

Address 1-2-5 Kita 1-jo Higashi, 7 Floor, Caress Sapporo Building, Chuo-ku, Hokkaido, Sapporo, JPN, 060-0031
Ecomott Inc provides internet of things platform solutions that connects devices and systems. It offers a range of connectivity-driven technologies capable of solving real-world issues in a wide variety of industries. Company services includes Yuri Motto, Your Stand, Lloyd on the Scene, Solar power generation business, Pdrive, Disaster detection service. The company includes products such as Edge AI camera MRM-900, KENWOOD's high-performance 3-camera compatible telematics terminal STZ-DR20J, Waterproof and dustproof high-performance telematics terminal STZ-DR30, any many-more.
64GF Score

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

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Price
円482.55
GF Value