Altair Z Score

ALTR
 Stock
  

USD 56.41  1.09  1.97%   

Altman Z Score is one of the simplest fundamental models to determine how likely your company is to fail. The module uses available fundamental data of a given equity to approximate the Altman Z score. Altman Z Score is determined by evaluating five fundamental price points available from the company's current public disclosure documents. Please continue to Altair Engineering Piotroski F Score and Altair Engineering Valuation analysis.
  
Altair Engineering Return on Invested Capital is relatively stable at the moment as compared to the past year. Altair Engineering reported last year Return on Invested Capital of 0.13. As of 08/15/2022, Invested Capital is likely to grow to about 36.4 M, while Market Capitalization is likely to drop slightly above 5.1 B. Altair Engineering Cost of Revenue is relatively stable at the moment as compared to the past year. Altair Engineering reported last year Cost of Revenue of 129.67 Million. As of 08/15/2022, Interest Expense is likely to grow to about 13 M, while Consolidated Income is likely to drop (9.5 M).

Altair Z Score Analysis

Altair Engineering's Z-Score is a simple linear, multi-factor model that measures the financial health and economic stability of a company. The score is used to predict the probability of a firm going into bankruptcy within next 24 months or two fiscal years from the day stated on the accounting statements used to calculate it. The model uses five fundamental business ratios that are weighted according to algorithm of Professor Edward Altman who developed it in the late 1960s at New York University..
 2019 2021 2022 (projected)
Long Term Debt to Equity0.50.450.35
Interest Coverage1.291.021.05
Z Score 
 = 
Sum Of  
 
5 Factors 
More About Z Score | All Equity Analysis

Current Altair Engineering Z Score

    
  10.2  
Most of Altair Engineering's fundamental indicators, such as Z Score, are part of a valuation analysis module that helps investors searching for stocks that are currently trading at higher or lower prices than their real value. If the real value is higher than the market price, Altair Engineering is considered to be undervalued, and we provide a buy recommendation. Otherwise, we render a sell signal.
First Factor
 = 
1.2 * (
Working Capital
/
Total Assets )
Second Factor
 = 
1.4 * (
Retained Earnings
/
Total Assets )
Thrid Factor
 = 
3.3 * (
EBITAD
/
Total Assets )
Fouth Factor
 = 
0.6 * (
Market Value of Equity
/
Total Liabilities )
Fifth Factor
 = 
0.99 * (
Revenue
/
Total Assets )

Altair Z Score Driver Correlations

Understanding the fundamental principles of building solid financial models for Altair Engineering is extremely important. It helps to project a fair market value of Ford stock properly, considering its historical fundamentals such as Z Score. Since Altair Engineering's main accounts across its financial reports are all linked and dependent on each other, it is essential to analyze all possible correlations between related accounts. However, instead of reviewing all of Altair Engineering's historical financial statements, investors can examine the correlated drivers to determine its overall health. This can be effectively done using a conventional correlation matrix of Altair Engineering's interrelated accounts and indicators.
To calculate Z-Score one would need to know current working capital of the company, its total assets, and liabilities, amount of latest retained earnings as well as earnings before interest and tax. Z-Score can be used to compare the odds of bankruptcy of companies in a similar line of business or firms operating in the same industry. Companies with Z-Scores above 3.1 are generally considered to be stable and healthy with a low probability of bankruptcy. Scores that fall between 1.8 and 3.1 lie in a so-called 'grey area' with scores of less than 1, indicating the high probability of distress. Z Score is used widely by financial auditors, accountants, money managers, loan processers, wealth advisers, as well as day traders. In the last 25 years, many financial models that utilize z score has been proved to be successful as a predictor of corporate bankruptcy.
Compare to competition

In accordance with the company's disclosures, Altair Engineering has a Z Score of 10.2. This is 24.16% lower than that of the Technology sector and significantly higher than that of the Software—Infrastructure industry. The z score for all United States stocks is 16.97% lower than that of the firm.

Altair Engineering Current Valuation Drivers

We derive many important indicators used in calculating different scores of Altair Engineering from analyzing Altair Engineering's financial statements. These drivers represent accounts that assess Altair Engineering's ability to generate profits relative to its revenue, operating costs, and shareholders' equity. Below are some of Altair Engineering's important valuation drivers and their relationship over time.
201720182019202020212022 (projected)
Net Income Per Employee(41.42 K)4.81 K(3.02 K)(3.88 K)(3.14 K)(3.39 K)
Revenue Per Employee138.89 K139.08 K183.57 K173.57 K190.06 K171.64 K
Average Assets269.32 M415.95 M677.11 M770.28 M953.97 M822.73 M
Earnings Before Interest Taxes and Depreciation Amortization EBITDA(22.5 M)41.96 M31.28 M37.44 M37.42 M34.09 M
Earnings Before Interest Taxes and Depreciation Amortization USD(22.5 M)41.96 M31.28 M37.44 M37.42 M34.09 M
Earnings before Tax(36.41 M)27.02 M3.39 M2.03 M(288 K)(295.58 K)
Average Equity12.96 M192.49 M339.9 M362.28 M503.46 M543.2 M
Free Cash Flow8.57 M29.57 M21.73 M26.79 M53.77 M58.02 M
Invested Capital(35.56 M)76 M274.39 M300.25 M35.51 M36.44 M
Invested Capital Average38.89 M(21.49 M)225.26 M282.01 M89.01 M116.44 M
Tangible Asset Value200.7 M206.83 M442.39 M489.31 M694.04 M565.39 M
Working Capital(53.58 M)26.8 M199.59 M186.18 M114.24 M90.34 M

Altair Fundamentals

About Altair Engineering Fundamental Analysis

The Macroaxis Fundamental Analysis modules help investors analyze Altair Engineering's financials across various querterly and yearly statements, indicators and fundamental ratios. We help investors to determine the real value of Altair Engineering using virtually all public information available. We use both quantitative as well as qualitative analysis to arrive at the intrinsic value of Altair Engineering based on its fundamental data. In general, a quantitative approach, as applied to this company, focuses on analyzing financial statements comparatively, whereas a qaualitative method uses data that is important to a company's growth but cannot be measured and presented in a numerical way.
Please read more on our fundamental analysis page.
Altair Engineering Inc., together with its subsidiaries, provides software and cloud solutions in the areas of simulation, high-performance computing, data analytics, and artificial intelligence worldwide. Altair Engineering Inc. was incorporated in 1985 and is headquartered in Troy, Michigan. Altair Engineering operates under SoftwareInfrastructure classification in the United States and is traded on NASDAQ Exchange. It employs 3050 people.

Altair Engineering Investors Sentiment

The influence of Altair Engineering's investor sentiment on the probability of its price appreciation or decline could be a good factor in your decision-making process regarding taking a position in Altair. The overall investor sentiment generally increases the direction of a stock movement in a one-year investment horizon. However, the impact of investor sentiment on the entire stock markets does not have a solid backing from leading economists and market statisticians.

Altair Engineering Implied Volatility

    
  20.81  
Altair Engineering's implied volatility exposes the market's sentiment of Altair Engineering stock's possible movements over time. However, it does not forecast the overall direction of its price. In a nutshell, if Altair Engineering's implied volatility is high, the market thinks the stock has potential for high price swings in either direction. On the other hand, the low implied volatility suggests that Altair Engineering stock will not fluctuate a lot when Altair Engineering's options are near their expiration.
Some investors attempt to determine whether the market's mood is bullish or bearish by monitoring changes in market sentiment. Unlike more traditional methods such as technical analysis, investor sentiment usually refers to the aggregate attitude towards Altair Engineering in the overall investment community. So, suppose investors can accurately measure the market's sentiment. In that case, they can use it for their benefit. For example, some tools to gauge market sentiment could be utilized using contrarian indexes, Altair Engineering's short interest history, or implied volatility extrapolated from Altair Engineering options trading.
Please continue to Altair Engineering Piotroski F Score and Altair Engineering Valuation analysis. Note that the Altair Engineering information on this page should be used as a complementary analysis to other Altair Engineering's statistical models used to find the right mix of equity instruments to add to your existing portfolios or create a brand new portfolio. You can also try Insider Screener module to find insiders across different sectors to evaluate their impact on performance.

Complementary Tools for Altair Stock analysis

When running Altair Engineering price analysis, check to measure Altair Engineering's market volatility, profitability, liquidity, solvency, efficiency, growth potential, financial leverage, and other vital indicators. We have many different tools that can be utilized to determine how healthy Altair Engineering is operating at the current time. Most of Altair Engineering's value examination focuses on studying past and present price action to predict the probability of Altair Engineering's future price movements. You can analyze the entity against its peers and financial market as a whole to determine factors that move Altair Engineering's price. Additionally, you may evaluate how the addition of Altair Engineering to your portfolios can decrease your overall portfolio volatility.
Portfolio Holdings
Check your current holdings and cash postion to detemine if your portfolio needs rebalancing
Go
Positions Ratings
Determine portfolio positions ratings based on digital equity recommendations. Macroaxis instant position ratings are based on combination of fundamental analysis and risk-adjusted market performance
Go
Stock Screener
Find equities using custom stock filter or screen asymmetry in trading patterns, price, volume, or investment outlook.
Go
Performance Analysis
Check effects of mean-variance optimization against your current asset allocation
Go
My Watchlist Analysis
Analyze my current watchlist and to refresh optimization strategy. Macroaxis watchlist is based on self-learning algorithm to remember stocks you like
Go
Equity Forecasting
Use basic forecasting models to generate price predictions and determine price momentum
Go
Is Altair Engineering's industry expected to grow? Or is there an opportunity to expand the business' product line in the future? Factors like these will boost the valuation of Altair Engineering. If investors know Altair will grow in the future, the company's valuation will be higher. The financial industry is built on trying to define current growth potential and future valuation accurately. All the valuation information about Altair Engineering listed above have to be considered, but the key to understanding future value is determining which factors weigh more heavily than others.
Quarterly Earnings Growth YOY
-0.28
Market Capitalization
4.5 B
Quarterly Revenue Growth YOY
0.11
Return On Assets
0.0136
Return On Equity
-0.0663
The market value of Altair Engineering is measured differently than its book value, which is the value of Altair that is recorded on the company's balance sheet. Investors also form their own opinion of Altair Engineering's value that differs from its market value or its book value, called intrinsic value, which is Altair Engineering's true underlying value. Investors use various methods to calculate intrinsic value and buy a stock when its market value falls below its intrinsic value. Because Altair Engineering's market value can be influenced by many factors that don't directly affect Altair Engineering's underlying business (such as a pandemic or basic market pessimism), market value can vary widely from intrinsic value.
Please note, there is a significant difference between Altair Engineering's value and its price as these two are different measures arrived at by different means. Investors typically determine Altair Engineering value by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Altair Engineering's price is the amount at which it trades on the open market and represents the number that a seller and buyer find agreeable to each party.