Splunk Z Score

SPLK
 Stock
  

USD 87.03  3.31  3.95%   

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. Additionally, take a look at Splunk Piotroski F Score and Splunk Valuation analysis.
  
Splunk Invested Capital is increasing as compared to previous years. The last year's value of Invested Capital was reported at 435.91 Million. The current Invested Capital Average is estimated to increase to about 402.7 M, while Market Capitalization is projected to decrease to under 5.1 B. Splunk Operating Expenses is increasing as compared to previous years. The last year's value of Operating Expenses was reported at 758.01 Million. The current Revenues is estimated to increase to about 2.9 B, while Interest Expense is projected to decrease to (2.1 M).

Splunk Z Score Analysis

Splunk'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..
Z Score 
 = 
Sum Of  
 
5 Factors 
More About Z Score | All Equity Analysis

Current Splunk Z Score

    
  2.8  
Most of Splunk'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, Splunk Inc 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 )

Splunk Z Score Driver Correlations

Understanding the fundamental principles of building solid financial models for Splunk is extremely important. It helps to project a fair market value of Ford stock properly, considering its historical fundamentals such as Z Score. Since Splunk'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 Splunk'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 Splunk'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

Based on the company's disclosures, Splunk Inc has a Z Score of 2.8. This is 79.18% lower than that of the Software sector and significantly higher than that of the Information Technology industry. The z score for all United States stocks is 67.89% higher than that of the company.

Splunk Z Score Peer Comparison

Stock peer comparison is one of the most widely used and accepted methods of equity analyses. It analyses Splunk's direct or indirect competition against its Z Score to detect undervalued stocks with similar characteristics or determine the stocks which would be a good addition to a portfolio. Peer analysis of Splunk could also be used in its relative valuation, which is a method of valuing Splunk by comparing valuation metrics of similar companies.
Splunk is currently under evaluation in z score category among related companies.

Splunk Current Valuation Drivers

We derive many important indicators used in calculating different scores of Splunk from analyzing Splunk's financial statements. These drivers represent accounts that assess Splunk's ability to generate profits relative to its revenue, operating costs, and shareholders' equity. Below are some of Splunk's important valuation drivers and their relationship over time.
201720182019202020212022 (projected)
Net Income Per Employee(80.97 K)(62.63 K)(58.05 K)(139.31 K)(191.3 K)(206.4 K)
Revenue Per Employee397.12 K409.77 K406.71 K342.05 K381.95 K351.13 K
Earnings Before Interest Taxes and Depreciation Amortization EBITDA(231.79 M)(225.69 M)(260.54 M)(756.92 M)(1.11 B)(1.14 B)

Splunk Fundamentals

About Splunk Fundamental Analysis

The Macroaxis Fundamental Analysis modules help investors analyze Splunk Inc's financials across various querterly and yearly statements, indicators and fundamental ratios. We help investors to determine the real value of Splunk using virtually all public information available. We use both quantitative as well as qualitative analysis to arrive at the intrinsic value of Splunk Inc 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.
Splunk Inc., together with its subsidiaries, provides software and cloud solutions that deliver and operationalize insights from the data generated by digital systems in the United States and internationally. Splunk Inc. was incorporated in 2003 and is headquartered in San Francisco, California. Splunk operates under SoftwareInfrastructure classification in the United States and is traded on NASDAQ Exchange. It employs 7000 people.
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 Splunk 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, Splunk's short interest history, or implied volatility extrapolated from Splunk options trading.

Currently Active Assets on Macroaxis

Additionally, take a look at Splunk Piotroski F Score and Splunk Valuation analysis. You can also try Price Exposure Probability module to analyze equity upside and downside potential for a given time horizon across multiple markets.

Complementary Tools for analysis

When running Splunk Inc price analysis, check to measure Splunk'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 Splunk is operating at the current time. Most of Splunk's value examination focuses on studying past and present price action to predict the probability of Splunk's future price movements. You can analyze the entity against its peers and financial market as a whole to determine factors that move Splunk's price. Additionally, you may evaluate how the addition of Splunk to your portfolios can decrease your overall portfolio volatility.
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Is Splunk'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 Splunk. If investors know Splunk 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 Splunk listed above have to be considered, but the key to understanding future value is determining which factors weigh more heavily than others.
The market value of Splunk Inc is measured differently than its book value, which is the value of Splunk that is recorded on the company's balance sheet. Investors also form their own opinion of Splunk's value that differs from its market value or its book value, called intrinsic value, which is Splunk'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 Splunk's market value can be influenced by many factors that don't directly affect Splunk'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 Splunk's value and its price as these two are different measures arrived at by different means. Investors typically determine Splunk value by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Splunk'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.