What is Electro Scientific Industries Probability of Financial Distress (%)?
Probability of Financial Distress (%) measures the probability that a company will go bankrupt in the upcoming year given its current financial position. A higher ratio indicates a larger probability of bankruptcy for the company, while a lower ratio indicates a healthier fundamental. As of today, Electro Scientific Industries's Probability of Financial Distress (%) is 0.00%.
Like the Altman Z-Score, the PFD measures a company's bankruptcy risk. However, the main drawback of the Z-score is it does not apply to banks and insurance companies. According to Investopedia, the concept of "working capital" does not apply to banks and insurance companies, as financial institutions do not have typical current assets or current liabilities like inventories or accounts payable.
Competitive Comparison of Electro Scientific Industries's Probability of Financial Distress (%)
For the Semiconductors subindustry, Electro Scientific Industries's Probability of Financial Distress (%), along with its competitors' market caps and Probability of Financial Distress (%) 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.
Electro Scientific Industries's Probability of Financial Distress (%) Distribution in the Semiconductors Industry
For the Semiconductors industry and Technology sector, Electro Scientific Industries's Probability of Financial Distress (%) distribution charts can be found below:
* The bar in red indicates where Electro Scientific Industries's Probability of Financial Distress (%) falls into.
Electro Scientific Industries Probability of Financial Distress (%) Calculation
Probability of Financial Distress (%) (PFD) was developed by John Campbell, Jens Hilscher and Jan Szilagyi in their Search of Distress Risk. It measures the probability that a company will go bankrupt within the next 12 months given its current financial position.
The Probability of Financial Distress (%) was obtained by a logit probability model based on eight explanatory variables. The logit formula to compute the probability of financial distress (LPFD) is given below:
| LPFD | = | -20.12 * NIMTAAVG | + | 1.60 * TLMTA | - | 7.88 * EXRETAVG | + | 1.55 * SIGMA | - | 0.005 * RSIZE | - | 2.27 * CASHMTA | + | 0.070 * MB | - | 0.09 * PRICE | - | 8.87 |
| = | 0.00 |
The Probability of Financial Distress (%) (PFD) was then obtianed by:
| PFD | = | 1 | / | (1 + e^(-LPFD)) | * | 100% |
| = | 0.00% |
The eight explanatory variables are:
1. NIMTAAVG = Net Income to Market Total Assets
*Note that for companies reported quarterly, geometrically declining weighted quarterly Net Income data in latest four quarters are used.
2. TLMTA = Total liabilities to Market Total Assets
3. CASHMTA = Cash to Market Total Assets
For non-financial companies, CASHMTA is measured as:
4. EXRETAVG = Excess Return compared to the S&P 500
EXRETAVG is the weighted excess return compared to the S&P 500 in past 12 month. Geometrically declining weights are imposed on the monthly excess return to reflect lagged information. The weight is halved each quarter.
5. SIGMA = Standard Deviation of Daily Returns
For sigma, we use the annualized standard deviation of a company's returns over the past 92 days (or 63 trading days).
6. RSIZE = Relative Size
| RSIZE | = | log (Market Cap | / | Total Market Cap of S&P 500 companies) |
7. MB = Market to Adjusted Book Equity Ratio
8. PRICE
PRICE is measured as the log of the stock price, capped at log(15).
Electro Scientific Industries (Electro Scientific Industries) Business Description
Traded in Other Exchanges
N/A
Address
Electro Scientific Industries Inc is a manufacturer of electronic components. The company operates through two segments: Component Processing and Micromachining. The Component Processing segment includes interconnect products, semiconductor products, and component products. The interconnect, semiconductor and component products are sold to manufacturers of electronic components and are used to drill, cut, trim, ablate and test and mark features for the functionality of the component. The Micromachining segment includes products that are sold to manufacturers of end devices across various industries and are used to drill, cut or mark features on a range of materials, generally on the casing or external surface of the end device.
Executives
| Raymond A Link |
director |
C/O FORMFACTOR, INC., 7005 SOUTHFRONT ROAD, LIVERMORE CA 94551 |
| Michael D Burger |
officer: PRESIDENT AND CEO |
250 TECHNOLOGY PARK, LAKE MARY FL 32746 |
| Allen L. Muhich |
officer: CHIEF FINANCIAL OFFICER |
250 TECHNOLOGY PARK, LAKE MARY FL 32746 |
| Lynne J Camp |
director |
714 NW 914TH TERRACE, PORTLAND OR 97229 |
| Paul R Oldham |
officer: CFO, Sr. VP of Finance |
1625 SHARP POINT DRIVE, FORT COLLINS CO 80525 |
| John K Medica |
director |
C/O NATIONAL INSTRUMENTS CORPORATION, 11500 NORTH MOPAC EXPWY, BLDG C, AUSTIN TX 78759 |
| Edward C Grady |
director, officer: President & CEO |
|
| Richard J Faubert |
director |
14242 S CANYON DR, PHOENIX AZ 85048 |
| Jon D Tompkins |
director |
17075 THORNMINT COURT, SAN DIEGO CA 92127 |
| D3 Family Fund Lp |
director, 10 percent owner |
19605 NE 8TH STREET CAMAS WA 98607 |
| Nierenberg Investment Management Co |
director |
19605 NE 8TH ST, CAMAS WA 98607 |
| David Nierenberg |
director, 10 percent owner |
19605 NE 8TH STREET, CAMAS WA 98607 |
| Nierenberg Investment Management Offshore Inc |
10 percent owner |
19605 NE 8TH STREET CAMAS WA 98607 |
| D3 Family Canadian Fund, L.p. |
10 percent owner |
19605 NE 8TH STREET, CAMAS WA 98607 |
| D3 Offshore Fund Lp |
10 percent owner |
19605 NE 8TH ST CAMAS WA 98607 |
Electro Scientific Industries (Electro Scientific Industries) Headlines
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