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FOXF (Fox Factory Holding) Altman Z-Score : 2.37 (As of Oct. 31, 2024)


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What is Fox Factory Holding Altman Z-Score?

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 2.4 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.

Fox Factory Holding has a Altman Z-Score of 2.37, indicating it is in Grey Zones. This implies that Fox Factory Holding 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 Fox Factory Holding's Altman Z-Score or its related term are showing as below:

FOXF' s Altman Z-Score Range Over the Past 10 Years
Min: 2.4   Med: 6.72   Max: 11.81
Current: 2.4

During the past 13 years, Fox Factory Holding's highest Altman Z-Score was 11.81. The lowest was 2.40. And the median was 6.72.


Fox Factory Holding Altman Z-Score Historical Data

The historical data trend for Fox Factory Holding'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.

* Premium members only.

Fox Factory Holding Altman Z-Score Chart

Fox Factory Holding Annual Data
Trend Dec14 Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23
Altman Z-Score
Get a 7-Day Free Trial Premium Member Only Premium Member Only 11.53 6.48 9.11 7.20 3.40

Fox Factory Holding Quarterly Data
Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24
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 Premium Member Only 7.10 8.27 3.40 2.85 2.66

Competitive Comparison of Fox Factory Holding's Altman Z-Score

For the Auto Parts subindustry, Fox Factory Holding'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.


Fox Factory Holding's Altman Z-Score Distribution in the Vehicles & Parts Industry

For the Vehicles & Parts industry and Consumer Cyclical sector, Fox Factory Holding's Altman Z-Score distribution charts can be found below:

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



Fox Factory Holding 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.

Fox Factory Holding'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*0.2379+1.4*0.3844+3.3*0.0347+0.6*1.403+1.0*0.5939
=2.37

* 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 Jun. 2024:
Total Assets was $2,266 Mil.
Total Current Assets was $792 Mil.
Total Current Liabilities was $253 Mil.
Retained Earnings was $871 Mil.
Pre-Tax Income was 5.036 + -4.763 + 0.911 + 38.777 = $40 Mil.
Interest Expense was -13.865 + -13.329 + -7.915 + -3.466 = $-39 Mil.
Revenue was 348.491 + 333.472 + 332.495 + 331.117 = $1,346 Mil.
Market Cap (Today) was $1,500 Mil.
Total Liabilities was $1,069 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
=(791.72 - 252.827)/2265.621
=0.2379

X2=Retained Earnings/Total Assets
=870.863/2265.621
=0.3844

X3=Earnings Before Interest and Taxes/Total Assets
=(Pre-Tax Income - Interest Expense)/Total Assets
=(39.961 - -38.575)/2265.621
=0.0347

X4=Market Value Equity/Book Value of Total Liabilities
=Market Cap/Total Liabilities
=1500.177/1069.238
=1.403

X5=Revenue/Total Assets
=1345.575/2265.621
=0.5939

The zones of discrimination were as such:

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

Fox Factory Holding has a Altman Z-Score of 2.37 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.


Fox Factory Holding  (NAS:FOXF) 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.


Fox Factory Holding Altman Z-Score Related Terms

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Fox Factory Holding Business Description

Traded in Other Exchanges
Address
2055 Sugarloaf Circle, Suite 300, Duluth, GA, USA, 30097
Fox Factory Holding Corp is a designer, manufacturer, and marketer of performance-defining products and systems used predominantly on bikes, Side-by-Sides, on-road vehicles with and without off-road capabilities, off-road vehicles and trucks, ATVs, snowmobiles, specialty vehicles and applications, motorcycles, and commercial trucks. Its business operates under the FOX, FOX RACING SHOX, and RACE FACE brands. Geographically, it derives a majority of revenue from North America and also has a presence in Asia, Europe, and the Rest of the World.
Executives
Christopher Tutton officer: SEE REMARKS (A) C/O FOX FACTORY HOLDING CORP., 6634 HIGHWAY 53, BRASELTON GA 30517
Ted Waitman director SIXTY ONE WILTON ROAD, SECOND FLOOR, WESTPORT CT 06880
Michael C. Dennison director C/O FOX FACTORY HOLDING CORP., 2055 SUGARLOAF CIRCLE, SUITE 300, DULUTH GA 30097
Thomas L. Fletcher officer: SEE REMARKS (A) C/O FOX FACTORY HOLDING CORP., 2055 SUGARLOAF CIRCLE, SUITE 300, DULUTH GA 30097
Thomas E. Duncan director C/O FOX FACTORY HOLDING CORP., 2055 SUGARLOAF CIRCLE, SUITE 300, DULUTH GA 30097
Paul Stecher officer: SEE REMARKS (A) C/O FOX FACTORY HOLDING CORP., 2055 SUGARLOAF CIRCLE, SUITE 300, DULUTH GA 30097
Dennis Charles Schemm officer: CFO & Treasurer CONTINENTAL BUILDING PRODUCTS, 12950 WORLDGATE DRIVE, HERNDON VA 20170
Dudley W Mendenhall director 5818 EL CAMINO REAL, CARLSBAD CA 92008
Brendan Enick officer: Chief Accounting Officer C/O FOX FACTORY HOLDING CORP., 2055 SUGARLOAF CIRCLE, SUITE 300, DULUTH GA 30097
Maggie Elizabeth Torres officer: Interim CFO & Treasurer C/O FOX FACTORY HOLDING CORP., 2055 SUGARLOAF CIRCLE, SUITE 300, DULUTH GA 30097
Elizabeth A Fetter director 1400 MARINA WAY SOUTH, RICHMOND CA 94804
Richard T. Winters officer: SEE REMARKS (A) C/O FOX FACTORY HOLDING CORP., 2055 SUGARLOAF CIRCLE, SUITE 300, DULUTH GA 30097
Scott Randall Humphrey officer: CFO & TREASURER C/O FOX FACTORY HOLDING CORP., 6634 HIGHWAY 53, BRASELTON GA 30517
Toby D Merchant officer: Chief Legal Officer C/O FOX FACTORY HOLDING CORP., 2055 SUGARLOAF CIRCLE, SUITE 300, DULUTH GA 30097
Larry L Enterline director, officer: Chief Executive Officer 2709 WATER RIDGE PARKWAY, 2ND FLOOR, CHARLOTTE NC 28217