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GBT Technologies (GBT Technologies) Altman Z-Score : -6,785.18 (As of May. 13, 2024)


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What is GBT Technologies 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 -6785.16 is in distress zone. This implies bankruptcy possibility in the next two years.

GBT Technologies has a Altman Z-Score of -6,785.18, indicating it is in Distress Zones. This implies bankrupcy possibility in the next two years.

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

GTCH' s Altman Z-Score Range Over the Past 10 Years
Min: -6785.16   Med: -281.89   Max: 51.68
Current: -6785.16

During the past 13 years, GBT Technologies's highest Altman Z-Score was 51.68. The lowest was -6785.16. And the median was -281.89.


GBT Technologies Altman Z-Score Historical Data

The historical data trend for GBT Technologies'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.

GBT Technologies Altman Z-Score Chart

GBT Technologies 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 -176.71 -387.06 -139.99 -1,122.91 -6,785.14

GBT Technologies Quarterly Data
Mar19 Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23
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 -1,122.91 -1,198.39 -1,416.53 -2,120.11 -6,785.14

Competitive Comparison of GBT Technologies's Altman Z-Score

For the Information Technology Services subindustry, GBT Technologies'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.


GBT Technologies's Altman Z-Score Distribution in the Software Industry

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

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



GBT Technologies 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.

GBT Technologies'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*-407.4615+1.4*-4051.1923+3.3*-190.6154+0.6*0.0005+1.0*4.4744
=-6,785.18

* 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 Dec. 2023:
Total Assets was $0.08 Mil.
Total Current Assets was $0.08 Mil.
Total Current Liabilities was $31.86 Mil.
Retained Earnings was $-315.99 Mil.
Pre-Tax Income was -2.192 + -0.034 + -9.916 + -5.63 = $-17.77 Mil.
Interest Expense was -0.495 + -0.186 + -0.48 + -1.743 = $-2.90 Mil.
Revenue was 0 + 0 + 0.131 + 0.218 = $0.35 Mil.
Market Cap (Today) was $0.02 Mil.
Total Liabilities was $32.19 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
=(0.078 - 31.86)/0.078
=-407.4615

X2=Retained Earnings/Total Assets
=-315.993/0.078
=-4051.1923

X3=Earnings Before Interest and Taxes/Total Assets
=(Pre-Tax Income - Interest Expense)/Total Assets
=(-17.772 - -2.904)/0.078
=-190.6154

X4=Market Value Equity/Book Value of Total Liabilities
=Market Cap/Total Liabilities
=0.017/32.188
=0.0005

X5=Revenue/Total Assets
=0.349/0.078
=4.4744

The zones of discrimination were as such:

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

GBT Technologies has a Altman Z-Score of -6,785.18 indicating it is in Distress Zones.

Study by Altman found that companies that are in Distress Zone have more than 80% of chances of bankruptcy in two years.


GBT Technologies  (OTCPK:GTCH) 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.


GBT Technologies Altman Z-Score Related Terms

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GBT Technologies (GBT Technologies) Business Description

Traded in Other Exchanges
N/A
Address
2450 Colorado Avenue, Suite 100E, Santa Monica, CA, USA, 90404
GBT Technologies Inc is engaged in the development of Internet of Things (IoT) and Artificial Intelligence (AI) enabled networking and tracking technologies, including wireless mesh network technology platform and fixed solutions, development of an intelligent human body vitals device, prepaid services, asset-tracking IoT, and wireless mesh networks. The Company also offers prepaid cellular phone minutes for both domestic and international carriers. It derives revenue from the provision of IT consulting services; and from the licensing of its technology.
Executives
Douglas Landers Davis officer: CEO C/O GOPHER PROTOCOL,, 2500 BROADWAY,SUITE F-125, SANTA MONICA CA 90404
Mitchell Kirk Tavera director 10 CLUB VIEW LANE, ROLLING HILLS ESTATES CA 90274
Eva Bitter director PACSIRTA UTCA 3., PILISBOROSJENO K5 2097
Ned L Siegel director 600 WILSHIRE BOULEVARD, LOS ANGELES CA 90017
Robert M. Yaspan director 21700 OXNARD STREET, SUITE 1750, WOODLAND HILLS CA 91367
Judit Nagypal director HANS-DOLLGAST STR. 12, MUNICH 2M 80807
Muhammad Khilji director 23832 ROCKFIELD BLVD, UNIT 170, LAKE FOREST CA 92630
Kevin Pickard officer: Chief Financial Officer 28245 AVENUE CROCKER, SUITE 220, VALENCIA CA 91355
Dan Rittman director, 10 percent owner, officer: Chief Technology Officer C/O GOPHER PROTOCOL INC., 23129 CAJALCO ROAD, PERRIS CA 92570
Direct Communications, Inc 10 percent owner 19528 VENTURA BLVD #355, TARZANA CA 91356
Michael Murray director, 10 percent owner, officer: President, CEO & Secretary C/O GOPHER PROTOCOL INC., 23129 CAJALCO ROAD, PERRIS CA 92570
Reko Holdings, Llc 10 percent owner 20154 CHAPTER DR, WOODLAND HILLS CA 91364