What is Virgin Orbit Holdings 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, Virgin Orbit Holdings'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 Virgin Orbit Holdings's Probability of Financial Distress (%)
For the Aerospace & Defense subindustry, Virgin Orbit Holdings'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.
Virgin Orbit Holdings's Probability of Financial Distress (%) Distribution in the Aerospace & Defense Industry
For the Aerospace & Defense industry and Industrials sector, Virgin Orbit Holdings's Probability of Financial Distress (%) distribution charts can be found below:
* The bar in red indicates where Virgin Orbit Holdings's Probability of Financial Distress (%) falls into.
Virgin Orbit Holdings 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).
Virgin Orbit Holdings (Virgin Orbit Holdings) Business Description
Traded in Other Exchanges
N/A
Address
4022 East Conant Street, Long Beach, CA, USA, 90808
Virgin Orbit Holdings Inc is a vertically integrated space company that provides customers with dedicated small satellite launch capabilities. Its launches have delivered satellites to orbit for customers across commercial, civil, and national security and defense markets, both domestically and internationally.
Executives
| Jill Kathleen Frizzley |
director |
P.O. BOX 1541, ONE BLUE HILL PLAZA, PEARL RIVER NY 10965 |
| Alan Jeffrey Carr |
director |
8540 GANDER CREEK DRIVE, MIAMISBURG OH 45342 |
| Corvina Holdings Ltd |
10 percent owner |
LA MOTTE CHAMBERS, ST HELIER X0 JE1 1BJ |
| Virgin Group Holdings Ltd |
10 percent owner |
LA MOTTE CHAMBERS, ST HELIER, JERSEY X0 JE1 1BJ |
| Virgin Investments Ltd |
10 percent owner |
LA MOTTE CHAMBERS, ST HELIER Y9 X0 JE1 1BJ |
| Sir Richard Branson |
10 percent owner |
RICHARD'S HOUSE, THE VALLEY, VIRGIN GORDA, NECKER ISLAND D8 POBOX 1091 |
| Katharina G. Mcfarland |
director |
4803 STONECROFT BOULEVARD, CHANTILLY VA 20151 |
| Mubadala Investment Co Pjsc |
10 percent owner |
P.O. BOX 45005, ABU DHABI C0 00000 |
| Mamoura Diversified Global Holding Pjsc |
10 percent owner |
P. O. BOX 45005, ABU DHABI C0 UAE |
| Fifteenth Investment Co Llc |
10 percent owner |
C/O VIRGIN ORBIT, 4022 EAST CONANT STREET, LONG BEACH CA 90808 |
| Vieco 10 Ltd |
10 percent owner |
CRAIGMUIR CHAMBERS, P.O. BOX 71, ROAD TOWN, TORTOLA D8 VG1110 |
| Shadid Abdulla Mohamed Ismail Ibrahim |
director |
C/O VIRGIN ORBIT, 4022 EAST CONANT STREET, LONG BEACH CA 90808 |
| Daniel M Hart |
director, officer: Chief Executive Officer |
C/O VIRGIN ORBIT, 4022 EAST CONANT STREET, LONG BEACH CA 90808 |
| Derrick Osmond Boston |
officer: Chief Legal Officer |
C/O VIRGIN ORBIT, 4022 EAST CONANT STREET, LONG BEACH CA 90808 |
| Brita Eve O'rear |
officer: Chief Financial Officer |
C/O VIRGIN ORBIT, 4022 EAST CONANT STREET, LONG BEACH CA 90808 |
Virgin Orbit Holdings (Virgin Orbit Holdings) Headlines
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