What is CytoDyn 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, CytoDyn's Probability of Financial Distress (%) is 0.92%.
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 CytoDyn's Probability of Financial Distress (%)
For the Biotechnology subindustry, CytoDyn'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.
CytoDyn's Probability of Financial Distress (%) Distribution in the Biotechnology Industry
For the Biotechnology industry and Healthcare sector, CytoDyn's Probability of Financial Distress (%) distribution charts can be found below:
* The bar in red indicates where CytoDyn's Probability of Financial Distress (%) falls into.
CytoDyn 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 |
| = | -4.68 |
The Probability of Financial Distress (%) (PFD) was then obtianed by:
| PFD | = | 1 | / | (1 + e^(-LPFD)) | * | 100% |
| = | 0.92% |
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).
CytoDyn (CytoDyn) Business Description
Traded in Other Exchanges
Address
1111 Main Street, Suite 660, Vancouver, WA, USA, 98660
CytoDyn Inc is a US-based clinical-stage biotechnology company that focuses on the clinical development and potential commercialization of humanized monoclonal antibodies to treat Human Immunodeficiency Virus (HIV) infection. The lead product candidate is PRO 140, which is a class of HIV therapy called entry inhibitors that block HIV from entering into and infecting certain cells. The company emphasizes exploring opportunities for clinical applications for PRO 140 involving the CCR5 (C-C chemokine receptor type 5) receptor, other than HIV-related treatments, such as inflammatory conditions, autoimmune diseases, and cancer.
Executives
| Tyler Blok |
officer: EVP of Legal Affairs |
1111 MAIN STREET, SUITE 660, VANCOUVER WA 98660 |
| Stephen M Simes |
director |
|
| Ryan Dunlap |
director |
310 N. STATE STREET, SUITE 208, LAKE OSWEGO OR 97034 |
| Arvin Cyrus Arman |
officer: President |
1111 MAIN STREET, SUITE 660, VANCOUVER WA 98660 |
| Karen J Brunke |
director |
1111 MAIN STREET, SUITE 660, VANCOUVER WA 98660 |
| Tanya Durkee Urbach |
director |
1111 MAIN STREET, SUITE 660, VANCOUVER WA 98660 |
| Lishomwa C Ndhlovu |
director |
1111 MAIN STREET, SUITE 660, VANCOUVER WA 98660 |
| Harish Seethamraju |
director |
1111 MAIN STREET, SUITE 660, VANCOUVER WA 98660 |
| Alan P Timmins |
director |
1111 MAIN STREET, SUITE 600, VANCOUVER WA 98660 |
| Gordon A Gardiner |
director |
1111 MAIN STREET, SUITE 660, VANCOUVER WA 98660 |
| Samir Rashmikant Patel |
director |
1111 MAIN STREET, SUITE 660, VANCOUVER WA 98660 |
| Antonio Migliarese |
officer: Chief Financial Officer |
1111 MAIN STREET, SUITE 660, VANCOUVER WA 98660 |
| Chris P Recknor |
officer: Chief Operating Officer |
1111 MAIN STREET, SUITE 660, VANCOUVER WA 98660 |
| Michael D. Mulholland |
officer: CFO, Treasurer and Secretary |
1111 MAIN STREET, SUITE 660, VANCOUVER WA 98660 |
| Jordan G Naydenov |
director |
1111 MAIN STREET, SUITE 660, VANCOUVER WA 98660 |
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