What is Werewolf Therapeutics 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, Werewolf Therapeutics's Probability of Financial Distress (%) is 0.05%.
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 Werewolf Therapeutics's Probability of Financial Distress (%)
For the Biotechnology subindustry, Werewolf Therapeutics'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.
Werewolf Therapeutics's Probability of Financial Distress (%) Distribution in the Biotechnology Industry
For the Biotechnology industry and Healthcare sector, Werewolf Therapeutics's Probability of Financial Distress (%) distribution charts can be found below:
* The bar in red indicates where Werewolf Therapeutics's Probability of Financial Distress (%) falls into.
Werewolf Therapeutics 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 |
| = | -7.55 |
The Probability of Financial Distress (%) (PFD) was then obtianed by:
| PFD | = | 1 | / | (1 + e^(-LPFD)) | * | 100% |
| = | 0.05% |
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).
Werewolf Therapeutics (Werewolf Therapeutics) Business Description
Traded in Other Exchanges
N/A
Address
200 Talcott Avenue, 2nd Floor, Watertown, MA, USA, 02472
Werewolf Therapeutics Inc is a biopharmaceutical company pioneering the development of therapeutics engineered to stimulate the body's immune system for the treatment of cancer.
Executives
| Ra Capital Healthcare Fund Lp |
director, 10 percent owner |
200 BERKELEY STREET, 18TH FLOOR, BOSTON MA 02116 |
| Luke Evnin |
director |
THE JOHN HANCOCK TOWER, 200 CLARENDON STREET, 54TH STREET, BOSTON MA 02116 |
| Meeta Chatterjee |
director |
C/O EDITAS MEDICINE, INC., 1 MAIN STREET, CAMBRIDGE MA 02142 |
| Michael A. Sherman |
director |
3000 KENT AVE STE A1-100, WEST LAFAYETTE IN 47906 |
| Chulani Karunatilake |
officer: Chief Technology Officer |
1030 MASSACHUSETTS AVENUE, SUITE 210, CAMBRIDGE MA 02138 |
| Reid Leonard |
officer: Chief Operating Officer |
1030 MASSACHUSETTS AVENUE, SUITE 210, CAMBRIDGE MA 02138 |
| Mpm Oncology Innovations Fund Lp |
10 percent owner |
450 KENDALL STREET, CAMBRIDGE MA 02142 |
| Longwood Fund Iii Gp, Llc |
10 percent owner |
800 BOYLSTON ST, SUITE 1555, BOSTON MA 02199 |
| Derek Dirocco |
director |
535 MISSION STREET, 14TH FLOOR, SAN FRANCISCO CA 94105 |
| Moshe Arkin |
10 percent owner |
6 HACHOSHLIM ST., HERZELIA L3 4672406 |
| Alon Lazarus |
director, 10 percent owner |
C/O KEROS THERAPEUTICS, INC., 99 HAYDEN AVENUE, SUITE 120, BUILDING E, LEXINGTON MA 02421 |
| Daniel J Hicklin |
director, 10 percent owner, officer: See Remarks |
|
| Sphera Funds Management Ltd. |
10 percent owner |
4 ITZHAK SADE BUILDING A, 29TH FLOOR, TEL AVIV L3 6777520 |
| Sphera Global Healthcare Management Lp |
10 percent owner |
4 ITZHAK SADE BUILDING A, 29TH FLOOR, TEL AVIV L3 6777520 |
| Sphera Global Healthcare Gp Ltd. |
10 percent owner |
4 ITZHAK SADE BUILDING A, 29TH FLOOR, TEL AVIV L3 6777520 |
Werewolf Therapeutics (Werewolf Therapeutics) Headlines
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