What is Kennedy-Wilson 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, Kennedy-Wilson Holdings's Probability of Financial Distress (%) is 0.23%.
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 Kennedy-Wilson Holdings's Probability of Financial Distress (%)
For the Real Estate Services subindustry, Kennedy-Wilson 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.
Kennedy-Wilson Holdings's Probability of Financial Distress (%) Distribution in the Real Estate Industry
For the Real Estate industry and Real Estate sector, Kennedy-Wilson Holdings's Probability of Financial Distress (%) distribution charts can be found below:
* The bar in red indicates where Kennedy-Wilson Holdings's Probability of Financial Distress (%) falls into.
Kennedy-Wilson 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 |
| = | -6.09 |
The Probability of Financial Distress (%) (PFD) was then obtianed by:
| PFD | = | 1 | / | (1 + e^(-LPFD)) | * | 100% |
| = | 0.23% |
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).
Kennedy-Wilson Holdings (Kennedy-Wilson Holdings) Business Description
Traded in Other Exchanges
Address
151 S El Camino Drive, Beverly Hills, CA, USA, 90212
Kennedy-Wilson Holdings Inc is a real estate investment company that owns, operates, and invests in real estate both on its own and through its investment management platform. The Company focuses on multifamily and office properties, as well as industrial and debt investments. It has two business segments; Consolidated Portfolio includes investment activities that involve ownership of multifamily units, office, retail and industrial space, and one hotel, and The Co-Investment Portfolio segment consists of investments the Company makes with partners in which it receives fees, performance allocations that it earns on its fee-bearing capital and distributions and profits from its ownership interest in the underlying operations of its co-investments.
Executives
| William J Mcmorrow |
director, 10 percent owner, officer: Chief Executive Officer |
530 WILSHIRE BLVD, STE 101, SANTA MONICA CA 90401 |
| Michael John Pegler |
officer: President KW Europe |
151 S EL CAMINO DRIVE, BEVERLY HILLS CA 90212 |
| Regina Wambold Finnegan |
officer: EVP, Risk Management and HR |
151 S EL CAMINO DRIVE, BEVERLY HILLS CA 90212 |
| Todd L Boehly |
director |
600 STEAMBOAT ROAD, GREENWICH CT 06830 |
| Boucher Richard Aidan Hugh |
director |
151 S EL CAMINO DRIVE, BEVERLY HILLS CA 90212 |
| Wade Burton |
director |
151 S EL CAMINO DRIVE, BEVERLY HILLS CA 90212 |
| Stanley R Zax |
director |
ZENITH NATIONAL INSURANCE, 21255 CALIFA STREET, WOODLAND HILLS CA 91367 |
| Mary Ricks |
officer: Co-CEO of KW Com Invt Group |
|
| Watsa V Prem Et Al |
10 percent owner |
95 WELLINGTON STREET WEST, SUITE 800, TORONTO A6 M5J 2N7 |
| Fairfax Financial Holdings Ltd/ Can |
10 percent owner |
FAIRFAX FINANCIAL HOLDINGS LTD, 95 WELLINGTON ST WEST STE 800, TORONTO A6 M5J 2N7 |
| Second 1109 Holdco Ltd. |
10 percent owner |
95 WELLINGTON ST W STE 800, TORONTO A6 M5J 2N7 |
| Sixty Two Investment Co Ltd |
10 percent owner |
1600 CATHEDRAL PLACE, 925 W GEORGIA ST, VANCOUVER BC CANADA A1 V6C3L3 |
| Justin Enbody |
officer: Chief Financial Officer |
9701 WILSHIRE BLVD., SUITE 700, BEVERLY HILLS CA 90212 |
| Kent Y Mouton |
director |
C/O KENNEDY WILSON INC, 9601 WILSHIRE BLVD STE 220, BEVERLY HILLS CA 90210 |
| Cathy Hendrickson |
director |
9701 WILSHIRE BLVD., SUITE 700, BEVERLY HILLS CA 90210 |
Kennedy-Wilson Holdings (Kennedy-Wilson Holdings) Headlines
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