Weng's Z-Score model

Weng's Z-Score model is a financial tool used to assess the likelihood of a company facing bankruptcy. It analyzes key financial ratios related to profitability, leverage, liquidity, and efficiency, combining them into a single score. A higher Z-Score indicates a lower risk of insolvency, while a lower score suggests higher financial distress. The model helps investors and analysts evaluate the financial health of a company objectively, enabling informed decision-making. It builds on earlier models like Altman's Z-Score but incorporates additional factors for a more comprehensive risk assessment.