Full Text Available
Note: Clicking the button above will open the full text document at the original institutional repository in a new window.
Altman Z-Score Models and predicting financial distress: Empirical study of delisted mining stocks on the Johannesburg Stock Exchange
The aim of the study is to measure the predictive prowess of Altman's Z-score models when used to predict financial health and subsequent delisting of mining and metal companies listed on the Johannesburg Stock Exchange (JSE) from 1994 till 2021. The study applied the Altman's Z-score model as well...
Saved in:
| Main Author: | |
|---|---|
| Other Authors: | |
| Format: | Thesis |
| Language: | Eng |
| Published: |
Department of Finance and Tax
2024
|
| Subjects: | |
| Tags: |
No Tags, Be the first to tag this record!
|
| _version_ | 1867613474375335936 |
|---|---|
| access_status_str | Open Access |
| author | Matanga, Nigel |
| author2 | Holman, Glen |
| author_browse | Holman, Glen Matanga, Nigel |
| author_facet | Holman, Glen Matanga, Nigel |
| author_sort | Matanga, Nigel |
| collection | Thesis |
| description | The aim of the study is to measure the predictive prowess of Altman's Z-score models when used to predict financial health and subsequent delisting of mining and metal companies listed on the Johannesburg Stock Exchange (JSE) from 1994 till 2021. The study applied the Altman's Z-score model as well as the Z double prime model to the financials of JSE listed mining companies to measure the predicted status of companies in a year, two years', and three years' time against the actual listing status of each company in the sample over the corresponding time horizons. Key findings indicate that both models reliably predict delisting of mining companies on the JSE when the horizon is only a year in the future. Additional analysis shows that individual factors of the model may not necessarily be a proxy for the Zscores and that the entire model needs to be considered in its entirety as a measure of financial health. Key words: Mining, Altman Z-Score models, Financial health, Financial distress, Delisting, Johannesburg Stock Exchange. |
| format | Thesis |
| id | oai:open.uct.ac.za:11427/40347 |
| institution | University of Cape Town (South Africa) |
| language | Eng |
| last_indexed | 2026-06-10T12:36:43.486Z |
| license_str | Not specified — see source repository |
| provenance_str_mv | Harvested via OAI-PMH from UCTD — University of Cape Town Open Access Repository |
| publishDate | 2024 |
| publishDateRange | 2024 |
| publishDateSort | 2024 |
| publisher | Department of Finance and Tax |
| publisherStr | Department of Finance and Tax |
| record_format | dspace |
| source_str | UCTD — University of Cape Town Open Access Repository |
| spelling | oai:open.uct.ac.za:11427/40347 Altman Z-Score Models and predicting financial distress: Empirical study of delisted mining stocks on the Johannesburg Stock Exchange Matanga, Nigel Holman, Glen Finance and Tax The aim of the study is to measure the predictive prowess of Altman's Z-score models when used to predict financial health and subsequent delisting of mining and metal companies listed on the Johannesburg Stock Exchange (JSE) from 1994 till 2021. The study applied the Altman's Z-score model as well as the Z double prime model to the financials of JSE listed mining companies to measure the predicted status of companies in a year, two years', and three years' time against the actual listing status of each company in the sample over the corresponding time horizons. Key findings indicate that both models reliably predict delisting of mining companies on the JSE when the horizon is only a year in the future. Additional analysis shows that individual factors of the model may not necessarily be a proxy for the Zscores and that the entire model needs to be considered in its entirety as a measure of financial health. Key words: Mining, Altman Z-Score models, Financial health, Financial distress, Delisting, Johannesburg Stock Exchange. 2024-07-04T14:09:29Z 2024-07-04T14:09:29Z 2023 2024-05-16T13:38:36Z Thesis / Dissertation Masters MCom http://hdl.handle.net/11427/40347 Eng application/pdf Department of Finance and Tax Faculty of Commerce |
| spellingShingle | Finance and Tax Matanga, Nigel Altman Z-Score Models and predicting financial distress: Empirical study of delisted mining stocks on the Johannesburg Stock Exchange |
| thesis_degree_str | Master's |
| title | Altman Z-Score Models and predicting financial distress: Empirical study of delisted mining stocks on the Johannesburg Stock Exchange |
| title_full | Altman Z-Score Models and predicting financial distress: Empirical study of delisted mining stocks on the Johannesburg Stock Exchange |
| title_fullStr | Altman Z-Score Models and predicting financial distress: Empirical study of delisted mining stocks on the Johannesburg Stock Exchange |
| title_full_unstemmed | Altman Z-Score Models and predicting financial distress: Empirical study of delisted mining stocks on the Johannesburg Stock Exchange |
| title_short | Altman Z-Score Models and predicting financial distress: Empirical study of delisted mining stocks on the Johannesburg Stock Exchange |
| title_sort | altman z score models and predicting financial distress empirical study of delisted mining stocks on the johannesburg stock exchange |
| topic | Finance and Tax |
| url | http://hdl.handle.net/11427/40347 |
| work_keys_str_mv | AT matanganigel altmanzscoremodelsandpredictingfinancialdistressempiricalstudyofdelistedminingstocksonthejohannesburgstockexchange |