Thomas J. Brock is a CFA and CPA with more than 20 years of experience in various areas including investing, insurance portfolio management, finance and accounting, personal investment and financial ...

Scott Nevil is an experienced writer and editor with a demonstrated history of publishing content for Investopedia. He goes in-depth to create informative and actionable content around monetary policy ...

Z-score is an extremely useful technique not only for screening, but also for stock picking and portfolio structuring. A backtest shows that using a composite Z-score, based on PC, PTBV and PE ratios, ...

Devised in the 1960s by Edward Altman, a Z score indicates the probability of a company entering bankruptcy within the next two years. The higher the Z score, the lower the probability of bankruptcy.