Net Loss: Mile-high WiFi provider Global Eagle Entertainment Inc. has gone bankrupt, which is something our FRISK® score predicted could happen.
The Los Angeles-based company filed for Chapter 11 protection on July 22. Notice the trend the 96%-accurate FRISK® score revealed for Global Eagle Entertainment since the start of 2019:
The FRISK® score is a proprietary score indicating a company's level of financial stress, based on the probability of bankruptcy over a 12-month horizon. It incorporates a number of critical risk indicators, including:
- crowdsourced click patterns of credit managers and other subscribers,
- stock market capitalization and volatility,
- financial ratios, including those used in the Altman Z”-Score model, and
- Moody’s, Fitch and DBRS Morningstar bond agency ratings
The FRISK® score is calculated daily with the most recent information in the CreditRiskMonitor database.
Download the free report to learn more.
About Bankruptcy Case Studies
CreditRiskMonitor® Bankruptcy Case Studies provide post-filing analyses of public company bankruptcies. Our case studies educate subscribers about methods they can apply to assess bankruptcy risk using our proprietary FRISK® score, robust financial database, and timely news alerts.
In nearly every case, a low FRISK® score gave our subscribers early warning of financial distress within a one-year time horizon. Our proprietary FRISK® score predicts bankruptcy risk at public companies with 96% accuracy. The score is formulated by a number of indicators including stock market capitalization and volatility, financial ratios, bond agency ratings from Moody’s, Fitch and DBRS, and crowdsourced behavioral data from a subscriber group that includes 35% of the Fortune 1000 and thousands more worldwide.
Whether you are new to credit analysis or have decades of experience under your belt, CreditRiskMonitor® Bankruptcy Case Studies offer unique insights into the business and financial decline that precedes bankruptcy.