Dividend Aristocrats Altman-Z

Dividend stocks “safety” can also be measured based on above-average market capitalizations and liquidity, balance-sheet strength (per their Altman Z-score).

The Altman Z Score Formula in short:

• Altman Z score of greater than 2.99 means that the entity being measured is safe from bankruptcy (“Safe-Zone”).
• A score below 1.81 means that a business is at considerable risk of going into bankruptcy (“Bankruptcy-Zone or Distress-Zone”),
• while scores in between should be considered a red flag for possible problems. (“Grey-Zone”).

The table below lists the Dividend Aristocrats based on their Altman Z-score.