Jim Chanos regarding Tesla's liquidity and credit strength: "Tesla’s quick ratio dropped to 0.38 and their (Altman) z-score is approaching 1.0. Both are indicative of a company in financial distress."

https://twitter.com/jennablan/status/992086533397274625

http://www.businessinsider.com/the-altman-z-score-is-it-possible-to-predict-corporate-bankruptcy-using-a-formula-2011-4

"In subsequent tests over 31 years up until 1999, the model was found to be 80-90% accurate in predicting bankruptcy one year prior to the event."

Cash balances in the final quarter before bankruptcy:

Enron - $1.0B

GM - $14.0B

Worldcom - $1.4B

$TSLA has $2.7B in cash and burned $1.1B in Q1

Submitted May 03, 2018 at 04:55PM by Old_Bit https://ift.tt/2HRlzxE