Anfield Energy Inc. — financial distress indicators
Financial-health summary
Anfield Energy Inc.'s reported numbers place it in the 'Weak' financial-health band (distress score 64/100). The main indicators are operating profit does not cover interest, cash runway under 12 months and operations consume cash. Independently, the Ohlson accounting model puts its 1-year failure probability at 84% and the market-implied (Merton) default probability is 3.6%. In its favour: strong current ratio (3.37).
Stress by dimension
Share price — last 12 months
Indicators behind the score
Each red flag shows the evidence from the company’s own filings and the financial or legal principle behind it. Points add to the 0–100 score.
Interest coverage (EBIT / interest) is -10.30×.
When EBIT < interest, debt service is funded from cash reserves or new borrowing — the classic precursor to payment default and covenant breach.
At the current free-cash-flow burn, cash covers ~5 months.
Going-concern standard: management must assess ability to continue for 12 months (ASC 205-40). Runway below that horizon forces dilution, asset sales or default.
Operating cash flow negative in 3 of the last 3 years.
A business that cannot fund itself from operations depends on external capital to survive.
O-score 1.65 → model probability 84%.
Ohlson (1980) logit model of 1-year corporate failure; O > 0 (p > 50%) is the original failure cut-off.
Recurring net losses.
Repeated losses are a core input in both Ohlson and Altman failure models.
Price is -70% from its 52-week high.
For financial firms a share-price run often precedes a deposit or funding run (confidence channel).
Revenue vs net income
Cash generation
Debt vs cash vs equity
✅ Mitigating factors
- Strong current ratio (3.37).
- High insider/promoter ownership (33%) aligns management with survival.
📰 Recent news scan
- Anfield Energy Receives Positive Colorado DRMS Decision Completing State Review of JD-8 Uranium-Vanadium MineYahoo Finance · 2026-10-01
- Anfield Energy Receives Colorado DRMS Completeness Determination and Staff Recommendation for Approval of JD-8 Mine Permit; Board Hearing Set for October 14-15, 2026Yahoo Finance · 2026-09-15
- Anfield Advances Velvet-Wood Toward Active Dewatering with Utah Concept Approval and Outfall Reactivation RequestYahoo Finance · 2026-09-10
- Anfield Energy Completes First Underground Blast in Nearly 40 Years at Velvet-Wood MineYahoo Finance · 2026-08-27
- Africa Energy Closes Previously Announced Non-Brokered Private PlacementYahoo Finance · 2026-08-04
- Anfield Energy Closes US$6.9 million Underwritten Public OfferingYahoo Finance · 2026-08-01
⚖️ U.S. legal pathway — Title 11, U.S. Code
Which chapter would apply?
- Chapter 11 — reorganisation. Management usually stays in control as debtor-in-possession; the automatic stay (§362) halts collection; a plan must meet the best-interests test (§1129(a)(7)) and the absolute priority rule (§1129(b)) — creditors are paid before shareholders, who are frequently wiped out.
- Chapter 7 — liquidation. A trustee sells assets and distributes proceeds by statutory priority (§§507, 726).
- Subchapter V (“Chapter 5”) is a fast track for small-business debtors under a statutory debt cap, but SEC-reporting companies are excluded (§101(51D)) — so it rarely applies to listed companies.
What typically triggers a filing
- Payment default or covenant breach lenders will not waive; a debt maturity that cannot be refinanced.
- Auditor going-concern doubt (ASC 205-40 / PCAOB AS 2415) — often itself a default trigger in loan agreements.
- Creditors can force a case with an involuntary petition (§303) if debts are not paid as they come due.
- Delisting after sustained sub-$1 prices or equity deficits cuts off equity funding.
Transactions shortly before filing can be clawed back (preferences — 90 days, §547; fraudulent transfers — 2 years, §548).
Frequently asked questions
What do Anfield Energy Inc.'s financial-health indicators show?
As of 2026-10-08, Anfield Energy Inc.'s public financial data places it in the 'Weak' band with a distress score of 64/100, driven by operating profit does not cover interest, cash runway under 12 months and operations consume cash. This is a statistical screen of reported numbers — it does not mean the company is insolvent, has defaulted or will enter insolvency proceedings.
What is Anfield Energy Inc.'s financial distress score?
64/100 ('Weak'). Ohlson O-score 1.65 (model 1-year failure probability 84%). Merton distance-to-default 1.8 σ (model default probability 3.6%).
What works in Anfield Energy Inc.'s favour?
Strong current ratio (3.37). High insider/promoter ownership (33%) aligns management with survival.
How are shareholders treated if a company enters insolvency?
In a Chapter 11 reorganisation the absolute priority rule pays secured lenders, then unsecured creditors, before shareholders — so existing shares are usually cancelled or heavily diluted. In Chapter 7 the company is liquidated and shareholders rarely recover anything.
Other Energy, Oil & Gas companies with distress indicators
- Sky Quarry Inc. (SKYQ)Very weak 100/100
- SolarMax Technology, Inc. (SMXT)Very weak 100/100
- Spruce Power Holding Corporation (SPRU)Very weak 100/100
- Vivakor, Inc. (VIVK)Very weak 100/100
- SUNation Energy Inc. (SUNE)Very weak 86/100
- Canadian Solar Inc. (CSIQ)Very weak 74/100
Methodology
Score = capped sum of rule-based red flags across seven dimensions (liquidity, solvency, profitability, cash flow, sales trend, market signal, news). Ohlson O-score (1980) gives an accounting-based 1-year failure probability; Merton distance-to-default (Bharath & Shumway 2008) gives a market-implied probability. Financial institutions use a capital-based rule set. Recalculated every trading day from the latest filings, prices and news.