Comparison of the credit scoring models in the engineering industry of the Slovak Republic

Abstract

The main goal of the article is to analyze the current value of the selected credit scoring indicators. In accordance with the chosen aim, the paper focuses on the three most widely used credit scoring indicators in Slovakia, namely Altman Z-score, INDEX05 and Taffler model. The analysis is carried out at large companies in engineering industry that are still operating in 2018. The period between 2011 and 2016 is considered. This period represents the end of the economic crisis and the gradual growth of the economy after the crisis, not only in Slovakia but aroun the hole world. Selection of the companies were according to certain criteria and subsequently, based on the calculation of theindicators, classify them into thegroups that are defined by these indicators. According to results of the study, Taffler model is the best accurate model for the selected industry.