Unstructured data sets such as News is the first credible source of information that can offer insights into both the present and future prospects of the company. The application of news data in the risk assessment of corporate borrowers helps in capturing important events and red-flags which can have impact on the company’s operations at a later date.
In our view, a significant drop in the company’s news sentiment can be a potential red-flag and at the same time, an early warning signal of future under-performance.
Our analysis of news data has shown a steep decline in sentiment score for 50+ companies from BSE 500 Index to a 2-year low. Here, we present the heat-map for top 20 companies witnessing significant drop in news sentiment score.
Minda Industries is one such company recording a decline in news sentiment score to 2-year low. The sentiment score turned negative after the company announced the closure of both the Indian and global manufacturing facilities due to Coronavirus pandemic. We have presented the trend of sentiment score below:
Closure of manufacturing plants, negative stock commentaries and weak earnings dominated the adverse media coverage around Minda Industries in this year. We have listed some of the negative news items on the company below:
Heckyl’s Risk Analytics System (RAS) is the first of its kind innovative application that provides early warning signals through analysis of traditional and alternative datasets for identifying distress sectors and companies ahead of time.
To know more about RAS, email us at firstname.lastname@example.org.