Bankruptcy Prediction

Bankruptcy prediction aims to identify companies at high risk of financial failure using various data sources and predictive models. Current research emphasizes improving data quality, particularly addressing missing values and class imbalance, and exploring advanced model architectures such as BERT for textual analysis, graph neural networks for incorporating network effects, and automated machine learning for efficient model selection. These advancements aim to enhance prediction accuracy and interpretability, ultimately benefiting financial institutions, investors, and regulators in risk assessment and decision-making.