Switch to:
DTE Energy Holding Co (NYSE:DTE)
Piotroski F-Score
5 (As of Today)

The zones of discrimination were as such:

Good or high score = 7, 8, 9
Bad or low score = 0, 1, 2, 3

DTE Energy Holding Co has an F-score of 5 indicating the company's financial situation is typical for a stable company.

DTE' s Piotroski F-Score Range Over the Past 10 Years
Min: 4   Max: 9
Current: 5

4
9

During the past 13 years, the highest Piotroski F-Score of DTE Energy Holding Co was 9. The lowest was 4. And the median was 6.


Definition

How is the Piotroski F-Score calculated?

* All numbers are in millions except for per share data and ratio. All numbers are in their own currency.

This Year (Dec15) TTM:Last Year (Dec14) TTM:
Net Income was 273 + 109 + 265 + 80 = $727 Mil.
Cash Flow from Operations was 747 + 433 + 288 + 443 = $1,911 Mil.
Revenue was 2984 + 2268 + 2598 + 2487 = $10,337 Mil.
Gross Profit was 1586 + 1326 + 1545 + 318 = $4,775 Mil.
Average Total Assets from the begining of this year (Dec14)
to the end of this year (Dec15) was
(27899 + 28068 + 28350 + 28654 + 28737) / 5 = $28341.6 Mil.
Total Assets at the begining of this year (Dec14) was $27,899 Mil.
Long-Term Debt was $8,835 Mil.
Total Current Assets was $2,575 Mil.
Total Current Liabilities was $2,528 Mil.
Net Income was 326 + 124 + 156 + 299 = $905 Mil.

Revenue was 3930 + 2698 + 2595 + 3078 = $12,301 Mil.
Gross Profit was 1775 + 1422 + 1476 + 606 = $5,279 Mil.
Average Total Assets from the begining of last year (Dec13)
to the end of last year (Dec14) was
(25935 + 26161 + 26189 + 26376 + 27899) / 5 = $26512 Mil.
Total Assets at the begining of last year (Dec13) was $25,935 Mil.
Long-Term Debt was $8,343 Mil.
Total Current Assets was $3,012 Mil.
Total Current Liabilities was $2,577 Mil.

Profitability

Question 1. Return on Assets (ROA)

Net income before extraordinary items for the year divided by total assets at the beginning of the year.

Score 1 if positive, 0 if negative.

DTE Energy Holding Co's current net income (TTM) was 727. ==> Positive ==> Score 1.

Question 2. Cash Flow Return on Assets (CFROA)

Net cash flow from operating activities (operating cash flow) divided by total assets at the beginning of the year.

Score 1 if positive, 0 if negative.

DTE Energy Holding Co's current cash flow from operations (TTM) was 1,911. ==> Positive ==> Score 1.

Question 3. Change in Return on Assets

Compare this year’s return on assets (1) to last year’s return on assets.

Score 1 if it’s higher, 0 if it’s lower.

DTE Energy Holding Co's return on assets of this year was 0.02605828. DTE Energy Holding Co's return on assets of last year was 0.03489493. ==> Last year is higher ==> Score 0.

Question 4. Quality of Earnings (Accrual)

Compare Cash flow return on assets (2) to return on assets (1)

Score 1 if CFROA > ROA, 0 if CFROA <= ROA.

DTE Energy Holding Co's current net income (TTM) was 727. DTE Energy Holding Co's current cash flow from operations (TTM) was 1,911. ==> 1,911 > 727 ==> CFROA > ROA ==> Score 1.

Funding

Question 5. Change in Gearing or Leverage

Compare this year’s gearing (long-term debt divided by average total assets) to last year’s gearing.

Score 0 if this year's gearing is higher, 1 otherwise.

Gearing (This Year: Dec15)=Long-Term Debt/Average Total Assets from Dec14 to Dec15
=8835/28341.6
=0.31173258

Gearing (Last Year: Dec14)=Long-Term Debt/Average Total Assets from Dec13 to Dec14
=8343/26512
=0.31468769

DTE Energy Holding Co's gearing of this year was 0.31173258. DTE Energy Holding Co's gearing of last year was 0.31468769. ==> This year is lower or equal to last year. ==> Score 1.

Question 6. Change in Working Capital (Liquidity)

Compare this year’s current ratio (current assets divided by current liabilities) to last year’s current ratio.

Score 1 if this year'’s current ratio is higher, 0 if it’s lower

Current Ratio (This Year: Dec15)=Total Current Assets/Total Current Liabilities
=2575/2528
=1.01859177

Current Ratio (Last Year: Dec14)=Total Current Assets/Total Current Liabilities
=3012/2577
=1.16880093

DTE Energy Holding Co's current ratio of this year was 1.01859177. DTE Energy Holding Co's current ratio of last year was 1.16880093. ==> Last year's current ratio is higher ==> Score 0.

Question 7. Change in Shares in Issue

Compare the number of shares in issue this year, to the number in issue last year.

Score 0 if there is larger number of shares in issue this year, 1 otherwise.

DTE Energy Holding Co's number of shares in issue this year was 179. DTE Energy Holding Co's number of shares in issue last year was 177. ==> There is larger number of shares in issue this year. ==> Score 0.

Efficiency

Question 8. Change in Gross Margin

Compare this year’s gross margin (gross profit divided by sales) to last year’s.

Score 1 if this year’s gross margin is higher, 0 if it’s lower.

Gross Margin (This Year: TTM)=Gross Profit/Revenue
=4775/10337
=0.46193286

Gross Margin (Last Year: TTM)=Gross Profit/Revenue
=5279/12301
=0.4291521

DTE Energy Holding Co's gross margin of this year was 0.46193286. DTE Energy Holding Co's gross margin of last year was 0.4291521. ==> This year's gross margin is higher. ==> Score 1.

Question 9. Change in asset turnover

Compare this year’s asset turnover (total sales for the year divided by total assets at the beginning of the year) to last year’s asset turnover ratio.

Score 1 if this year’s asset turnover ratio is higher, 0 if it’s lower

Asset Turnover (This Year)=Revenue (TTM)/Total Assets at the Beginning of This Year (Dec14)
=10337/27899
=0.37051507

Asset Turnover (Last Year)=Revenue (TTM)/Total Assets at the Beginning of Last Year (Dec13)
=12301/25935
=0.47430114

DTE Energy Holding Co's asset turnover of this year was 0.37051507. DTE Energy Holding Co's asset turnover of last year was 0.47430114. ==> Last year's asset turnover is higher ==> Score 0.

Evaluation

Piotroski F-Score= Que. 1+ Que. 2+ Que. 3+Que. 4+Que. 5+Que. 6+Que. 7+Que. 8+Que. 9
=1+1+0+1+1+0+0+1+0
=5

Good or high score = 7, 8, 9
Bad or low score = 0, 1, 2, 3

DTE Energy Holding Co has an F-score of 5 indicating the company's financial situation is typical for a stable company.


Explanation

The developer of the system is Joseph D. Piotroski is relatively unknown accounting professor who shuns publicity and rarely gives interviews.

He graduated from the University of Illinois with a B.S. in accounting in 1989, received an M.B.A. from Indiana University in 1994. Five years later, in 1999, after earning a Ph.D. in accounting from the University of Michigan, he became an associate professor of accounting at the University of Chicago.

In 2000, he wrote a research paper called "Value Investing: The Use of Historical Financial Statement Information to Separate Winners from Losers" (pdf).

He wanted to see if he can develop a system (using a simple nine-point scoring system) that can increase the returns of a strategy of investing in low price to book (referred to in the paper as high book to market) value companies.

What he found was something that exceeded his most optimistic expectations.

Buying only those companies that scored highest (8 or 9) on his nine-point scale, or F-Score as he called it, over the 20 year period from 1976 to 1996 led to an average out-performance over the market of 13.4%.

Even more impressive were the results of a strategy of investing in the highest F-Score companies (8 or 9) and shorting companies with the lowest F-Score (0 or 1).

Over the same period from 1976 to 1996 (20 years) this strategy led to an average yearly return of 23%, substantially outperforming the average S&P 500 index return of 15.83% over the same period.


Related Terms

Net Income, Cash Flow from Operations, Revenue, Gross Profit, Total Assets, Long-Term Debt, Total Current Assets, Total Current Liabilities


Historical Data

* All numbers are in millions except for per share data and ratio. All numbers are in their own currency.

DTE Energy Holding Co Annual Data

Dec06Dec07Dec08Dec09Dec10Dec11Dec12Dec13Dec14Dec15
Question 1 1111111111
Question 2 1111111111
Question 3 0100110110
Question 4 1111111111
Question 5 0101111001
Question 6 0010110010
Question 7 0110000000
Question 8 1001101001
Question 9 0110110110
F-score 4765875565

DTE Energy Holding Co Quarterly Data

Sep13Dec13Mar14Jun14Sep14Dec14Mar15Jun15Sep15Dec15
Question 1 1111111111
Question 2 1111111111
Question 3 0111111110
Question 4 1111111111
Question 5 1010000001
Question 6 0001111110
Question 7 0000000000
Question 8 0000000111
Question 9 1111111000
F-score 5566666665
Get WordPress Plugins for easy affiliate links on Stock Tickers and Guru Names | Earn affiliate commissions by embedding GuruFocus Charts
GuruFocus Affiliate Program: Earn up to $400 per referral. ( Learn More)

GuruFocus Premium Plus Membership

FEEDBACK