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Agenus Inc (NAS:AGEN)
Beneish M-Score
-1.63 (As of Today)

The zones of discrimination for M-Score is as such:

An M-Score of less than -2.22 suggests that the company is not an accounting manipulator.
An M-Score of greater than -2.22 signals that the company is likely an accounting manipulator.

Agenus Inc has a M-score of -1.63 signals that the company is a manipulator.

AGEN' s 10-Year Beneish M-Score Range
Min: -5.76   Max: 10.73
Current: -1.63

-5.76
10.73

During the past 13 years, the highest Beneish M-Score of Agenus Inc was 10.73. The lowest was -5.76. And the median was -2.05.


Definition

The M-score was created by Professor Messod Beneish. Instead of measuring the bankruptcy risk (Z-Score) or business trend (F-Score), M-score can be used to detect the risk of earnings manipulation. This is the original research paper on M-score.

The M-Score Variables:

The M-score of Agenus Inc for today is based on a combination of the following eight different indices:

M=-4.84+0.92 * DSRI+0.528 * GMI+0.404 * AQI+0.892 * SGI+0.115 * DEPI
=-4.84+0.92 * 0+0.528 * 0.824+0.404 * 3.1193+0.892 * 2.2913+0.115 * 0.8316
-0.172 * SGAI+4.679 * TATA-0.327 * LVGI
-0.172 * 0.6319+4.679 * -0.0814-0.327 * 0.4182
=-1.63

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

This Year (Dec14) TTM:Last Year (Dec13) TTM:
Accounts Receivable was $0.00 Mil.
Revenue was 1.619 + 1.563 + 3.074 + 0.721 = $6.98 Mil.
Gross Profit was 1.619 + 1.563 + 3.074 + 0.721 = $6.98 Mil.
Total Current Assets was $42.67 Mil.
Total Assets was $74.53 Mil.
Property, Plant and Equipment(Net PPE) was $6.00 Mil.
Depreciation, Depletion and Amortization(DDA) was $1.59 Mil.
Selling, General & Admin. Expense(SGA) was $20.97 Mil.
Total Current Liabilities was $9.23 Mil.
Long-Term Debt was $4.77 Mil.
Net Income was -25.978 + -8.109 + -7.762 + -0.358 = $-42.21 Mil.
Non Operating Income was -8.353 + -0.127 + 0.754 + 9.822 = $2.10 Mil.
Cash Flow from Operations was -10.508 + -8.106 + -9.496 + -10.124 = $-38.23 Mil.
Accounts Receivable was $0.00 Mil.
Revenue was 0.393 + 0.736 + 0.807 + 1.109 = $3.05 Mil.
Gross Profit was 0.386 + 0.656 + 0.631 + 0.836 = $2.51 Mil.
Total Current Assets was $28.18 Mil.
Total Assets was $34.84 Mil.
Property, Plant and Equipment(Net PPE) was $2.79 Mil.
Depreciation, Depletion and Amortization(DDA) was $0.59 Mil.
Selling, General & Admin. Expense(SGA) was $14.48 Mil.
Total Current Liabilities was $10.30 Mil.
Long-Term Debt was $5.35 Mil.



1. DSRI = Days Sales in Receivables Index

Measured as the ratio of days’ sales in receivables in year t to year t-1.

A large increase in DSR could be indicative of revenue inflation.

DSRI=(Receivables_t / Revenue_t) / (Receivables_t-1 / Revenue_t-1)
=(0 / 6.977) / (0.001 / 3.045)
=0 / 0.00032841
=0

2. GMI = Gross Margin Index

Measured as the ratio of gross margin in year t-1 to gross margin in year t.

Gross margin has deteriorated when this index is above 1. A firm with poorer prospects is more likely to manipulate earnings.

GMI=GrossMargin_t-1 / GrossMargin_t
=(GrossProfit_t-1 / Revenue_t-1) / (GrossProfit_t / Revenue_t)
=(1.563 / 3.045) / (1.619 / 6.977)
=0.82397373 / 1
=0.824

3. AQI = Asset Quality Index

AQI is the ratio of asset quality in year t to year t-1.

Asset quality is measured as the ratio of non-current assets other than plant, property and equipment to total assets.

AQI=(1 - (CurrentAssets_t + PPE_t) / TotalAssets_t) / (1 - (CurrentAssets_t-1 + PPE_t-1) / TotalAssets_t-1)
=(1 - (42.67 + 5.997) / 74.527) / (1 - (28.175 + 2.785) / 34.835)
=0.34698834 / 0.1112387
=3.1193

4. SGI = Sales Growth Index

Ratio of sales in year t to sales in year t-1.

Sales growth is not itself a measure of manipulation. However, growth companies are likely to find themselves under pressure to manipulate in order to keep up appearances.

SGI=Sales_t / Sales_t-1
=Revenue_t / Revenue_t-1
=6.977 / 3.045
=2.2913

5. DEPI = Depreciation Index

Measured as the ratio of the rate of depreciation in year t-1 to the corresponding rate in year t.

DEPI greater than 1 indicates that assets are being depreciated at a slower rate. This suggests that the firm might be revising useful asset life assumptions upwards, or adopting a new method that is income friendly.

DEPI=(Depreciation_t-1 / (Depreciaton_t-1 + PPE_t-1)) / (Depreciation_t / (Depreciaton_t + PPE_t))
=(0.586 / (0.586 + 2.785)) / (1.585 / (1.585 + 5.997))
=0.17383566 / 0.20904774
=0.8316

6. SGAI = Sales, General and Administrative expenses Index

The ratio of SGA expenses in year t relative to year t-1.

SGA expenses index > 1 means that the company is becoming less efficient in generate sales.

SGAI=(SGA_t / Sales_t) / (SGA_t-1 /Sales_t-1)
=(20.97 / 6.977) / (14.484 / 3.045)
=3.0055898 / 4.75665025
=0.6319

7. LVGI = Leverage Index

The ratio of total debt to total assets in year t relative to yeat t-1.

An LVGI > 1 indicates an increase$sgai= in leverage

LVGI=((LTD_t + CurrentLiabilities_t) / TotalAssets_t) / ((LTD_t-1 + CurrentLiabilities_t-1) / TotalAssets_t-1)
=((4.769 + 9.229) / 74.527) / ((5.348 + 10.296) / 34.835)
=0.18782455 / 0.44908856
=0.4182

8. TATA = Total Accruals to Total Assets

Total accruals calculated as the change in working capital accounts other than cash less depreciation.

TATA=(IncomefromContinuingOperations_t - CashFlowsfromOperations_t) / TotalAssets_t
=(NetIncome_t - NonOperatingIncome_t - CashFlowsfromOperations_t) / TotalAssets_t
=(-42.207 - 2.096 - -38.234) / 74.527
=-0.0814

An M-Score of less than -2.22 suggests that the company will not be a manipulator. An M-Score of greater than -2.22 signals that the company is likely to be a manipulator.

Agenus Inc has a M-score of -1.63 signals that the company is likely to be a manipulator.


Related Terms

Altman Z-Score, Piotroski F-Score, Accounts Receivable, Revenue, Gross Profit, Total Current Assets, Total Assets, Property, Plant and Equipment, Depreciation, Depletion and Amortization, Selling, General & Admin. Expense, Total Current Liabilities, Long-Term Debt, Net Income, Non Operating Income, Cash Flow from Operations


Historical Data

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

Agenus Inc Annual Data

Dec05Dec06Dec07Dec08Dec09Dec10Dec11Dec12Dec13Dec14
DSRI 0.67923.6020.2185011010.00950
GMI 0.992911111.0380.96341.0441.16250.824
AQI 1.14321.24161.24550.83950.68881.0511.48270.71890.83583.1193
SGI 0.89111.09848.02310.47751.25761.00780.82025.79140.19082.2913
DEPI 0.83520.82950.86080.94440.90670.88551.01260.91842.20770.832
SGAI 1.19530.70570.09982.43730.56580.85171.08910.1836.6220.6403
LVGI 1.03376.28021.66470.64980.95521.0681.48180.73620.32240.4182
TATA -0.0747-0.0971-0.2598-0.2507-0.1895-0.3827-0.3549-0.4279-0.2258-0.0852
M-score -3.23-2.051.87-5.24-3.18-4.23-5.22-0.08-5.76-1.65

Agenus Inc Quarterly Data

Sep12Dec12Mar13Jun13Sep13Dec13Mar14Jun14Sep14Dec14
DSRI 1111.62948.66930.01120.00950000
GMI 1.02441.0441.32991.31971.25481.16250.83320.76370.77890.824
AQI 0.75910.71891.3951.70210.90720.83581.73251.51522.9913.1193
SGI 4.99525.79140.2390.25330.24120.19080.71911.27071.53692.2913
DEPI 0.78930.91911.30251.84812.5372.20692.02231.4080.92650.8316
SGAI 0.20490.1834.44264.37964.94746.62142.0291.10710.91290.6319
LVGI 0.82490.73621.43460.54960.33510.32240.10880.28350.42690.4182
TATA -0.3764-0.4279-0.3891-0.3911-0.2387-0.2258-0.0552-0.02840.0001-0.0814
M-score -0.59-0.084.432.20-5.37-5.76-3.47-2.95-2.04-1.63
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