BWEN has been removed from your Stock Email Alerts list.
Please enter Portfolio Name for new portfolio.
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.
Broadwind Energy, Inc. has a M-score of -4.14 suggests that the company is not a manipulator.
During the past 13 years, the highest Beneish M-Score of Broadwind Energy, Inc. was 13.07. The lowest was -4.75. And the median was -2.94.
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 Broadwind Energy, 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 * 0.9132||+||0.528 * 0.5669||+||0.404 * 0.8743||+||0.892 * 1.0237||+||0.115 * 0.9689|
|-||0.172 * SGAI||+||4.679 * TATA||-||0.327 * LVGI|
|-||0.172 * 0.9669||+||4.679 * -0.2482||-||0.327 * 1.5037|
|This Year (Dec13) TTM:||Last Year (Dec12) TTM:|
|Accounts Receivable was $18.7 Mil.|
Revenue was 56.397 + 60.862 + 52.945 + 45.506 = $215.7 Mil.
Gross Profit was 2.156 + 4.618 + 3.401 + 2.17 = $12.3 Mil.
Total Current Assets was $86.3 Mil.
Total Assets was $163.7 Mil.
Property, Plant and Equipment(Net PPE) was $69.1 Mil.
Depreciation, Depletion and Amortization(DDA) was $14.9 Mil.
Selling, General & Admin. Expense(SGA) was $21.4 Mil.
Total Current Liabilities was $60.5 Mil.
Long-Term Debt was $3.9 Mil.
Net Income was -3.746 + -2.398 + 0.404 + -4.759 = $-10.5 Mil.
Non Operating Income was 0.402 + -0.005 + 3.133 + 0.348 = $3.9 Mil.
Cash Flow from Operations was 4.747 + 7.731 + 16.616 + -2.84 = $26.3 Mil.
|Accounts Receivable was $20.0 Mil.
Revenue was 44.908 + 55.045 + 56.311 + 54.443 = $210.7 Mil.
Gross Profit was 0.23 + 2.715 + 1.659 + 2.232 = $6.8 Mil.
Total Current Assets was $54.8 Mil.
Total Assets was $142.9 Mil.
Property, Plant and Equipment(Net PPE) was $79.9 Mil.
Depreciation, Depletion and Amortization(DDA) was $16.5 Mil.
Selling, General & Admin. Expense(SGA) was $21.6 Mil.
Total Current Liabilities was $33.8 Mil.
Long-Term Debt was $3.6 Mil.
1. DSRI = Days Sales in Receivables Index
A large increase in DSR could be indicative of revenue inflation.
|DSRI||=||(Receivables_t / Revenue_t)||/||(Receivables_t-1 / Revenue_t-1)|
|=||(18.735 / 215.71)||/||(20.039 / 210.707)|
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.
|=||(GrossProfit_t-1 / Revenue_t-1)||/||(GrossProfit_t / Revenue_t)|
|=||(4.618 / 210.707)||/||(2.156 / 215.71)|
3. AQI = Asset Quality Index
AQI is the ratio of asset quality in year t to year t-1.
|AQI||=||(1 - (CurrentAssets_t + PPE_t) / TotalAssets_t)||/||(1 - (CurrentAssets_t-1 + PPE_t-1) / TotalAssets_t-1)|
|=||(1 - (86.335 + 69.077) / 163.694)||/||(1 - (54.751 + 79.889) / 142.91)|
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.
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))|
|=||(16.537 / (16.537 + 79.889))||/||(14.856 / (14.856 + 69.077))|
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)|
|=||(21.414 / 215.71)||/||(21.634 / 210.707)|
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)|
|=||((3.948 + 60.528) / 163.694)||/||((3.597 + 33.836) / 142.91)|
8. TATA = Total Accruals to Total Assets
Total accruals calculated as the change in working capital accounts other than cash less depreciation.
|=||(NetIncome_t - NonOperatingIncome_t||-||CashFlowsfromOperations_t)||/||TotalAssets_t|
|=||(-10.499 - 3.878||-||26.254)||/||163.694|
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.
Broadwind Energy, Inc. has a M-score of -4.14 suggests that the company will not be a manipulator.
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
Broadwind Energy, Inc. Annual Data
Broadwind Energy, Inc. Quarterly Data