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Cameco Corp (NYSE:CCJ)
Beneish M-Score
-1.84 (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.

Cameco Corp has a M-score of -1.89 signals that the company is a manipulator.

CCJ' s 10-Year Beneish M-Score Range
Min: -3.59   Max: -0.57
Current: -1.84

-3.59
-0.57

During the past 13 years, the highest Beneish M-Score of Cameco Corp was -0.57. The lowest was -3.59. And the median was -2.55.


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 Cameco Corp 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 * 1.2641+0.528 * 1.8551+0.404 * 0.9854+0.892 * 0.9606+0.115 * 0.9015
-0.172 * SGAI+4.679 * TATA-0.327 * LVGI
-0.172 * 0.8767+4.679 * -0.0147-0.327 * 0.9986
=-1.89

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

This Year (Sep14) TTM:Last Year (Sep13) TTM:
Accounts Receivable was $306 Mil.
Revenue was 533.226773227 + 463.500461681 + 377.343834383 + 918.628759398 = $2,293 Mil.
Gross Profit was 129.762964308 + 125.421052632 + 96.8496849685 + 173.944548872 = $526 Mil.
Total Current Assets was $1,767 Mil.
Total Assets was $7,566 Mil.
Property, Plant and Equipment(Net PPE) was $4,862 Mil.
Depreciation, Depletion and Amortization(DDA) was $306 Mil.
Selling, General & Admin. Expense(SGA) was $159 Mil.
Total Current Liabilities was $471 Mil.
Long-Term Debt was $1,354 Mil.
Net Income was -132.594678049 + 117.458910434 + 118.215121512 + 60.4661654135 = $164 Mil.
Non Operating Income was -68.0256107529 + 49.1385041551 + -78.0792079208 + -2.07988721805 = $-99 Mil.
Cash Flow from Operations was 238.694941422 + -23.5198522622 + 6.2898289829 + 152.111842105 = $374 Mil.
Accounts Receivable was $252 Mil.
Revenue was 576.96131528 + 408.16585839 + 433.500976562 + 968.072727273 = $2,387 Mil.
Gross Profit was 220.104448743 + 96.0387972842 + 92.8203125 + 606.757575758 = $1,016 Mil.
Total Current Assets was $1,603 Mil.
Total Assets was $7,510 Mil.
Property, Plant and Equipment(Net PPE) was $4,964 Mil.
Depreciation, Depletion and Amortization(DDA) was $280 Mil.
Selling, General & Admin. Expense(SGA) was $188 Mil.
Total Current Liabilities was $564 Mil.
Long-Term Debt was $1,251 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)
=(305.510852784 / 2292.69982869) / (251.596711799 / 2386.70087751)
=0.13325375 / 0.10541611
=1.2641

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)
=(125.421052632 / 2386.70087751) / (129.762964308 / 2292.69982869)
=0.42557538 / 0.22941435
=1.8551

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 - (1766.91762783 + 4862.05612569) / 7565.6570702) / (1 - (1602.81334623 + 4963.73984526) / 7510.18762089)
=0.12380727 / 0.12564725
=0.9854

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
=2292.69982869 / 2386.70087751
=0.9606

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))
=(279.879983143 / (279.879983143 + 4963.73984526)) / (305.994963757 / (305.994963757 + 4862.05612569))
=0.05337534 / 0.05920897
=0.9015

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)
=(158.518855131 / 2292.69982869) / (188.219318604 / 2386.70087751)
=0.06914069 / 0.07886171
=0.8767

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)
=((1354.04777041 + 471.336844973) / 7565.6570702) / ((1250.61895551 + 563.890715667) / 7510.18762089)
=0.24127245 / 0.24160644
=0.9986

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
=(163.54551931 - -99.0462017366 - 373.576760248) / 7565.6570702
=-0.0147

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.

Cameco Corp has a M-score of -1.89 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.

Cameco Corp Annual Data

Dec04Dec05Dec06Dec07Dec08Dec09Dec10Dec11Dec12Dec13
DSRI 0.79571.48660.84790.68331.59310.81851.07521.12470.99350.6824
GMI 0.86061.0680.98840.80841.00151.10930.91271.44060.74321.7603
AQI 1.24510.34811.16711.29821.70270.96960.50160.88521.10741.5885
SGI 1.36571.31341.40631.4510.76731.24180.95921.10521.0070.9774
DEPI 0.76551.13761.1320.92341.01980.90441.2180.95871.080.9968
SGAI 1.17931.21941.05810.62410.69881.47931.2530.92511.15030.9715
LVGI 0.85541.39330.8321.11931.51920.58960.86181.04391.22450.9653
TATA -0.0261-0.0765-0.0231-0.04770.15780.24110.0025-0.0352-0.047-0.0292
M-score -2.45-2.49-2.24-2.56-1.23-1.22-2.66-2.26-2.88-2.27

Cameco Corp Quarterly Data

Jun12Sep12Dec12Mar13Jun13Sep13Dec13Mar14Jun14Sep14
DSRI 1.14531.03331.02090.76910.70630.74780.66581.19241.1621.2641
GMI 1.09210.82630.80380.83080.85470.91131.75991.65691.58861.8551
AQI 1.12481.07561.10741.30261.26961.2211.58851.03991.03740.9854
SGI 1.22921.10770.980.88620.91761.02891.00181.03691.0490.9606
DEPI 0.8680.95411.10911.04791.08941.03640.97280.97471.00870.9015
SGAI 0.85630.95821.15371.35591.22131.05310.98310.80420.77010.8767
LVGI 0.96880.92651.22451.24171.26351.20060.96530.95191.06520.9986
TATA -0.0361-0.0266-0.0475-0.0446-0.0505-0.0501-0.03190.02570.0223-0.0147
M-score -2.19-2.51-2.85-3.10-3.14-2.95-2.29-1.74-1.84-1.89
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