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Cameco Corp (NYSE:CCJ)
Beneish M-Score
-1.65 (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 -1.67 signals that the company is a manipulator.

CCJ' s 10-Year Beneish M-Score Range
Min: -3.59   Max: -0.7
Current: -1.65

-3.59
-0.7

During the past 13 years, the highest Beneish M-Score of Cameco Corp was -0.70. The lowest was -3.59. And the median was -2.53.


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 * 1.3467+0.528 * 1.5843+0.404 * 1.0374+0.892 * 1.0441+0.115 * 1.028
-0.172 * SGAI+4.679 * TATA-0.327 * LVGI
-0.172 * 0.7727+4.679 * 0.0228-0.327 * 1.0652
=-1.67

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

This Year (Jun14) TTM:Last Year (Jun13) TTM:
Accounts Receivable was $284 Mil.
Revenue was 467.384543762 + 381.464058235 + 893.437842779 + 575.847490347 = $2,318 Mil.
Gross Profit was 126.472067039 + 97.907188353 + 169.174588665 + 219.67953668 = $613 Mil.
Total Current Assets was $2,105 Mil.
Total Assets was $8,053 Mil.
Property, Plant and Equipment(Net PPE) was $4,876 Mil.
Depreciation, Depletion and Amortization(DDA) was $280 Mil.
Selling, General & Admin. Expense(SGA) was $156 Mil.
Total Current Liabilities was $758 Mil.
Long-Term Debt was $1,388 Mil.
Net Income was 118.44320298 + 119.505914468 + 58.8080438757 + 203.925675676 = $501 Mil.
Non Operating Income was 49.5502793296 + -78.9317561419 + -2.02285191956 + 87.1061776062 = $56 Mil.
Cash Flow from Operations was -23.7169459963 + 6.3585077343 + 147.940585009 + 130.870656371 = $261 Mil.
Accounts Receivable was $202 Mil.
Revenue was 404.633653846 + 435.628066732 + 966.120967742 + 413.776089159 = $2,220 Mil.
Gross Profit was 95.2076923077 + 93.2757605496 + 605.534274194 + 136.464032421 = $930 Mil.
Total Current Assets was $1,553 Mil.
Total Assets was $7,372 Mil.
Property, Plant and Equipment(Net PPE) was $4,873 Mil.
Depreciation, Depletion and Amortization(DDA) was $288 Mil.
Selling, General & Admin. Expense(SGA) was $193 Mil.
Total Current Liabilities was $601 Mil.
Long-Term Debt was $1,243 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)
=(283.615456238 / 2318.13393512) / (201.698076923 / 2220.15877748)
=0.12234645 / 0.09084849
=1.3467

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)
=(97.907188353 / 2220.15877748) / (126.472067039 / 2318.13393512)
=0.41910595 / 0.26453751
=1.5843

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 - (2105.3547486 + 4876.02513966) / 8053.15270019) / (1 - (1553.17211538 + 4873.09326923) / 7372.04230769)
=0.13308736 / 0.12829239
=1.0374

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
=2318.13393512 / 2220.15877748
=1.0441

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))
=(288.28450806 / (288.28450806 + 4873.09326923)) / (280.140368145 / (280.140368145 + 4876.02513966))
=0.05585418 / 0.05433114
=1.028

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)
=(155.643602478 / 2318.13393512) / (192.908625841 / 2220.15877748)
=0.06714176 / 0.08688956
=0.7727

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)
=((1387.86778399 + 757.724394786) / 8053.15270019) / ((1243.17596154 + 600.738461538) / 7372.04230769)
=0.26642885 / 0.2501226
=1.0652

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
=(500.682836999 - 55.7018488743 - 261.452803118) / 8053.15270019
=0.0228

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 -1.67 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 0.79961.51540.84650.9841.18471.00210.87731.22720.90250.6988
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 1.34141.32551.37291.46820.77911.24460.96351.10170.99420.9526
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 -2.47-2.45-2.28-2.26-1.60-1.05-2.83-2.16-2.98-2.28

Cameco Corp Quarterly Data

Mar12Jun12Sep12Dec12Mar13Jun13Sep13Dec13Mar14Jun14
DSRI 0.98011.42091.34320.92360.6250.56650.62980.67251.2321.3467
GMI 1.20621.08810.82760.80590.83370.85690.91221.75421.64991.5843
AQI 1.04471.12481.07561.10741.30261.26961.2211.58851.03991.0374
SGI 1.19491.21171.10310.97150.88250.91181.02160.98991.02451.0441
DEPI 0.95760.87180.96421.1041.05541.07391.05120.96110.99131.028
SGAI 0.87240.85650.95721.15461.35791.22141.0540.98570.80590.7727
LVGI 0.94490.96880.92651.22451.24171.26351.20060.96530.95191.0652
TATA -0.0506-0.0353-0.0266-0.0473-0.0427-0.0495-0.0488-0.03120.0260.0228
M-score -2.40-1.95-2.23-2.94-3.23-3.27-3.06-2.29-1.72-1.67
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