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Cameco Corp (NYSE:CCJ)
Beneish M-Score
-2.17 (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 -2.24 suggests that the company is not a manipulator.

CCJ' s 10-Year Beneish M-Score Range
Min: -3.59   Max: -0.55
Current: -2.17

-3.59
-0.55

During the past 13 years, the highest Beneish M-Score of Cameco Corp was -0.55. 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 * 1.1966+0.528 * 1.2743+0.404 * 0.9854+0.892 * 0.9985+0.115 * 0.9082
-0.172 * SGAI+4.679 * TATA-0.327 * LVGI
-0.172 * 0.8381+4.679 * -0.0215-0.327 * 0.9986
=-2.24

* 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 $300 Mil.
Revenue was 523.667499108 + 467.428065928 + 381.464058235 + 893.437842779 = $2,266 Mil.
Gross Profit was 127.436674991 + 126.483843933 + 97.907188353 + 169.174588665 = $521 Mil.
Total Current Assets was $1,735 Mil.
Total Assets was $7,430 Mil.
Property, Plant and Equipment(Net PPE) was $4,775 Mil.
Depreciation, Depletion and Amortization(DDA) was $291 Mil.
Selling, General & Admin. Expense(SGA) was $157 Mil.
Total Current Liabilities was $463 Mil.
Long-Term Debt was $1,330 Mil.
Net Income was -130.217623974 + 118.454232238 + 119.505914468 + 58.8080438757 = $167 Mil.
Non Operating Income was -66.8061006065 + 49.5548933793 + -78.9317561419 + 57.4945155393 = $-39 Mil.
Cash Flow from Operations was 234.415804495 + -23.7191544837 + 6.3585077343 + 147.940585009 = $365 Mil.
Accounts Receivable was $251 Mil.
Revenue was 575.847490347 + 404.633653846 + 435.628066732 + 853.181451613 = $2,269 Mil.
Gross Profit was 219.67953668 + 95.2076923077 + 93.2757605496 + 256.700604839 = $665 Mil.
Total Current Assets was $1,600 Mil.
Total Assets was $7,496 Mil.
Property, Plant and Equipment(Net PPE) was $4,954 Mil.
Depreciation, Depletion and Amortization(DDA) was $272 Mil.
Selling, General & Admin. Expense(SGA) was $188 Mil.
Total Current Liabilities was $563 Mil.
Long-Term Debt was $1,248 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)
=(300.033892258 / 2265.99746605) / (251.111003861 / 2269.29066254)
=0.13240698 / 0.11065617
=1.1966

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)
=(126.483843933 / 2269.29066254) / (127.436674991 / 2265.99746605)
=0.292983 / 0.22992184
=1.2743

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 - (1735.24170532 + 4774.89297182) / 7430.02586514) / (1 - (1599.71911197 + 4954.15733591) / 7495.68918919)
=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
=2265.99746605 / 2269.29066254
=0.9985

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))
=(272.472137025 / (272.472137025 + 4954.15733591)) / (290.786639049 / (290.786639049 + 4774.89297182))
=0.05213152 / 0.05740328
=0.9082

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)
=(157.287207826 / 2265.99746605) / (187.946342565 / 2269.29066254)
=0.06941191 / 0.08282163
=0.8381

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)
=((1329.77345701 + 462.887085266) / 7430.02586514) / ((1248.2046332 + 562.802123552) / 7495.68918919)
=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
=(166.550566607 - -38.6884478299 - 364.995742755) / 7430.02586514
=-0.0215

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 -2.24 suggests that the company will not 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 0.79571.48660.84790.68331.59310.80610.98031.35640.71460.8761
GMI 0.86061.0680.98840.80841.00151.10931.17820.82411.54321.1481
AQI 1.24510.34811.16711.29821.70270.52970.87360.95121.05671.6281
SGI 1.34141.32551.37291.46820.77911.24460.96351.10170.80971.1696
DEPI 0.76551.13761.1320.92341.01981.08110.98270.95691.37560.813
SGAI 1.17931.21941.05810.62410.69881.47931.37780.81871.44860.7927
LVGI 0.85541.39330.8321.11931.51920.58540.92091.00661.16050.9955
TATA -0.0261-0.0765-0.0231-0.04770.15780.0604-0.0111-0.0372-0.0639-0.0292
M-score -2.47-2.48-2.27-2.54-1.22-2.23-2.58-2.32-2.99-2.23

Cameco Corp Quarterly Data

Jun12Sep12Dec12Mar13Jun13Sep13Dec13Mar14Jun14Sep14
DSRI 1.2661.21970.73120.87550.70650.6850.84331.02981.06631.1966
GMI 0.80810.85771.52931.70511.68021.54221.1441.00761.00791.2743
AQI 1.12481.07561.05671.30261.26961.2211.62811.03991.03740.9854
SGI 1.1020.94560.79140.78150.89711.13141.21511.20771.16280.9985
DEPI 0.95951.16331.40591.2241.08390.87340.78210.79920.89370.9082
SGAI 0.88411.09451.41271.55081.24440.95080.80120.68360.69380.8381
LVGI 0.96880.92651.16051.24171.26351.20060.99550.95191.06520.9986
TATA -0.0363-0.0325-0.064-0.0561-0.0596-0.0453-0.0310.02620.0229-0.0215
M-score -2.34-2.50-2.99-2.71-2.77-2.56-2.24-2.08-2.13-2.24
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