CRWS 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.
Crown Crafts, Inc. has a M-score of -2.84 suggests that the company is not a manipulator.
During the past 13 years, the highest Beneish M-Score of Crown Crafts, Inc. was -0.45. The lowest was -8.33. And the median was -2.73.
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 Crown Crafts, 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 * 0.9065||+||0.528 * 0.8826||+||0.404 * 0.8099||+||0.892 * 1.0157||+||0.115 * 0.8753|
|-||0.172 * SGAI||+||4.679 * TATA||-||0.327 * LVGI|
|-||0.172 * 1.143||+||4.679 * -0.0166||-||0.327 * 1.0932|
|This Year (Dec13) TTM:||Last Year (Dec12) TTM:|
|Accounts Receivable was $17.27 Mil.|
Revenue was 20.619 + 20.051 + 16.613 + 23.611 = $80.89 Mil.
Gross Profit was 5.954 + 5.727 + 4.494 + 6.146 = $22.32 Mil.
Total Current Assets was $41.15 Mil.
Total Assets was $49.40 Mil.
Property, Plant and Equipment(Net PPE) was $0.58 Mil.
Depreciation, Depletion and Amortization(DDA) was $1.04 Mil.
Selling, General & Admin. Expense(SGA) was $13.28 Mil.
Total Current Liabilities was $14.82 Mil.
Long-Term Debt was $0.00 Mil.
Net Income was 1.779 + 1.142 + 0.822 + 1.855 = $5.60 Mil.
Non Operating Income was 0.013 + -0.012 + -0.003 + -0.072 = $-0.07 Mil.
Cash Flow from Operations was 2.854 + -0.272 + 3.375 + 0.534 = $6.49 Mil.
|Accounts Receivable was $18.76 Mil.
Revenue was 20.07 + 17.282 + 17.453 + 24.839 = $79.64 Mil.
Gross Profit was 5.282 + 3.914 + 4.425 + 5.775 = $19.40 Mil.
Total Current Assets was $34.43 Mil.
Total Assets was $43.58 Mil.
Property, Plant and Equipment(Net PPE) was $0.80 Mil.
Depreciation, Depletion and Amortization(DDA) was $1.03 Mil.
Selling, General & Admin. Expense(SGA) was $11.44 Mil.
Total Current Liabilities was $11.96 Mil.
Long-Term Debt was $0.00 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)|
|=||(17.274 / 80.894)||/||(18.761 / 79.644)|
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)|
|=||(5.727 / 79.644)||/||(5.954 / 80.894)|
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 - (41.152 + 0.577) / 49.4)||/||(1 - (34.425 + 0.797) / 43.577)|
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))|
|=||(1.03 / (1.03 + 0.797))||/||(1.044 / (1.044 + 0.577))|
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)|
|=||(13.283 / 80.894)||/||(11.442 / 79.644)|
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)|
|=||((0 + 14.815) / 49.4)||/||((0 + 11.955) / 43.577)|
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|
|=||(5.598 - -0.074||-||6.491)||/||49.4|
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.
Crown Crafts, Inc. has a M-score of -2.84 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
Crown Crafts, Inc. Annual Data
Crown Crafts, Inc. Quarterly Data