DNR 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.
Denbury Resources Inc has a M-score of -2.74 suggests that the company is not a manipulator.
During the past 13 years, the highest Beneish M-Score of Denbury Resources Inc was 0.02. The lowest was -3.22. And the median was -2.72.
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 Denbury Resources 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 * 0.9912||+||0.528 * 1.1018||+||0.404 * 0.947||+||0.892 * 1.0247||+||0.115 * 1.2013|
|-||0.172 * SGAI||+||4.679 * TATA||-||0.327 * LVGI|
|-||0.172 * 0.9801||+||4.679 * -0.0717||-||0.327 * 0.9995|
|This Year (Dec13) TTM:||Last Year (Dec12) TTM:|
|Accounts Receivable was $340 Mil.|
Revenue was 599.122 + 684.835 + 650.084 + 583.086 = $2,517 Mil.
Gross Profit was 410.615 + 503.868 + 429.526 + 394.737 = $1,739 Mil.
Total Current Assets was $415 Mil.
Total Assets was $11,789 Mil.
Property, Plant and Equipment(Net PPE) was $9,851 Mil.
Depreciation, Depletion and Amortization(DDA) was $510 Mil.
Selling, General & Admin. Expense(SGA) was $202 Mil.
Total Current Liabilities was $675 Mil.
Long-Term Debt was $3,261 Mil.
Net Income was 89.992 + 102.054 + 129.98 + 87.571 = $410 Mil.
Non Operating Income was -0.1 + -81.92 + 34.362 + -58.259 = $-106 Mil.
Cash Flow from Operations was 348.986 + 305.465 + 437.568 + 269.176 = $1,361 Mil.
|Accounts Receivable was $335 Mil.
Revenue was 609.204 + 600.371 + 601.781 + 645.116 = $2,456 Mil.
Gross Profit was 469.805 + 469.886 + 477.27 + 452.628 = $1,870 Mil.
Total Current Assets was $1,543 Mil.
Total Assets was $11,139 Mil.
Property, Plant and Equipment(Net PPE) was $8,077 Mil.
Depreciation, Depletion and Amortization(DDA) was $508 Mil.
Selling, General & Admin. Expense(SGA) was $201 Mil.
Total Current Liabilities was $616 Mil.
Long-Term Debt was $3,104 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)|
|=||(340.342 / 2517.127)||/||(335.102 / 2456.472)|
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)|
|=||(503.868 / 2456.472)||/||(410.615 / 2517.127)|
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 - (414.559 + 9851.278) / 11788.737)||/||(1 - (1542.754 + 8077.11) / 11139.342)|
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))|
|=||(507.538 / (507.538 + 8077.11))||/||(509.943 / (509.943 + 9851.278))|
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)|
|=||(201.577 / 2517.127)||/||(200.719 / 2456.472)|
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)|
|=||((3260.625 + 675.199) / 11788.737)||/||((3104.462 + 616.421) / 11139.342)|
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|
|=||(409.597 - -105.917||-||1361.195)||/||11788.737|
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.
Denbury Resources Inc has a M-score of -2.74 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
Denbury Resources Inc Annual Data
Denbury Resources Inc Quarterly Data