JAKK has been removed from your Stock Email Alerts list.
Please enter Portfolio Name for new portfolio.
Beneish M-Score -0.88 higher than -2.22, which implies that it might have manipulated its financial results.
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.
During the past 13 years, the highest Beneish M-Score of Jakks Pacific Inc was -0.88. The lowest was -6.32. And the median was -2.63.
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 Jakks Pacific 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 * 1.8102||+||0.528 * 0.8455||+||0.404 * 0.7686||+||0.892 * 1.2799||+||0.115 * 1.0386|
|-||0.172 * SGAI||+||4.679 * TATA||-||0.327 * LVGI|
|-||0.172 * 0.7976||+||4.679 * 0.1679||-||0.327 * 1.1433|
|This Year (Dec14) TTM:||Last Year (Dec13) TTM:|
|Accounts Receivable was $234.5 Mil.|
Revenue was 254.016 + 349.362 + 124.172 + 82.51 = $810.1 Mil.
Gross Profit was 79.697 + 94.737 + 37.818 + 23.555 = $235.8 Mil.
Total Current Assets was $437.6 Mil.
Total Assets was $561.8 Mil.
Property, Plant and Equipment(Net PPE) was $11.1 Mil.
Depreciation, Depletion and Amortization(DDA) was $21.9 Mil.
Selling, General & Admin. Expense(SGA) was $204.5 Mil.
Total Current Liabilities was $191.3 Mil.
Long-Term Debt was $215.0 Mil.
Net Income was 2.798 + 44.069 + -9.053 + -16.305 = $21.5 Mil.
Non Operating Income was 0 + 5.932 + 0 + 0.314 = $6.2 Mil.
Cash Flow from Operations was 26.094 + -72.548 + -21.582 + -11.05 = $-79.1 Mil.
|Accounts Receivable was $101.2 Mil.
Revenue was 137.73 + 310.894 + 106.232 + 78.069 = $632.9 Mil.
Gross Profit was 38.767 + 91.395 + 2.238 + 23.379 = $155.8 Mil.
Total Current Assets was $320.9 Mil.
Total Assets was $449.8 Mil.
Property, Plant and Equipment(Net PPE) was $11.1 Mil.
Depreciation, Depletion and Amortization(DDA) was $24.6 Mil.
Selling, General & Admin. Expense(SGA) was $200.3 Mil.
Total Current Liabilities was $184.6 Mil.
Long-Term Debt was $100.0 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)|
|=||(234.516 / 810.06)||/||(101.223 / 632.925)|
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)|
|=||(94.737 / 632.925)||/||(79.697 / 810.06)|
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 - (437.593 + 11.096) / 561.782)||/||(1 - (320.932 + 11.096) / 449.844)|
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))|
|=||(24.599 / (24.599 + 11.096))||/||(21.883 / (21.883 + 11.096))|
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)|
|=||(204.48 / 810.06)||/||(200.311 / 632.925)|
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)|
|=||((215 + 191.348) / 561.782)||/||((100 + 184.595) / 449.844)|
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|
|=||(21.509 - 6.246||-||-79.086)||/||561.782|
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.
Jakks Pacific Inc has a M-score of -0.88 signals that the company is likely to 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
Jakks Pacific Inc Annual Data
Jakks Pacific Inc Quarterly Data