MEG 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.
During the past 13 years, the highest Beneish M-Score of Media General Inc was 3.71. The lowest was -6.94. 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 Media General 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 * 0.9532||+||0.528 * 1.0171||+||0.404 * 1.024||+||0.892 * 2.2755||+||0.115 * 0.799|
|-||0.172 * SGAI||+||4.679 * TATA||-||0.327 * LVGI|
|-||0.172 * 0.8934||+||4.679 * -0.0316||-||0.327 * 1.049|
|This Year (Mar15) TTM:||Last Year (Mar14) TTM:|
|Accounts Receivable was $234.6 Mil.|
Revenue was 296.734 + 216.71 + 160.224 + 154.111 = $827.8 Mil.
Gross Profit was 170.858 + 150.908 + 105.545 + 103.293 = $530.6 Mil.
Total Current Assets was $504.1 Mil.
Total Assets was $4,695.9 Mil.
Property, Plant and Equipment(Net PPE) was $489.3 Mil.
Depreciation, Depletion and Amortization(DDA) was $112.3 Mil.
Selling, General & Admin. Expense(SGA) was $248.7 Mil.
Total Current Liabilities was $175.4 Mil.
Long-Term Debt was $2,387.5 Mil.
Net Income was -7.433 + 27.94 + 13.395 + 6.786 = $40.7 Mil.
Non Operating Income was 2.677 + 39.737 + 0.019 + 0 = $42.4 Mil.
Cash Flow from Operations was 56.419 + 25.16 + 40.543 + 24.355 = $146.5 Mil.
|Accounts Receivable was $108.2 Mil.
Revenue was 143.918 + 109.988 + 54.097 + 55.782 = $363.8 Mil.
Gross Profit was 93.303 + 74.173 + 33.485 + 36.207 = $237.2 Mil.
Total Current Assets was $145.9 Mil.
Total Assets was $1,845.7 Mil.
Property, Plant and Equipment(Net PPE) was $278.6 Mil.
Depreciation, Depletion and Amortization(DDA) was $48.8 Mil.
Selling, General & Admin. Expense(SGA) was $122.3 Mil.
Total Current Liabilities was $80.2 Mil.
Long-Term Debt was $880.1 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)|
|=||(234.577 / 827.779)||/||(108.151 / 363.785)|
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)|
|=||(150.908 / 363.785)||/||(170.858 / 827.779)|
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 - (504.117 + 489.262) / 4695.876)||/||(1 - (145.873 + 278.632) / 1845.693)|
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))|
|=||(48.838 / (48.838 + 278.632))||/||(112.275 / (112.275 + 489.262))|
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)|
|=||(248.702 / 827.779)||/||(122.344 / 363.785)|
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)|
|=||((2387.45 + 175.372) / 4695.876)||/||((880.117 + 80.16) / 1845.693)|
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|
|=||(40.688 - 42.433||-||146.477)||/||4695.876|
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.
Media General Inc has a M-score of -1.54 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
Media General Inc Annual Data
Media General Inc Quarterly Data