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Maxwell Technologies Inc (NAS:MXWL)
Beneish M-Score
-2.97 (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.

Maxwell Technologies Inc has a M-score of -2.97 suggests that the company is not a manipulator.

MXWL' s Beneish M-Score Range Over the Past 10 Years
Min: -5.16   Max: 3.11
Current: -2.97

-5.16
3.11

During the past 13 years, the highest Beneish M-Score of Maxwell Technologies Inc was 3.11. The lowest was -5.16. And the median was -2.48.


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 Maxwell Technologies 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 * 0.6707+0.528 * 1.1289+0.404 * 1.0869+0.892 * 0.8487+0.115 * 1.0006
-0.172 * SGAI+4.679 * TATA-0.327 * LVGI
-0.172 * 1.0715+4.679 * -0.0472-0.327 * 0.774
=-2.97

* All numbers are in millions except for per share data and ratio. All numbers are in their local exchange's currency.

This Year (Sep16) TTM:Last Year (Sep15) TTM:
Accounts Receivable was $20.7 Mil.
Revenue was 25.506 + 34.135 + 35.203 + 49.83 = $144.7 Mil.
Gross Profit was 7.628 + 9.981 + 9.653 + 14.25 = $41.5 Mil.
Total Current Assets was $88.8 Mil.
Total Assets was $148.6 Mil.
Property, Plant and Equipment(Net PPE) was $29.0 Mil.
Depreciation, Depletion and Amortization(DDA) was $10.2 Mil.
Selling, General & Admin. Expense(SGA) was $37.3 Mil.
Total Current Liabilities was $26.9 Mil.
Long-Term Debt was $0.1 Mil.
Net Income was -6.855 + 2.167 + -6.848 + -2.167 = $-13.7 Mil.
Non Operating Income was -0.14 + 6.518 + -0.195 + 0.259 = $6.4 Mil.
Cash Flow from Operations was -6.995 + -5.394 + -1.594 + 0.85 = $-13.1 Mil.
Accounts Receivable was $36.3 Mil.
Revenue was 45.076 + 37.796 + 34.67 + 52.918 = $170.5 Mil.
Gross Profit was 14.256 + 12.153 + 10.303 + 18.503 = $55.2 Mil.
Total Current Assets was $105.7 Mil.
Total Assets was $171.9 Mil.
Property, Plant and Equipment(Net PPE) was $33.4 Mil.
Depreciation, Depletion and Amortization(DDA) was $11.7 Mil.
Selling, General & Admin. Expense(SGA) was $41.0 Mil.
Total Current Liabilities was $40.2 Mil.
Long-Term Debt was $0.1 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)
=(20.661 / 144.674) / (36.297 / 170.46)
=0.14281073 / 0.21293559
=0.6707

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)
=(55.215 / 170.46) / (41.512 / 144.674)
=0.32391763 / 0.28693476
=1.1289

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 - (88.821 + 28.978) / 148.598) / (1 - (105.729 + 33.355) / 171.857)
=0.20726389 / 0.19069924
=1.0869

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
=144.674 / 170.46
=0.8487

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))
=(11.728 / (11.728 + 33.355)) / (10.181 / (10.181 + 28.978))
=0.2601424 / 0.25999132
=1.0006

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)
=(37.284 / 144.674) / (40.999 / 170.46)
=0.25771044 / 0.24051977
=1.0715

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)
=((0.056 + 26.888) / 148.598) / ((0.059 + 40.201) / 171.857)
=0.18132142 / 0.23426453
=0.774

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
=(-13.703 - 6.442 - -13.133) / 148.598
=-0.0472

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.

Maxwell Technologies Inc has a M-score of -2.97 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 local exchange's currency.

Maxwell Technologies Inc Annual Data

Dec06Dec07Dec08Dec09Dec10Dec11Dec12Dec13Dec14Dec15
DSRI 1.18881.34260.7221.15291.10130.85351.10410.73551.51751.1014
GMI 1.35320.91230.80190.89580.90540.99210.94931.051.06051.2047
AQI 1.13570.86130.77541.11010.66790.96360.8951.04990.85831.0307
SGI 1.18591.06451.40231.25951.2031.20751.08211.21520.96410.897
DEPI 0.75471.00271.48540.93491.0491.19941.19641.01020.75510.8532
SGAI 0.97761.08320.87851.12980.89490.81820.88311.06461.02481.0561
LVGI 1.14730.8910.91771.0290.9160.92370.86590.83831.23440.8844
TATA -0.0033-0.0239-0.0651-0.1236-0.11390.0170.0475-0.06760.004-0.1817
M-score -1.99-2.30-2.77-2.74-2.87-2.29-2.07-2.76-2.15-3.20

Maxwell Technologies Inc Quarterly Data

Jun14Sep14Dec14Mar15Jun15Sep15Dec15Mar16Jun16Sep16
DSRI 1.18321.20271.51750.93570.87251.21.10140.91190.82570.6707
GMI 1.02781.05381.06041.12461.13551.15011.20481.15941.15321.1289
AQI 1.11181.04710.85830.99351.03351.02561.03071.02180.95721.0869
SGI 0.95630.86730.96410.91380.91620.98730.8970.95810.98360.8487
DEPI 0.87960.82960.75510.77180.79590.80320.85320.88810.9561.0006
SGAI 1.11961.20981.03191.10341.11940.96381.04890.9610.90281.0715
LVGI 0.81531.06961.23441.00090.83380.83910.88440.84480.9930.774
TATA 0.0106-0.04190.0028-0.0444-0.1092-0.101-0.1817-0.1784-0.1011-0.0472
M-score -2.22-2.64-2.16-2.80-3.09-2.65-3.20-3.30-3.05-2.97
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