NGL 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 7 years, the highest Beneish M-Score of NGL Energy Partners LP was 0.21. The lowest was -2.18. And the median was -1.42.
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 NGL Energy Partners LP 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 * 0.6735||+||0.528 * 1.1631||+||0.404 * 1.0273||+||0.892 * 1.7323||+||0.115 * 1.1895|
|-||0.172 * SGAI||+||4.679 * TATA||-||0.327 * LVGI|
|-||0.172 * 0.8991||+||4.679 * -0.0451||-||0.327 * 0.9383|
|This Year (Mar15) TTM:||Last Year (Mar14) TTM:|
|Accounts Receivable was $1,024 Mil.|
Revenue was 3220.771 + 4552.146 + 5380.526 + 3648.614 = $16,802 Mil.
Gross Profit was 287.75 + 240.478 + 201.061 + 114.561 = $844 Mil.
Total Current Assets was $1,645 Mil.
Total Assets was $6,548 Mil.
Property, Plant and Equipment(Net PPE) was $1,617 Mil.
Depreciation, Depletion and Amortization(DDA) was $210 Mil.
Selling, General & Admin. Expense(SGA) was $526 Mil.
Total Current Liabilities was $1,113 Mil.
Long-Term Debt was $2,745 Mil.
Net Income was 86.778 + -10.918 + -19.224 + -39.975 = $17 Mil.
Non Operating Income was 39.407 + 4.613 + 3.08 + 2.174 = $49 Mil.
Cash Flow from Operations was 180.554 + 143.475 + -70.841 + 9.206 = $262 Mil.
|Accounts Receivable was $878 Mil.
Revenue was 3975.935 + 2743.445 + 1593.937 + 1385.957 = $9,699 Mil.
Gross Profit was 211.191 + 167.416 + 105.087 + 82.881 = $567 Mil.
Total Current Assets was $1,286 Mil.
Total Assets was $4,148 Mil.
Property, Plant and Equipment(Net PPE) was $836 Mil.
Depreciation, Depletion and Amortization(DDA) was $133 Mil.
Selling, General & Admin. Expense(SGA) was $338 Mil.
Total Current Liabilities was $975 Mil.
Long-Term Debt was $1,630 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)|
|=||(1024.226 / 16802.057)||/||(877.904 / 9699.274)|
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)|
|=||(240.478 / 9699.274)||/||(287.75 / 16802.057)|
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 - (1645.344 + 1617.389) / 6547.501)||/||(1 - (1286.299 + 835.848) / 4147.631)|
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))|
|=||(132.653 / (132.653 + 835.848))||/||(210.475 / (210.475 + 1617.389))|
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)|
|=||(526.172 / 16802.057)||/||(337.822 / 9699.274)|
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)|
|=||((2745.299 + 1112.996) / 6547.501)||/||((1629.834 + 974.884) / 4147.631)|
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|
|=||(16.661 - 49.274||-||262.394)||/||6547.501|
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.
NGL Energy Partners LP has a M-score of -2.18 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
NGL Energy Partners LP Annual Data
NGL Energy Partners LP Quarterly Data