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Omnicell Inc (NAS:OMCL)
Beneish M-Score
-2.26 (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.

Omnicell Inc has a M-score of -2.26 suggests that the company is not a manipulator.

OMCL' s 10-Year Beneish M-Score Range
Min: -3.93   Max: -1.37
Current: -2.26

-3.93
-1.37

During the past 13 years, the highest Beneish M-Score of Omnicell Inc was -1.37. The lowest was -3.93. And the median was -2.26.


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 Omnicell 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 * 1.2768+0.528 * 1.0077+0.404 * 0.9929+0.892 * 1.1647+0.115 * 1.0237
-0.172 * SGAI+4.679 * TATA-0.327 * LVGI
-0.172 * 0.9751+4.679 * -0.0376-0.327 * 1.0411
=-2.26

* All numbers are in millions except for per share data and ratio. All numbers are in their own currency.

This Year (Sep14) TTM:Last Year (Sep13) TTM:
Accounts Receivable was $95.2 Mil.
Revenue was 112.543 + 105.052 + 101.764 + 105.75 = $425.1 Mil.
Gross Profit was 59.546 + 56.04 + 54.495 + 56.624 = $226.7 Mil.
Total Current Assets was $268.4 Mil.
Total Assets was $547.3 Mil.
Property, Plant and Equipment(Net PPE) was $37.7 Mil.
Depreciation, Depletion and Amortization(DDA) was $19.3 Mil.
Selling, General & Admin. Expense(SGA) was $152.4 Mil.
Total Current Liabilities was $111.6 Mil.
Long-Term Debt was $0.0 Mil.
Net Income was 7.3 + 7.789 + 6.194 + 6.823 = $28.1 Mil.
Non Operating Income was 0 + 0 + 0 + -0.178 = $-0.2 Mil.
Cash Flow from Operations was 8.894 + 24.304 + 1.117 + 14.526 = $48.8 Mil.
Accounts Receivable was $64.0 Mil.
Revenue was 94.039 + 93.686 + 87.11 + 90.169 = $365.0 Mil.
Gross Profit was 52.04 + 49.368 + 45.367 + 49.376 = $196.2 Mil.
Total Current Assets was $247.9 Mil.
Total Assets was $506.0 Mil.
Property, Plant and Equipment(Net PPE) was $33.5 Mil.
Depreciation, Depletion and Amortization(DDA) was $17.8 Mil.
Selling, General & Admin. Expense(SGA) was $134.2 Mil.
Total Current Liabilities was $99.1 Mil.
Long-Term Debt was $0.0 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)
=(95.167 / 425.109) / (63.999 / 365.004)
=0.22386494 / 0.1753378
=1.2768

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)
=(56.04 / 365.004) / (59.546 / 425.109)
=0.53739411 / 0.53328676
=1.0077

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 - (268.368 + 37.688) / 547.313) / (1 - (247.859 + 33.492) / 505.984)
=0.44080261 / 0.44395277
=0.9929

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
=425.109 / 365.004
=1.1647

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))
=(17.81 / (17.81 + 33.492)) / (19.338 / (19.338 + 37.688))
=0.34715995 / 0.33910848
=1.0237

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)
=(152.431 / 425.109) / (134.219 / 365.004)
=0.35856921 / 0.36771926
=0.9751

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 + 111.56) / 547.313) / ((0 + 99.065) / 505.984)
=0.20383218 / 0.19578682
=1.0411

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
=(28.106 - -0.178 - 48.841) / 547.313
=-0.0376

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.

Omnicell Inc has a M-score of -2.26 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 own currency.

Omnicell Inc Annual Data

Dec04Dec05Dec06Dec07Dec08Dec09Dec10Dec11Dec12Dec13
DSRI 1.24591.36760.90720.80081.30720.83091.00460.81951.11470.8772
GMI 1.0071.05210.99761.03951.04121.03610.92970.95871.0181.0164
AQI 0.84740.88840.97321.44071.08570.82861.03460.92432.9690.8833
SGI 1.21360.98051.27311.37731.1820.84751.04191.1041.2791.2119
DEPI 1.00260.89111.13181.33540.87370.85541.111.18871.12370.8202
SGAI 1.00321.1690.85580.89340.98411.08580.9661.02440.960.9578
LVGI 0.87080.76740.99170.50831.05590.97740.93270.98331.12840.9978
TATA 0.1496-0.0027-0.05970.0186-0.001-0.1416-0.0458-0.0573-0.0525-0.0632
M-score -1.38-2.15-2.57-1.82-2.01-3.51-2.64-2.85-1.59-2.75

Omnicell Inc Quarterly Data

Jun12Sep12Dec12Mar13Jun13Sep13Dec13Mar14Jun14Sep14
DSRI 0.93440.96591.11471.26331.03380.94680.87720.97971.131.2768
GMI 1.00510.99881.0181.03591.0181.01931.01640.99450.9931.0077
AQI 3.07393.11192.9692.83680.87550.8390.88330.89130.87610.9929
SGI 1.15181.19561.2791.33451.33121.27271.21191.17281.14441.1647
DEPI 1.34191.22241.12371.07370.73710.75390.82020.89431.01121.0237
SGAI 0.96150.9390.960.98020.92560.95710.95780.96521.00650.9751
LVGI 1.07671.09271.12841.12351.03611.05180.99780.9641.02531.0411
TATA -0.0788-0.0694-0.0525-0.0416-0.0424-0.0592-0.0632-0.0495-0.0572-0.0376
M-score -1.91-1.80-1.59-1.40-2.42-2.66-2.75-2.62-2.56-2.26
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