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Omnicell Inc (NAS:OMCL)
Beneish M-Score
-2.47 (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 -2.47 suggests that the company is not a manipulator.

OMCL' s Beneish M-Score Range Over the Past 10 Years
Min: -3.83   Max: -1.37
Current: -2.47

-3.83
-1.37

During the past 13 years, the highest Beneish M-Score of Omnicell Inc was -1.37. The lowest was -3.83. 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 * 1.1184+0.528 * 1.108+0.404 * 1.2114+0.892 * 1.3682+0.115 * 0.7463
-0.172 * SGAI+4.679 * TATA-0.327 * LVGI
-0.172 * 1.0303+4.679 * -0.0394-0.327 * 2.0851
=-2.47

* 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 $177.0 Mil.
Revenue was 176.737 + 172.907 + 171.004 + 130.316 = $651.0 Mil.
Gross Profit was 81.508 + 78.017 + 79.945 + 65.08 = $304.6 Mil.
Total Current Assets was $337.1 Mil.
Total Assets was $931.4 Mil.
Property, Plant and Equipment(Net PPE) was $41.0 Mil.
Depreciation, Depletion and Amortization(DDA) was $51.1 Mil.
Selling, General & Admin. Expense(SGA) was $233.8 Mil.
Total Current Liabilities was $198.2 Mil.
Long-Term Debt was $214.8 Mil.
Net Income was 1.983 + -1.159 + -0.378 + 7.655 = $8.1 Mil.
Non Operating Income was -2.721 + -1.881 + -2.171 + -0.753 = $-7.5 Mil.
Cash Flow from Operations was 8.517 + -5.834 + 21.787 + 27.83 = $52.3 Mil.
Accounts Receivable was $115.7 Mil.
Revenue was 125.234 + 112.788 + 116.221 + 121.541 = $475.8 Mil.
Gross Profit was 63.703 + 57.462 + 61.685 + 63.779 = $246.6 Mil.
Total Current Assets was $259.9 Mil.
Total Assets was $576.7 Mil.
Property, Plant and Equipment(Net PPE) was $34.0 Mil.
Depreciation, Depletion and Amortization(DDA) was $24.0 Mil.
Selling, General & Admin. Expense(SGA) was $165.9 Mil.
Total Current Liabilities was $122.6 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)
=(177.019 / 650.964) / (115.68 / 475.784)
=0.27193362 / 0.24313554
=1.1184

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)
=(246.629 / 475.784) / (304.55 / 650.964)
=0.51836337 / 0.46784461
=1.108

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 - (337.067 + 41.034) / 931.415) / (1 - (259.886 + 34.026) / 576.722)
=0.59405743 / 0.49037491
=1.2114

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
=650.964 / 475.784
=1.3682

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))
=(24.024 / (24.024 + 34.026)) / (51.087 / (51.087 + 41.034))
=0.41385013 / 0.55456411
=0.7463

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)
=(233.803 / 650.964) / (165.863 / 475.784)
=0.35916425 / 0.34860987
=1.0303

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)
=((214.834 + 198.171) / 931.415) / ((0 + 122.644) / 576.722)
=0.44341674 / 0.21265705
=2.0851

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
=(8.101 - -7.526 - 52.3) / 931.415
=-0.0394

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 -2.47 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.

Omnicell Inc Annual Data

Dec06Dec07Dec08Dec09Dec10Dec11Dec12Dec13Dec14Dec15
DSRI 0.90720.80081.30720.83091.00460.81951.11470.87721.21921.1869
GMI 0.99761.03951.04121.03610.92970.95871.0181.01641.00761.0367
AQI 0.97321.44071.08570.82861.03460.92432.9690.88330.94671.1355
SGI 1.27311.37731.1820.84751.04191.1041.2791.21191.15851.099
DEPI 1.13181.33540.87370.85541.111.18871.12370.82020.95380.8117
SGAI 0.85580.89340.98411.08580.9661.02440.960.95780.97180.9745
LVGI 0.99170.50831.05590.97740.93270.98331.12840.99781.06871.074
TATA -0.05970.0186-0.001-0.1416-0.0458-0.0564-0.0528-0.0635-0.0618-0.0052
M-score -2.57-1.82-2.01-3.51-2.64-2.85-1.59-2.75-2.47-2.21

Omnicell Inc Quarterly Data

Jun14Sep14Dec14Mar15Jun15Sep15Dec15Mar16Jun16Sep16
DSRI 1.131.27681.21921.0131.24761.08611.18691.4681.05011.1184
GMI 0.9931.00771.00761.01581.02961.02881.03671.07261.09461.108
AQI 0.87610.99290.94670.95711.12061.11251.13551.46971.3141.2114
SGI 1.14441.16471.15851.15211.13891.11921.0991.18441.29451.3682
DEPI 1.01121.02370.95380.89910.83690.81940.81170.85380.77150.7463
SGAI 1.00650.97510.97180.97140.97120.97220.97450.98671.00371.0303
LVGI 1.02531.04111.06871.05441.19661.04331.0742.38221.94272.0851
TATA -0.0575-0.0379-0.0618-0.0774-0.0288-0.0049-0.0011-0.0175-0.0218-0.0394
M-score -2.56-2.26-2.47-2.73-2.28-2.29-2.19-2.21-2.43-2.47
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