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Omnicell Inc (NAS:OMCL)
Beneish M-Score
-2.44 (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 -2.44 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: -2.44

-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 * 1.0501+0.528 * 1.0946+0.404 * 1.314+0.892 * 1.2945+0.115 * 0.7715
-0.172 * SGAI+4.679 * TATA-0.327 * LVGI
-0.172 * 1.0037+4.679 * -0.0233-0.327 * 1.9427
=-2.44

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

This Year (Jun16) TTM:Last Year (Jun15) TTM:
Accounts Receivable was $159.5 Mil.
Revenue was 172.907 + 171.004 + 130.316 + 125.234 = $599.5 Mil.
Gross Profit was 78.017 + 79.945 + 65.08 + 63.703 = $286.7 Mil.
Total Current Assets was $311.9 Mil.
Total Assets was $913.4 Mil.
Property, Plant and Equipment(Net PPE) was $40.5 Mil.
Depreciation, Depletion and Amortization(DDA) was $42.9 Mil.
Selling, General & Admin. Expense(SGA) was $213.2 Mil.
Total Current Liabilities was $191.3 Mil.
Long-Term Debt was $216.9 Mil.
Net Income was -1.159 + -0.378 + 7.655 + 8.036 = $14.2 Mil.
Non Operating Income was -1.881 + -2.171 + 0 + 0 = $-4.1 Mil.
Cash Flow from Operations was -5.834 + 21.787 + 27.83 + -4.258 = $39.5 Mil.
Accounts Receivable was $117.3 Mil.
Revenue was 112.788 + 116.221 + 121.541 + 112.543 = $463.1 Mil.
Gross Profit was 57.462 + 61.685 + 63.779 + 59.546 = $242.5 Mil.
Total Current Assets was $285.3 Mil.
Total Assets was $601.0 Mil.
Property, Plant and Equipment(Net PPE) was $34.8 Mil.
Depreciation, Depletion and Amortization(DDA) was $22.9 Mil.
Selling, General & Admin. Expense(SGA) was $164.1 Mil.
Total Current Liabilities was $138.3 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)
=(159.453 / 599.461) / (117.307 / 463.093)
=0.26599395 / 0.25331197
=1.0501

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)
=(242.472 / 463.093) / (286.745 / 599.461)
=0.52359245 / 0.47833804
=1.0946

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 - (311.916 + 40.503) / 913.428) / (1 - (285.324 + 34.772) / 601.022)
=0.61417977 / 0.46741384
=1.314

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
=599.461 / 463.093
=1.2945

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))
=(22.858 / (22.858 + 34.772)) / (42.859 / (42.859 + 40.503))
=0.3966337 / 0.51413114
=0.7715

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)
=(213.155 / 599.461) / (164.066 / 463.093)
=0.35557776 / 0.35428305
=1.0037

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)
=((216.936 + 191.315) / 913.428) / ((0 + 138.275) / 601.022)
=0.44694382 / 0.23006645
=1.9427

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
=(14.154 - -4.052 - 39.525) / 913.428
=-0.0233

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 -2.44 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

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

Mar14Jun14Sep14Dec14Mar15Jun15Sep15Dec15Mar16Jun16
DSRI 0.97971.131.27681.21921.0131.24761.08611.18691.4681.0501
GMI 0.99450.9931.00771.00761.01581.02961.02881.03671.07261.0946
AQI 0.89130.87610.99290.94670.95711.12061.11251.13551.46971.314
SGI 1.17281.14441.16471.15851.15211.13891.11921.0991.18441.2945
DEPI 0.89431.01121.02370.95380.89910.83690.81940.81170.85380.7715
SGAI 0.96521.00650.97510.97180.97140.97120.97220.97450.98671.0037
LVGI 0.9641.02531.04111.06871.05441.19661.04331.0742.38221.9427
TATA -0.0499-0.0575-0.0379-0.0618-0.0774-0.0288-0.006-0.0035-0.019-0.0233
M-score -2.62-2.56-2.26-2.47-2.73-2.28-2.29-2.20-2.21-2.44
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