PERY 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 13 years, the highest Beneish M-Score of Perry Ellis International Inc was 3.25. The lowest was -3.53. And the median was -2.57.
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 Perry Ellis International 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 * 0.8487||+||0.528 * 0.9798||+||0.404 * 1.0528||+||0.892 * 1.0163||+||0.115 * 0.9778|
|-||0.172 * SGAI||+||4.679 * TATA||-||0.327 * LVGI|
|-||0.172 * 0.9925||+||4.679 * -0.111||-||0.327 * 0.9536|
|This Year (Oct15) TTM:||Last Year (Oct14) TTM:|
|Accounts Receivable was $122.1 Mil.|
Revenue was 205.439 + 213.299 + 266.414 + 217.686 = $902.8 Mil.
Gross Profit was 73.295 + 75.942 + 90.1 + 74.568 = $313.9 Mil.
Total Current Assets was $323.4 Mil.
Total Assets was $606.7 Mil.
Property, Plant and Equipment(Net PPE) was $67.0 Mil.
Depreciation, Depletion and Amortization(DDA) was $14.0 Mil.
Selling, General & Admin. Expense(SGA) was $270.5 Mil.
Total Current Liabilities was $101.9 Mil.
Long-Term Debt was $132.1 Mil.
Net Income was 2.273 + -1.281 + 9.411 + -42.897 = $-32.5 Mil.
Non Operating Income was 0 + -5.121 + 0 + 0 = $-5.1 Mil.
Cash Flow from Operations was -1.838 + 60.144 + -39.668 + 21.31 = $39.9 Mil.
|Accounts Receivable was $141.5 Mil.
Revenue was 211.44 + 203.532 + 257.314 + 216.079 = $888.4 Mil.
Gross Profit was 70.307 + 70.464 + 87.665 + 74.197 = $302.6 Mil.
Total Current Assets was $370.1 Mil.
Total Assets was $655.6 Mil.
Property, Plant and Equipment(Net PPE) was $63.5 Mil.
Depreciation, Depletion and Amortization(DDA) was $12.9 Mil.
Selling, General & Admin. Expense(SGA) was $268.1 Mil.
Total Current Liabilities was $92.9 Mil.
Long-Term Debt was $172.3 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)|
|=||(122.068 / 902.838)||/||(141.528 / 888.365)|
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)|
|=||(75.942 / 888.365)||/||(73.295 / 902.838)|
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 - (323.39 + 67.04) / 606.664)||/||(1 - (370.105 + 63.546) / 655.61)|
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))|
|=||(12.938 / (12.938 + 63.546))||/||(14.024 / (14.024 + 67.04))|
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)|
|=||(270.469 / 902.838)||/||(268.137 / 888.365)|
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)|
|=||((132.138 + 101.905) / 606.664)||/||((172.302 + 92.929) / 655.61)|
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|
|=||(-32.494 - -5.121||-||39.948)||/||606.664|
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.
Perry Ellis International Inc has a M-score of -3.10 suggests that the company will not 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
Perry Ellis International Inc Annual Data
Perry Ellis International Inc Quarterly Data