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Progenics Pharmaceuticals Inc (NAS:PGNX)
Beneish M-Score
-1.82 (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.

Progenics Pharmaceuticals Inc has a M-score of -1.82 signals that the company is a manipulator.

PGNX' s 10-Year Beneish M-Score Range
Min: -7.72   Max: 53.18
Current: -1.82

-7.72
53.18

During the past 13 years, the highest Beneish M-Score of Progenics Pharmaceuticals Inc was 53.18. The lowest was -7.72. And the median was -1.82.


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 Progenics Pharmaceuticals 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 * 2.3117+0.528 * 1.0647+0.404 * 0.9381+0.892 * 0.508+0.115 * 1.3644
-0.172 * SGAI+4.679 * TATA-0.327 * LVGI
-0.172 * 1.9752+4.679 * -0.0212-0.327 * 0.675
=-1.82

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

This Year (Jun14) TTM:Last Year (Jun13) TTM:
Accounts Receivable was $1.47 Mil.
Revenue was 1.477 + 1.815 + 2.968 + 0.867 = $7.13 Mil.
Gross Profit was 1.33 + 1.733 + 2.652 + 0.794 = $6.51 Mil.
Total Current Assets was $88.76 Mil.
Total Assets was $132.41 Mil.
Property, Plant and Equipment(Net PPE) was $2.20 Mil.
Depreciation, Depletion and Amortization(DDA) was $0.62 Mil.
Selling, General & Admin. Expense(SGA) was $15.23 Mil.
Total Current Liabilities was $4.35 Mil.
Long-Term Debt was $0.00 Mil.
Net Income was -11.073 + -9.313 + -8.551 + -10.5 = $-39.44 Mil.
Non Operating Income was 0 + 0 + 0 + 0 = $0.00 Mil.
Cash Flow from Operations was -8.665 + -9.315 + -9.697 + -8.947 = $-36.62 Mil.
Accounts Receivable was $1.25 Mil.
Revenue was 1.801 + 2.226 + 8.885 + 1.117 = $14.03 Mil.
Gross Profit was 1.682 + 2.11 + 8.806 + 1.044 = $13.64 Mil.
Total Current Assets was $81.92 Mil.
Total Assets was $126.96 Mil.
Property, Plant and Equipment(Net PPE) was $2.68 Mil.
Depreciation, Depletion and Amortization(DDA) was $1.15 Mil.
Selling, General & Admin. Expense(SGA) was $15.17 Mil.
Total Current Liabilities was $6.18 Mil.
Long-Term Debt was $0.00 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)
=(1.468 / 7.127) / (1.25 / 14.029)
=0.20597727 / 0.08910115
=2.3117

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)
=(1.733 / 14.029) / (1.33 / 7.127)
=0.97241428 / 0.9132875
=1.0647

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 - (88.758 + 2.203) / 132.405) / (1 - (81.924 + 2.676) / 126.96)
=0.31300933 / 0.33364839
=0.9381

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
=7.127 / 14.029
=0.508

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))
=(1.147 / (1.147 + 2.676)) / (0.621 / (0.621 + 2.203))
=0.30002616 / 0.21990085
=1.3644

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)
=(15.225 / 7.127) / (15.173 / 14.029)
=2.13624246 / 1.08154537
=1.9752

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 + 4.352) / 132.405) / ((0 + 6.182) / 126.96)
=0.03286885 / 0.0486925
=0.675

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
=(-39.437 - 0 - -36.624) / 132.405
=-0.0212

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.

Progenics Pharmaceuticals Inc has a M-score of -1.82 signals that the company is likely to 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.

Progenics Pharmaceuticals Inc Annual Data

Dec04Dec05Dec06Dec07Dec08Dec09Dec10Dec11Dec12Dec13
DSRI 1.08712.9840.07011.08510.74927.77821.86820.062327.62060.7416
GMI 11111.00021.00461.02630.97431.03191.0476
AQI 0.36821.12253.33051.4860.66960.34811.55460.56941.61755.0738
SGI 1.28350.99067.36941.08210.89460.72330.162510.66350.16570.5597
DEPI 0.91270.74744.05230.65240.62270.67371.33530.96541.20741.0007
SGAI 1.22081.08850.22271.15841.15521.20385.59780.0754.86451.7993
LVGI 2.73010.97181.2360.73361.40930.21842.95340.53171.36750.5097
TATA -0.0795-0.4292-0.0744-0.0245-0.10370.1669-0.3716-0.0999-0.0103-0.0564
M-score -3.39-2.663.35-2.23-3.634.21-5.324.9320.72-1.68

Progenics Pharmaceuticals Inc Quarterly Data

Mar12Jun12Sep12Dec12Mar13Jun13Sep13Dec13Mar14Jun14
DSRI 0.34582.5795.175727.62063.98880.51210.35670.74160.96822.3117
GMI 0.97941.05151.07671.03191.02510.9750.95191.04761.05281.0647
AQI 1.36131.54941.68021.61757.99525.65775.07825.07380.71290.9381
SGI 9.5990.14890.08680.16570.1661.16451.87210.55970.53040.508
DEPI 0.9560.97971.0961.20741.33241.04061.02461.00070.95781.3644
SGAI 0.08115.11029.33464.86455.49550.82230.48341.8581.83231.9752
LVGI 0.83761.13181.67291.36751.20450.66020.3680.50970.36410.675
TATA 0.8239-0.1735-0.1691-0.0103-0.0684-0.0404-0.018-0.0564-0.0053-0.0212
M-score 8.78-3.10-1.5720.721.24-0.96-0.46-1.69-2.98-1.82
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