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SINA Corp (NAS:SINA)
Beneish M-Score
0.00 (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.

SINA Corp has a M-score of signals that the company is a manipulator.

During the past 13 years, the highest Beneish M-Score of SINA Corp was 0.00. The lowest was -3.04. And the median was -2.01.


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 SINA Corp 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 * +0.528 * +0.404 * +0.892 * +0.115 *
-0.172 * SGAI+4.679 * TATA-0.327 * LVGI
-0.172 * +4.679 * -0.327 *
=

* 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 $214.9 Mil.
Revenue was 243.962 + 198.675 + 256.19 + 226.294 = $925.1 Mil.
Gross Profit was 155.045 + 117.781 + 167.136 + 143.277 = $583.2 Mil.
Total Current Assets was $2,675.6 Mil.
Total Assets was $4,265.9 Mil.
Property, Plant and Equipment(Net PPE) was $42.8 Mil.
Depreciation, Depletion and Amortization(DDA) was $0.0 Mil.
Selling, General & Admin. Expense(SGA) was $314.3 Mil.
Total Current Liabilities was $1,400.2 Mil.
Long-Term Debt was $0.0 Mil.
Net Income was 43.327 + 15.32 + 14.553 + 9.766 = $83.0 Mil.
Non Operating Income was 28.735 + 17.663 + -6.368 + -0.973 = $39.1 Mil.
Cash Flow from Operations was 0 + 0 + 0 + 0 = $0.0 Mil.
Accounts Receivable was $288.2 Mil.
Revenue was 213.598 + 184.587 + 211.137 + 198.613 = $807.9 Mil.
Gross Profit was 127.606 + 107.27 + 136.753 + 124.829 = $496.5 Mil.
Total Current Assets was $2,459.8 Mil.
Total Assets was $3,802.8 Mil.
Property, Plant and Equipment(Net PPE) was $52.5 Mil.
Depreciation, Depletion and Amortization(DDA) was $0.0 Mil.
Selling, General & Admin. Expense(SGA) was $332.0 Mil.
Total Current Liabilities was $557.6 Mil.
Long-Term Debt was $800.0 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)
=(214.866 / 925.121) / (288.238 / 807.935)
=0.23225719 / 0.3567589
=

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)
=(496.458 / 807.935) / (583.239 / 925.121)
=0.61447765 / 0.63044618
=

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 - (2675.603 + 42.776) / 4265.929) / (1 - (2459.769 + 52.455) / 3802.751)
=0.36276975 / 0.33936668
=

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
=925.121 / 807.935
=

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))
=(0 / (0 + 52.455)) / (0 / (0 + 42.776))
=0 / 0
=

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)
=(314.307 / 925.121) / (332.008 / 807.935)
=0.33974691 / 0.41093405
=

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 + 1400.237) / 4265.929) / ((800 + 557.553) / 3802.751)
=0.3282373 / 0.35699235
=

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
=(82.966 - 39.057 - 0) / 4265.929
=0.0103

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.

SINA Corp has a M-score of 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.

SINA Corp Annual Data

Dec06Dec07Dec08Dec09Dec10Dec11Dec12Dec13Dec14Dec15
DSRI 1.20651.08930.92970.97631.06691.04391.09691.13791.16290.7681
GMI 1.0751.0191.03711.06210.96021.051.04210.89730.95241.0047
AQI 0.81830.79850.84113.56890.87220.96780.99950.68581.24191.2221
SGI 1.09971.15631.50160.97021.12291.19921.09631.25651.15511.1463
DEPI 1.20110.8931.03250.73871.36611.49560.80770.92420.72750.9516
SGAI 0.99490.86650.97331.1420.71571.37610.99870.98591.19960.904
LVGI 0.8810.89420.94080.58981.09020.95171.06122.54280.82650.9858
TATA -0.044-0.0481-0.047-0.038-0.0129-0.0655-0.0182-0.0163-0.028-0.0709
M-score -2.38-2.51-2.33-1.56-2.38-2.55-2.41-2.89-2.26-2.79

SINA Corp Quarterly Data

Mar14Jun14Sep14Dec14Mar15Jun15Sep15Dec15Mar16Jun16
DSRI
GMI
AQI
SGI
DEPI
SGAI
LVGI
TATA
M-score
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