STLY 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.
Stanley Furniture Company Inc. has a M-score of -1.75 signals that the company is a manipulator.
During the past 13 years, the highest Beneish M-Score of Stanley Furniture Company Inc. was 3.50. The lowest was -5.65. And the median was -2.60.
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 Stanley Furniture Company 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 * 1.2169||+||0.528 * 1.2278||+||0.404 * 1.8251||+||0.892 * 0.9835||+||0.115 * 0.8174|
|-||0.172 * SGAI||+||4.679 * TATA||-||0.327 * LVGI|
|-||0.172 * 1.1105||+||4.679 * 0.0308||-||0.327 * 1.0289|
|This Year (Dec13) TTM:||Last Year (Dec12) TTM:|
|Accounts Receivable was $12.00 Mil.|
Revenue was 22.744 + 23.982 + 24.166 + 26.052 = $96.94 Mil.
Gross Profit was 1.43 + 2.779 + 2.18 + 3.385 = $9.77 Mil.
Total Current Assets was $69.29 Mil.
Total Assets was $95.22 Mil.
Property, Plant and Equipment(Net PPE) was $20.14 Mil.
Depreciation, Depletion and Amortization(DDA) was $2.24 Mil.
Selling, General & Admin. Expense(SGA) was $19.97 Mil.
Total Current Liabilities was $13.20 Mil.
Long-Term Debt was $0.00 Mil.
Net Income was -4.544 + -2.47 + -3.529 + -2.094 = $-12.64 Mil.
Non Operating Income was 0.016 + 0.033 + 0.016 + 0.002 = $0.07 Mil.
Cash Flow from Operations was -3.694 + -1.157 + -3.757 + -7.027 = $-15.64 Mil.
|Accounts Receivable was $10.03 Mil.
Revenue was 23.384 + 23.977 + 24.428 + 26.781 = $98.57 Mil.
Gross Profit was 2.182 + 3.345 + 3.078 + 3.597 = $12.20 Mil.
Total Current Assets was $87.16 Mil.
Total Assets was $110.72 Mil.
Property, Plant and Equipment(Net PPE) was $19.87 Mil.
Depreciation, Depletion and Amortization(DDA) was $1.77 Mil.
Selling, General & Admin. Expense(SGA) was $18.28 Mil.
Total Current Liabilities was $14.91 Mil.
Long-Term Debt was $0.00 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)|
|=||(12.002 / 96.944)||/||(10.028 / 98.57)|
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)|
|=||(2.779 / 98.57)||/||(1.43 / 96.944)|
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 - (69.286 + 20.144) / 95.224)||/||(1 - (87.155 + 19.87) / 110.716)|
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))|
|=||(1.767 / (1.767 + 19.87))||/||(2.236 / (2.236 + 20.144))|
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)|
|=||(19.966 / 96.944)||/||(18.281 / 98.57)|
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 + 13.198) / 95.224)||/||((0 + 14.914) / 110.716)|
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|
|=||(-12.637 - 0.067||-||-15.635)||/||95.224|
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.
Stanley Furniture Company Inc. has a M-score of -1.75 signals that the company is likely to 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
Stanley Furniture Company Inc. Annual Data
Stanley Furniture Company Inc. Quarterly Data