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Synaptics Inc (NAS:SYNA)
Beneish M-Score
-1.63 (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.

Synaptics Inc has a M-score of -1.63 signals that the company is a manipulator.

SYNA' s 10-Year Beneish M-Score Range
Min: -3.28   Max: -0.9
Current: -1.63

-3.28
-0.9

During the past 13 years, the highest Beneish M-Score of Synaptics Inc was -0.90. The lowest was -3.28. And the median was -2.39.


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 Synaptics 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 * 1.6355+0.528 * 1.2853+0.404 * 1.6182+0.892 * 1.5399+0.115 * 0.4685
-0.172 * SGAI+4.679 * TATA-0.327 * LVGI
-0.172 * 0.8244+4.679 * -0.0328-0.327 * 2.3086
=-1.63

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

This Year (Dec14) TTM:Last Year (Dec13) TTM:
Accounts Receivable was $335.0 Mil.
Revenue was 463.705 + 282.741 + 314.898 + 204.271 = $1,265.6 Mil.
Gross Profit was 126.831 + 120.189 + 139.826 + 92.43 = $479.3 Mil.
Total Current Assets was $843.0 Mil.
Total Assets was $1,503.6 Mil.
Property, Plant and Equipment(Net PPE) was $115.1 Mil.
Depreciation, Depletion and Amortization(DDA) was $72.7 Mil.
Selling, General & Admin. Expense(SGA) was $108.8 Mil.
Total Current Liabilities was $394.3 Mil.
Long-Term Debt was $238.1 Mil.
Net Income was 19.972 + 26.586 + 34.472 + -40.056 = $41.0 Mil.
Non Operating Income was 0 + 0 + 0 + 0 = $0.0 Mil.
Cash Flow from Operations was -16.017 + 60.42 + 40.493 + 5.329 = $90.2 Mil.
Accounts Receivable was $133.0 Mil.
Revenue was 205.763 + 222.607 + 230.183 + 163.324 = $821.9 Mil.
Gross Profit was 94.545 + 109.279 + 115.121 + 81.083 = $400.0 Mil.
Total Current Assets was $573.1 Mil.
Total Assets was $822.0 Mil.
Property, Plant and Equipment(Net PPE) was $64.7 Mil.
Depreciation, Depletion and Amortization(DDA) was $14.3 Mil.
Selling, General & Admin. Expense(SGA) was $85.7 Mil.
Total Current Liabilities was $149.8 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)
=(335.023 / 1265.615) / (133.022 / 821.877)
=0.26471162 / 0.16185147
=1.6355

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)
=(120.189 / 821.877) / (126.831 / 1265.615)
=0.4867249 / 0.3786902
=1.2853

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 - (842.98 + 115.145) / 1503.574) / (1 - (573.077 + 64.666) / 822.026)
=0.36276831 / 0.22418147
=1.6182

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
=1265.615 / 821.877
=1.5399

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))
=(14.316 / (14.316 + 64.666)) / (72.671 / (72.671 + 115.145))
=0.18125649 / 0.38692657
=0.4685

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)
=(108.765 / 1265.615) / (85.673 / 821.877)
=0.08593846 / 0.10424066
=0.8244

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)
=((238.099 + 394.321) / 1503.574) / ((0 + 149.767) / 822.026)
=0.42061116 / 0.18219253
=2.3086

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
=(40.974 - 0 - 90.225) / 1503.574
=-0.0328

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.

Synaptics Inc has a M-score of -1.63 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.

Synaptics Inc Annual Data

Jun05Jun06Jun07Jun08Jun09Jun10Jun11Jun12Jun13Jun14
DSRI 0.98911.13591.15290.90360.9321.10110.7951.2121.17770.9202
GMI 0.91111.02791.13120.97171.00930.99820.98590.88190.94951.0668
AQI 3.23710.92490.62013.3381.04690.88090.93311.06340.80991.8335
SGI 1.56170.88671.44561.35341.31091.08791.16250.91591.21041.4279
DEPI 4.0040.84090.95340.82620.86090.79320.8421.01341.8720.7459
SGAI 0.86931.71520.89490.98110.85621.02160.98241.11560.93910.8796
LVGI 3.09930.91960.89751.31130.62680.72720.79810.95621.1031.1345
TATA -0.0269-0.0517-0.0238-0.1208-0.0617-0.1461-0.0569-0.0874-0.0047-0.0832
M-score -1.58-2.83-2.09-2.01-2.40-2.98-2.77-2.81-2.18-2.24

Synaptics Inc Quarterly Data

Dec12Mar13Jun13Sep13Dec13Mar14Jun14Sep14Dec14Mar15
DSRI 1.19541.0841.17771.12070.88140.92840.92020.95181.63551.197
GMI 0.9290.95050.94950.95350.9721.00681.06681.11211.28531.3312
AQI 1.22061.46030.80990.82571.68111.58481.83351.71681.61821.6574
SGI 0.95521.03071.21041.40111.52371.5111.42791.32741.53991.7836
DEPI 1.57491.71111.8721.29911.07850.36650.74590.73880.46856.4355
SGAI 1.12421.06020.93910.80850.76470.79880.87961.00850.82440.7286
LVGI 1.02011.15681.1031.04890.90470.99241.13451.17632.30861.961
TATA -0.083-0.0422-0.00470.0385-0.011-0.0739-0.0832-0.1218-0.03280.0183
M-score -2.64-2.39-2.18-1.87-1.83-2.23-2.24-2.54-1.63-0.72
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