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Taser International Inc (NAS:TASR)
Beneish M-Score
-2.22 (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.

Taser International Inc has a M-score of -2.22 suggests that the company is not a manipulator.

TASR' s Beneish M-Score Range Over the Past 10 Years
Min: -3.83   Max: 1.68
Current: -2.22

-3.83
1.68

During the past 13 years, the highest Beneish M-Score of Taser International Inc was 1.68. The lowest was -3.83. And the median was -2.61.


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 Taser 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 * 1.0511+0.528 * 1.0226+0.404 * 1.3636+0.892 * 1.3555+0.115 * 0.99
-0.172 * SGAI+4.679 * TATA-0.327 * LVGI
-0.172 * 1.1441+4.679 * -0.0023-0.327 * 1.6874
=-2.22

* All numbers are in millions except for per share data and ratio. All numbers are in their local exchange's currency.

This Year (Dec16) TTM:Last Year (Dec15) TTM:
Accounts Receivable was $39.5 Mil.
Revenue was 82.077 + 71.882 + 58.756 + 55.53 = $268.2 Mil.
Gross Profit was 49.77 + 46.565 + 37.299 + 36.902 = $170.5 Mil.
Total Current Assets was $177.2 Mil.
Total Assets was $278.2 Mil.
Property, Plant and Equipment(Net PPE) was $24.0 Mil.
Depreciation, Depletion and Amortization(DDA) was $3.7 Mil.
Selling, General & Admin. Expense(SGA) was $107.6 Mil.
Total Current Liabilities was $78.0 Mil.
Long-Term Debt was $0.0 Mil.
Net Income was 6.341 + 3.843 + 3.65 + 3.463 = $17.3 Mil.
Non Operating Income was 0 + 0 + 0 + 0 = $0.0 Mil.
Cash Flow from Operations was -4.034 + 11.623 + 3.243 + 7.093 = $17.9 Mil.
Accounts Receivable was $27.7 Mil.
Revenue was 56.041 + 50.376 + 46.713 + 44.762 = $197.9 Mil.
Gross Profit was 36.988 + 31.068 + 30.723 + 29.868 = $128.6 Mil.
Total Current Assets was $161.4 Mil.
Total Assets was $229.9 Mil.
Property, Plant and Equipment(Net PPE) was $21.8 Mil.
Depreciation, Depletion and Amortization(DDA) was $3.3 Mil.
Selling, General & Admin. Expense(SGA) was $69.4 Mil.
Total Current Liabilities was $38.1 Mil.
Long-Term Debt was $0.1 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)
=(39.466 / 268.245) / (27.701 / 197.892)
=0.14712669 / 0.13998039
=1.0511

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)
=(128.647 / 197.892) / (170.536 / 268.245)
=0.65008692 / 0.63574717
=1.0226

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 - (177.231 + 24.004) / 278.163) / (1 - (161.409 + 21.848) / 229.881)
=0.27655727 / 0.20281798
=1.3636

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
=268.245 / 197.892
=1.3555

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))
=(3.291 / (3.291 + 21.848)) / (3.658 / (3.658 + 24.004))
=0.13091213 / 0.13223917
=0.99

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)
=(107.583 / 268.245) / (69.373 / 197.892)
=0.40106246 / 0.3505599
=1.1441

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 + 78.039) / 278.163) / ((0.081 + 38.14) / 229.881)
=0.28055133 / 0.16626428
=1.6874

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
=(17.297 - 0 - 17.925) / 278.163
=-0.0023

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.

Taser International Inc has a M-score of -2.22 suggests that the company will not 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 local exchange's currency.

Taser International Inc Annual Data

Dec07Dec08Dec09Dec10Dec11Dec12Dec13Dec14Dec15Dec16
DSRI 0.78071.55830.81591.05570.83991.20551.03431.1450.74931.0511
GMI 1.11490.93151.00961.16531.05510.83820.94751.00910.94941.0226
AQI 0.35980.67441.15381.3161.18410.83941.63920.83391.13231.3636
SGI 1.48740.92171.12290.83381.03561.27461.20111.19371.20281.3555
DEPI 0.94721.0891.03180.50910.7281.0121.07881.07381.50990.99
SGAI 0.74331.28480.99641.07630.94030.81030.98760.97451.06991.1439
LVGI 0.59240.92971.18180.8811.72531.03510.99771.10440.96311.6874
TATA 0.008-0.0345-0.0731-0.0376-0.2316-0.1013-0.0956-0.0837-0.1153-0.0023
M-score -2.24-2.38-2.87-2.57-3.83-2.65-2.47-2.65-2.98-2.22

Taser International Inc Quarterly Data

Sep14Dec14Mar15Jun15Sep15Dec15Mar16Jun16Sep16Dec16
DSRI 1.11091.1450.85050.90830.75060.74931.17640.981.05211.0511
GMI 0.96771.00910.98910.98021.00140.94940.97020.99150.9691.0226
AQI 0.9670.83390.89581.03591.44721.13231.17751.14641.18351.3636
SGI 1.21411.19371.20561.22921.19611.20281.20541.20841.28381.3555
DEPI 1.09731.07381.16521.25971.41871.50991.29481.08751.01070.99
SGAI 0.91090.97320.92190.89341.01711.05911.19981.27991.22271.1441
LVGI 0.89621.10441.03631.09641.06880.96311.3281.52731.73291.6874
TATA -0.0717-0.0837-0.1042-0.0683-0.1086-0.1153-0.1026-0.1402-0.0874-0.0023
M-score -2.49-2.65-2.95-2.66-2.84-2.98-2.67-3.12-2.81-2.22
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