TTM 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.
During the past 13 years, the highest Beneish M-Score of Tata Motors Ltd was -1.55. The lowest was -170.75. And the median was -2.36.
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 Tata Motors Ltd 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 * 0.9863||+||0.528 * 0.9997||+||0.404 * 3.8173||+||0.892 * 1.0266||+||0.115 * 0.5009|
|-||0.172 * SGAI||+||4.679 * TATA||-||0.327 * LVGI|
|-||0.172 * 1.2123||+||4.679 * -0.0245||-||0.327 * 1.039|
|This Year (Sep16) TTM:||Last Year (Sep15) TTM:|
|Accounts Receivable was $1,863 Mil.|
Revenue was 10042.8532028 + 9968.86962856 + 11192.1801022 + 10865.2482696 = $42,069 Mil.
Gross Profit was 3990.86545812 + 3984.82282894 + 4429.35137664 + 4310.73962855 = $16,716 Mil.
Total Current Assets was $15,915 Mil.
Total Assets was $39,407 Mil.
Property, Plant and Equipment(Net PPE) was $9,092 Mil.
Depreciation, Depletion and Amortization(DDA) was $2,627 Mil.
Selling, General & Admin. Expense(SGA) was $12,261 Mil.
Total Current Liabilities was $16,173 Mil.
Long-Term Debt was $8,103 Mil.
Net Income was 124.166214486 + 332.470582988 + 559.366072216 + 527.431382072 = $1,543 Mil.
Non Operating Income was 29.311776574 + 97.9283585196 + 2349.10129778 + 34.0319056634 = $2,510 Mil.
Cash Flow from Operations was 0 + 0 + 0 + 0 = $0 Mil.
|Accounts Receivable was $1,840 Mil.
Revenue was 9468.08439895 + 9611.35543713 + 10815.5408487 + 11085.3316451 = $40,980 Mil.
Gross Profit was 3581.82439203 + 4113.95574537 + 4330.56553645 + 4252.15167023 = $16,278 Mil.
Total Current Assets was $15,802 Mil.
Total Assets was $38,617 Mil.
Property, Plant and Equipment(Net PPE) was $19,118 Mil.
Depreciation, Depletion and Amortization(DDA) was $2,418 Mil.
Selling, General & Admin. Expense(SGA) was $9,852 Mil.
Total Current Liabilities was $14,839 Mil.
Long-Term Debt was $8,056 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)|
|=||(1863.20071709 / 42069.1512032)||/||(1840.25348098 / 40980.3123299)|
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)|
|=||(16278.4973441 / 40980.3123299)||/||(16715.7792923 / 42069.1512032)|
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 - (15915.0280752 + 9092.16084228) / 39407.4704184)||/||(1 - (15801.6419135 + 19118.3374719) / 38616.6409992)|
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))|
|=||(2418.12642022 / (2418.12642022 + 19118.3374719))||/||(2627.11002746 / (2627.11002746 + 9092.16084228))|
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)|
|=||(12261.0127978 / 42069.1512032)||/||(9852.2043413 / 40980.3123299)|
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)|
|=||((8103.11809551 + 16172.8847705) / 39407.4704184)||/||((8056.36218823 + 14838.9401315) / 38616.6409992)|
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|
|=||(1543.43425176 - 2510.37333854||-||0)||/||39407.4704184|
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.
Tata Motors Ltd has a M-score of -1.55 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
Tata Motors Ltd Annual Data
Tata Motors Ltd Quarterly Data