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Zions Bancorp (NAS:ZION)
Beneish M-Score
-2.27 (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.

Zions Bancorp has a M-score of -2.27 suggests that the company is not a manipulator.

ZION' s Beneish M-Score Range Over the Past 10 Years
Min: -3.02   Max: -1.73
Current: -2.27

-3.02
-1.73

During the past 13 years, the highest Beneish M-Score of Zions Bancorp was -1.73. The lowest was -3.02. And the median was -2.45.


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 Zions Bancorp 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+0.528 * 1+0.404 * 0.9986+0.892 * 1.1187+0.115 * 0.9076
-0.172 * SGAI+4.679 * TATA-0.327 * LVGI
-0.172 * 0.8919+4.679 * -0.0032-0.327 * 0.6506
=-2.27

* 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 $0 Mil.
Revenue was 590.566 + 569.603 + 572.897 + 556.19 = $2,289 Mil.
Gross Profit was 590.566 + 569.603 + 572.897 + 556.19 = $2,289 Mil.
Total Current Assets was $0 Mil.
Total Assets was $59,643 Mil.
Property, Plant and Equipment(Net PPE) was $956 Mil.
Depreciation, Depletion and Amortization(DDA) was $168 Mil.
Selling, General & Admin. Expense(SGA) was $1,035 Mil.
Total Current Liabilities was $0 Mil.
Long-Term Debt was $699 Mil.
Net Income was 113.949 + 90.437 + 102.487 + 100.999 = $408 Mil.
Non Operating Income was 0 + 0 + 0 + 0 = $0 Mil.
Cash Flow from Operations was 11.804 + 222.762 + 148.799 + 212.522 = $596 Mil.
Accounts Receivable was $0 Mil.
Revenue was 419.022 + 534.684 + 559.826 + 532.89 = $2,046 Mil.
Gross Profit was 419.022 + 534.684 + 559.826 + 532.89 = $2,046 Mil.
Total Current Assets was $0 Mil.
Total Assets was $58,365 Mil.
Property, Plant and Equipment(Net PPE) was $857 Mil.
Depreciation, Depletion and Amortization(DDA) was $134 Mil.
Selling, General & Admin. Expense(SGA) was $1,037 Mil.
Total Current Liabilities was $0 Mil.
Long-Term Debt was $1,051 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)
=(0 / 2289.256) / (0 / 2046.422)
=0 / 0
=1

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)
=(2046.422 / 2046.422) / (2289.256 / 2289.256)
=1 / 1
=1

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 - (0 + 955.54) / 59642.992) / (1 - (0 + 856.577) / 58365.459)
=0.98397901 / 0.98532391
=0.9986

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
=2289.256 / 2046.422
=1.1187

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))
=(134.376 / (134.376 + 856.577)) / (167.839 / (167.839 + 955.54))
=0.1356028 / 0.1494055
=0.9076

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)
=(1034.891 / 2289.256) / (1037.249 / 2046.422)
=0.45206434 / 0.50685978
=0.8919

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)
=((698.712 + 0) / 59642.992) / ((1050.938 + 0) / 58365.459)
=0.01171491 / 0.01800616
=0.6506

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
=(407.872 - 0 - 595.887) / 59642.992
=-0.0032

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.

Zions Bancorp has a M-score of -2.27 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 own currency.

Zions Bancorp Annual Data

Dec06Dec07Dec08Dec09Dec10Dec11Dec12Dec13Dec14Dec15
DSRI 1111111111
GMI 1111111111
AQI 1.00021.00060.99990.99860.99981.00061.00080.99980.99840.9993
SGI 1.28651.0590.88171.24940.80241.03990.95450.94511.07620.956
DEPI 0.84061.12430.94460.73470.67681.36011.20971.3591.13550.9386
SGAI 1.01611.00341.20540.76681.40960.9751.03621.07970.96681.0654
LVGI 0.82751.02721.55080.470.95720.96611.14490.96380.47050.7174
TATA -0.0099-0.0045-0.0261-0.0445-0.0346-0.014-0.007-0.0102-0.001-0.0038
M-score -2.24-2.44-2.93-2.28-2.91-2.45-2.58-2.54-2.22-2.46

Zions Bancorp Quarterly Data

Mar14Jun14Sep14Dec14Mar15Jun15Sep15Dec15Mar16Jun16
DSRI 1111111111
GMI 1111111111
AQI 0.9990.99850.99840.99840.99930.99990.99970.99930.9990.9986
SGI 0.95670.94950.95881.07621.05821.00591.01970.95160.97661.1187
DEPI 1.38981.04571.07521.13551.0251.05420.96340.93860.91860.9076
SGAI 1.04291.05621.04040.98691.0121.06631.04021.07031.04440.8919
LVGI 0.88540.88620.48090.47050.49170.51330.80540.71740.71640.6506
TATA -0.0091-0.0036-0.0027-0.001-0.0004-0.0034-0.0034-0.0038-0.0061-0.0032
M-score -2.49-2.51-2.36-2.23-2.26-2.34-2.43-2.47-2.45-2.27
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