Chemtura Beneish M-Score Historical Data
The historical data trend for Chemtura's Beneish M-Score can be seen below:
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
Chemtura Beneish M-Score Chart
|
Chemtura Annual Data
|
|
Trend |
Dec07 |
Dec08 |
Dec09 |
Dec10 |
Dec11 |
Dec12 |
Dec13 |
Dec14 |
Dec15 |
Dec16 |
| Beneish M-Score |
|
Get a 7-Day Free Trial
|
|
|
-2.89 |
-3.18 |
-0.64 |
-2.64 |
-3.05 |
|
Chemtura Quarterly Data
|
|
Mar12 |
Jun12 |
Sep12 |
Dec12 |
Mar13 |
Jun13 |
Sep13 |
Dec13 |
Mar14 |
Jun14 |
Sep14 |
Dec14 |
Mar15 |
Jun15 |
Sep15 |
Dec15 |
Mar16 |
Jun16 |
Sep16 |
Dec16 |
| Beneish M-Score |
Get a 7-Day Free Trial
|
|
|
|
|
|
|
|
|
|
|
|
|
-2.64 |
-2.83 |
-2.92 |
-2.92 |
-3.05 |
Competitive Comparison of Chemtura's Beneish M-Score
For the Specialty Chemicals subindustry, Chemtura's Beneish M-Score, along with its competitors' market caps and Beneish M-Score data, can be viewed below:
* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.
Chemtura's Beneish M-Score Distribution in the Chemicals Industry
For the Chemicals industry and Basic Materials sector, Chemtura's Beneish M-Score distribution charts can be found below:
* The bar in red indicates where Chemtura's Beneish M-Score falls into.
Chemtura Beneish M-Score Calculation
The M-score was created by Professor Messod Beneish. Instead of measuring the bankruptcy risk (Altman Z-Score) or business trend (Piotroski 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 Chemtura 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 * 1.0701 | + | 0.528 * 0.8677 | + | 0.404 * 0.9856 | + | 0.892 * 0.9479 | + | 0.115 * 1.0666 |
| - | 0.172 * SGAI | + | 4.679 * TATA | - | 0.327 * LVGI |
| - | 0.172 * 2.0963 | + | 4.679 * -0.070111 | - | 0.327 * 1.0108 |
| = | -3.05 |
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
| This Year (Dec16) TTM: | Last Year (Dec15) TTM: |
Total Receivables was $213 Mil.
Revenue was 385 + 414 + 441 + 414 = $1,654 Mil.
Gross Profit was 108 + 125 + 119 + 121 = $473 Mil.
Total Current Assets was $865 Mil.
Total Assets was $2,168 Mil.
Property, Plant and Equipment(Net PPE) was $652 Mil.
Depreciation, Depletion and Amortization(DDA) was $85 Mil.
Selling, General, & Admin. Expense(SGA) was $306 Mil.
Total Current Liabilities was $310 Mil.
Long-Term Debt & Capital Lease Obligation was $457 Mil.
Net Income was 22 + 25 + 34 + -96 = $-15 Mil.
Non Operating Income was 3 + -1 + 0 + -2 = $0 Mil.
Cash Flow from Operations was 50 + 43 + 76 + -32 = $137 Mil.
|
Total Receivables was $210 Mil.
Revenue was 399 + 444 + 464 + 438 = $1,745 Mil.
Gross Profit was 104 + 117 + 114 + 98 = $433 Mil.
Total Current Assets was $978 Mil.
Total Assets was $2,360 Mil.
Property, Plant and Equipment(Net PPE) was $663 Mil.
Depreciation, Depletion and Amortization(DDA) was $93 Mil.
Selling, General, & Admin. Expense(SGA) was $154 Mil.
Total Current Liabilities was $361 Mil.
Long-Term Debt & Capital Lease Obligation was $465 Mil.
|
1. DSRI = Days Sales in Receivables Index
Measured as the ratio of Revenue in Total 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) |
| = | (213 / 1654) | / | (210 / 1745) |
| = | 0.128779 | / | 0.120344 |
| | = | 1.0701 |
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) |
| = | (433 / 1745) | / | (473 / 1654) |
| = | 0.248138 | / | 0.285973 |
| | = | 0.8677 |
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 Property, Plant and Equipment to Total Assets.
| AQI | = | (1 - (CurrentAssets_t + PPE_t) / TotalAssets_t) | / | (1 - (CurrentAssets_t-1 + PPE_t-1) / TotalAssets_t-1) |
| = | (1 - (865 + 652) / 2168) | / | (1 - (978 + 663) / 2360) |
| = | 0.300277 | / | 0.304661 |
| | = | 0.9856 |
4. SGI = Sales Growth Index
Ratio of Revenue 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 |
| = | 1654 | / | 1745 |
| | = | 0.9479 |
5. DEPI = Depreciation Index
Measured as the ratio of the rate of Depreciation, Depletion and Amortization 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)) |
| = | (93 / (93 + 663)) | / | (85 / (85 + 652)) |
| = | 0.123016 | / | 0.115332 |
| | = | 1.0666 |
Note: If the Depreciation, Depletion and Amortization data is not available, we assume that the depreciation rate is constant and set the Depreciation Index to 1.
6. SGAI = Sales, General and Administrative expenses Index
The ratio of Selling, General, & Admin. Expense(SGA) to Sales 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) |
| = | (306 / 1654) | / | (154 / 1745) |
| = | 0.185006 | / | 0.088252 |
| | = | 2.0963 |
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 in leverage
| LVGI | = | ((LTD_t + CurrentLiabilities_t) / TotalAssets_t) | / | ((LTD_t-1 + CurrentLiabilities_t-1) / TotalAssets_t-1) |
| = | ((457 + 310) / 2168) | / | ((465 + 361) / 2360) |
| = | 0.353782 | / | 0.35 |
| | = | 1.0108 |
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 |
| = | (-15 - 0 | - | 137) | / | 2168 |
| | = | -0.070111 |
An M-Score of equal or less than -1.78 suggests that the company is unlikely to be a manipulator. An M-Score of greater than -1.78 signals that the company is likely to be a manipulator.
Chemtura has a M-score of -3.05 suggests that the company is unlikely to be a manipulator.
Quick Browse
Personalize
Premium Gurus 
Create New Portfolio
Portfolio Contest
CHMT has been successfully added to your