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Clipper Realty (Clipper Realty) Beneish M-Score : -2.61 (As of Jul. 17, 2024)


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What is Clipper Realty Beneish M-Score?

The zones of discrimination for M-Score is as such:

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.

Good Sign:

Beneish M-Score -2.61 no higher than -1.78, which implies that the company is unlikely to be a manipulator.

The historical rank and industry rank for Clipper Realty's Beneish M-Score or its related term are showing as below:

CLPR' s Beneish M-Score Range Over the Past 10 Years
Min: -3.05   Med: -2.58   Max: -1.46
Current: -2.61

During the past 10 years, the highest Beneish M-Score of Clipper Realty was -1.46. The lowest was -3.05. And the median was -2.58.


Clipper Realty Beneish M-Score Historical Data

The historical data trend for Clipper Realty'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.

* Premium members only.

Clipper Realty Beneish M-Score Chart

Clipper Realty Annual Data
Trend Dec14 Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23
Beneish M-Score
Get a 7-Day Free Trial Premium Member Only Premium Member Only -2.40 -1.98 -2.10 -3.05 -2.58

Clipper Realty Quarterly Data
Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24
Beneish M-Score Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only -2.64 -2.51 -2.58 -2.58 -2.61

Competitive Comparison of Clipper Realty's Beneish M-Score

For the REIT - Residential subindustry, Clipper Realty'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.


Clipper Realty's Beneish M-Score Distribution in the REITs Industry

For the REITs industry and Real Estate sector, Clipper Realty's Beneish M-Score distribution charts can be found below:

* The bar in red indicates where Clipper Realty's Beneish M-Score falls into.



Clipper Realty 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 Clipper Realty 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 * 0.9497+0.528 * 0.9284+0.404 * 1.0008+0.892 * 1.068+0.115 * 1
-0.172 * SGAI+4.679 * TATA-0.327 * LVGI
-0.172 * 0.9595+4.679 * -0.022852-0.327 * 1.0203
=-2.61

* 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 (Mar24) TTM:Last Year (Mar23) TTM:
Total Receivables was $4.8 Mil.
Revenue was 35.76 + 34.867 + 35.128 + 34.543 = $140.3 Mil.
Gross Profit was 20.002 + 19.718 + 19.824 + 19.061 = $78.6 Mil.
Total Current Assets was $53.4 Mil.
Total Assets was $1,263.9 Mil.
Property, Plant and Equipment(Net PPE) was $0.0 Mil.
Depreciation, Depletion and Amortization(DDA) was $29.4 Mil.
Selling, General, & Admin. Expense(SGA) was $13.4 Mil.
Total Current Liabilities was $15.6 Mil.
Long-Term Debt & Capital Lease Obligation was $1,226.7 Mil.
Net Income was -1.011 + -1.083 + -0.881 + -1.249 = $-4.2 Mil.
Non Operating Income was 0 + 0 + 0 + -0.357 = $-0.4 Mil.
Cash Flow from Operations was 6.252 + 9.055 + -0.091 + 9.8 = $25.0 Mil.
Total Receivables was $4.8 Mil.
Revenue was 33.667 + 33.009 + 32.8 + 31.887 = $131.4 Mil.
Gross Profit was 17.032 + 16.945 + 17.281 + 17.073 = $68.3 Mil.
Total Current Assets was $53.3 Mil.
Total Assets was $1,237.4 Mil.
Property, Plant and Equipment(Net PPE) was $0.0 Mil.
Depreciation, Depletion and Amortization(DDA) was $26.9 Mil.
Selling, General, & Admin. Expense(SGA) was $13.1 Mil.
Total Current Liabilities was $13.9 Mil.
Long-Term Debt & Capital Lease Obligation was $1,178.0 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)
=(4.836 / 140.298) / (4.768 / 131.363)
=0.034469 / 0.036296
=0.9497

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)
=(68.331 / 131.363) / (78.605 / 140.298)
=0.520169 / 0.560272
=0.9284

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 - (53.414 + 0) / 1263.943) / (1 - (53.251 + 0) / 1237.398)
=0.95774 / 0.956965
=1.0008

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
=140.298 / 131.363
=1.068

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))
=(26.897 / (26.897 + 0)) / (29.369 / (29.369 + 0))
=1 / 1
=1

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)
=(13.427 / 140.298) / (13.103 / 131.363)
=0.095703 / 0.099747
=0.9595

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)
=((1226.688 + 15.579) / 1263.943) / ((1178.037 + 13.938) / 1237.398)
=0.98285 / 0.963292
=1.0203

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
=(-4.224 - -0.357 - 25.016) / 1263.943
=-0.022852

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.

Clipper Realty has a M-score of -2.61 suggests that the company is unlikely to be a manipulator.


Clipper Realty Beneish M-Score Related Terms

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Clipper Realty (Clipper Realty) Business Description

Traded in Other Exchanges
N/A
Address
4611 12th Avenue, Suite 1L, Brooklyn, NY, USA, 11219
Clipper Realty Inc is a self-administered and self-managed real estate company. It acquires, owns, manages, operates and repositions multifamily residential and commercial properties in the New York metropolitan area, with a portfolio in Manhattan and Brooklyn. It has classified its reporting segments into commercial and residential rental properties. Clipper derives its revenue mostly from a Residential segment.
Executives
Howard M Lorber director 4400 BISCAYNE BLVD, 10TH FLOOR, MIAMI FL 33137
Harmon Spolan director OOZEN O CONNOR, 1900 MARKET ST 4TH FL, PHILADELPHIA PA 19103
Sam Levinson director, 10 percent owner 9190 PRIORITY WAY WEST DRIVE, SUITE 300, INDIANAPOLIS IN 46240
David Bistricer director, 10 percent owner, officer: Co-Chairman and CEO PO BOX 407, BROOKLIN NY 11219
Michael Charles Frenz officer: Chief Financial Officer C/O CLIPPER REALTY INC, 4611 12TH AVENUE, SUITE 1L, BROOKLYN NY 11219
Roberto Angelo Verrone director 200 HIGHLAND AVENUE, SHORT HILLS NJ 07078
Robert Jay Ivanhoe director GREENBERG TRAURIG, LLP, 200 PARK AVENUE, NEW YORK NY 10166
Richard N Burger director P.O. BOX 28543, SCOTTSDALE AZ 85255
Lawrence E Kreider officer: Chief Financial Officer 600 GRANT STREET, SUITE 900, DENVER CO 80203
Jacob Bistricer officer: Chief Operating Officer 4611 12TH AVENUE, SUITE 1L, BROOKLYN NY 11219
Jacob Schwimmer officer: Chief PM Offcier 1738 47TH STREET, BROOKLYN NY 11204