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Riot Platforms (MEX:RIOT) Beneish M-Score : -2.75 (As of Mar. 28, 2025)


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What is Riot Platforms 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 -2.75 no higher than -1.78, which implies that the company is unlikely to be a manipulator.

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

MEX:RIOT' s Beneish M-Score Range Over the Past 10 Years
Min: -2.95   Med: -1.96   Max: 16.16
Current: -2.75

During the past 13 years, the highest Beneish M-Score of Riot Platforms was 16.16. The lowest was -2.95. And the median was -1.96.


Riot Platforms Beneish M-Score Historical Data

The historical data trend for Riot Platforms'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.

Riot Platforms Beneish M-Score Chart

Riot Platforms Annual Data
Trend Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23 Dec24
Beneish M-Score
Get a 7-Day Free Trial Premium Member Only Premium Member Only -2.23 11.34 -1.68 -2.24 -2.75

Riot Platforms Quarterly Data
Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24 Dec24
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 -2.24 -2.08 -2.37 -2.60 -2.75

Competitive Comparison of Riot Platforms's Beneish M-Score

For the Capital Markets subindustry, Riot Platforms'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.


Riot Platforms's Beneish M-Score Distribution in the Capital Markets Industry

For the Capital Markets industry and Financial Services sector, Riot Platforms's Beneish M-Score distribution charts can be found below:

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


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Riot Platforms 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 Riot Platforms 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 * 0.6941+0.528 * 0.3092+0.404 * 3.1449+0.892 * 1.4847+0.115 * 2.0881
-0.172 * SGAI+4.679 * TATA-0.327 * LVGI
-0.172 * 1.9776+4.679 * -0.012732-0.327 * 2.852
=-2.54

* 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 (Dec24) TTM:Last Year (Dec23) TTM:
Total Receivables was MXN701 Mil.
Revenue was 2973.147 + 1669.462 + 1282.737 + 1316.017 = MXN7,241 Mil.
Gross Profit was 1115.425 + 233.31 + 300.028 + 534.3 = MXN2,183 Mil.
Total Current Assets was MXN12,502 Mil.
Total Assets was MXN82,074 Mil.
Property, Plant and Equipment(Net PPE) was MXN28,267 Mil.
Depreciation, Depletion and Amortization(DDA) was MXN4,120 Mil.
Selling, General, & Admin. Expense(SGA) was MXN5,088 Mil.
Total Current Liabilities was MXN3,345 Mil.
Long-Term Debt & Capital Lease Obligation was MXN12,685 Mil.
Net Income was 2845.447 + -3039.434 + -1547.114 + 3514.705 = MXN1,774 Mil.
Non Operating Income was 5023.387 + -1119.098 + -445.27 + 4258.931 = MXN7,718 Mil.
Cash Flow from Operations was -2051.283 + -1109.174 + -778.824 + -960.143 = MXN-4,899 Mil.
Total Receivables was MXN680 Mil.
Revenue was 1337.774 + 903.884 + 1315.606 + 1320.079 = MXN4,877 Mil.
Gross Profit was 260.419 + -207.058 + 219.03 + 182.305 = MXN455 Mil.
Total Current Assets was MXN17,120 Mil.
Total Assets was MXN34,816 Mil.
Property, Plant and Equipment(Net PPE) was MXN12,124 Mil.
Depreciation, Depletion and Amortization(DDA) was MXN4,386 Mil.
Selling, General, & Admin. Expense(SGA) was MXN1,733 Mil.
Total Current Liabilities was MXN2,054 Mil.
Long-Term Debt & Capital Lease Obligation was MXN330 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)
=(700.793 / 7241.363) / (680.073 / 4877.343)
=0.096776 / 0.139435
=0.6941

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)
=(454.696 / 4877.343) / (2183.063 / 7241.363)
=0.093226 / 0.301471
=0.3092

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 - (12502.492 + 28267.294) / 82073.582) / (1 - (17119.734 + 12124.485) / 34815.541)
=0.503253 / 0.160024
=3.1449

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
=7241.363 / 4877.343
=1.4847

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))
=(4385.806 / (4385.806 + 12124.485)) / (4120.183 / (4120.183 + 28267.294))
=0.265641 / 0.127215
=2.0881

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)
=(5087.976 / 7241.363) / (1732.906 / 4877.343)
=0.702627 / 0.355297
=1.9776

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)
=((12684.979 + 3344.941) / 82073.582) / ((330.149 + 2054.139) / 34815.541)
=0.195312 / 0.068483
=2.852

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
=(1773.604 - 7717.95 - -4899.424) / 82073.582
=-0.012732

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.

Riot Platforms has a M-score of -2.54 suggests that the company is unlikely to be a manipulator.


Riot Platforms Beneish M-Score Related Terms

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Riot Platforms Business Description

Traded in Other Exchanges
Address
3855 Ambrosia Street, Suite 301, Castle Rock, CO, USA, 80109
Riot Platforms Inc is a vertically integrated Bitcoin mining company focused on building, supporting, and operating blockchain technologies. The company's segments include Bitcoin Mining and Engineering. The Bitcoin Mining segment generates revenue from the Bitcoin the Company earns through its Bitcoin Mining activities. The Engineering segment generates revenue through customer contracts for custom engineered electrical products. It generates the majority of its revenue from the Bitcoin Mining segment.