Cognizant Technology Solutions Beneish M-Score Historical Data
The historical data trend for Cognizant Technology Solutions'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.
Cognizant Technology Solutions Beneish M-Score Chart
|
Cognizant Technology Solutions Annual Data
|
|
Trend |
Dec15 |
Dec16 |
Dec17 |
Dec18 |
Dec19 |
Dec20 |
Dec21 |
Dec22 |
Dec23 |
Dec24 |
| Beneish M-Score |
|
Get a 7-Day Free Trial
|
|
|
-2.93 |
-2.43 |
-2.44 |
-2.40 |
-2.33 |
|
Cognizant Technology Solutions Quarterly Data
|
|
Jun20 |
Sep20 |
Dec20 |
Mar21 |
Jun21 |
Sep21 |
Dec21 |
Mar22 |
Jun22 |
Sep22 |
Dec22 |
Mar23 |
Jun23 |
Sep23 |
Dec23 |
Mar24 |
Jun24 |
Sep24 |
Dec24 |
Mar25 |
| Beneish M-Score |
Get a 7-Day Free Trial
|
|
|
|
|
|
|
|
|
|
|
|
|
-2.21 |
-2.26 |
-2.25 |
-2.33 |
-2.36 |
Competitive Comparison of Cognizant Technology Solutions's Beneish M-Score
For the Information Technology Services subindustry, Cognizant Technology Solutions'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.
Cognizant Technology Solutions's Beneish M-Score Distribution in the Software Industry
For the Software industry and Technology sector, Cognizant Technology Solutions's Beneish M-Score distribution charts can be found below:
* The bar in red indicates where Cognizant Technology Solutions's Beneish M-Score falls into.
Cognizant Technology Solutions 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 Cognizant Technology Solutions 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 * 1.0655 | + | 0.528 * 1.0034 | + | 0.404 * 1.0343 | + | 0.892 * 1.0409 | + | 0.115 * 0.9767 |
| - | 0.172 * SGAI | + | 4.679 * TATA | - | 0.327 * LVGI |
| - | 0.172 * 0.9809 | + | 4.679 * 0.00015 | - | 0.327 * 0.9856 |
| = | -2.36 |
* 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 (Mar25) TTM: | Last Year (Mar24) TTM: |
Total Receivables was $4,239 Mil.
Revenue was 5115 + 5082 + 5044 + 4850 = $20,091 Mil.
Gross Profit was 1718 + 1785 + 1733 + 1646 = $6,882 Mil.
Total Current Assets was $7,545 Mil.
Total Assets was $19,967 Mil.
Property, Plant and Equipment(Net PPE) was $1,543 Mil.
Depreciation, Depletion and Amortization(DDA) was $545 Mil.
Selling, General, & Admin. Expense(SGA) was $3,249 Mil.
Total Current Liabilities was $3,406 Mil.
Long-Term Debt & Capital Lease Obligation was $991 Mil.
Net Income was 663 + 546 + 582 + 566 = $2,357 Mil.
Non Operating Income was 63 + -69 + -40 + -29 = $-75 Mil.
Cash Flow from Operations was 400 + 920 + 847 + 262 = $2,429 Mil.
|
Total Receivables was $3,822 Mil.
Revenue was 4760 + 4758 + 4897 + 4886 = $19,301 Mil.
Gross Profit was 1614 + 1677 + 1688 + 1655 = $6,634 Mil.
Total Current Assets was $7,086 Mil.
Total Assets was $18,408 Mil.
Property, Plant and Equipment(Net PPE) was $1,625 Mil.
Depreciation, Depletion and Amortization(DDA) was $556 Mil.
Selling, General, & Admin. Expense(SGA) was $3,182 Mil.
Total Current Liabilities was $3,012 Mil.
Long-Term Debt & Capital Lease Obligation was $1,101 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) |
| = | (4239 / 20091) | / | (3822 / 19301) |
| = | 0.21099 | / | 0.198021 |
| | = | 1.0655 |
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) |
| = | (6634 / 19301) | / | (6882 / 20091) |
| = | 0.343713 | / | 0.342541 |
| | = | 1.0034 |
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 - (7545 + 1543) / 19967) | / | (1 - (7086 + 1625) / 18408) |
| = | 0.544849 | / | 0.526782 |
| | = | 1.0343 |
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 |
| = | 20091 | / | 19301 |
| | = | 1.0409 |
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)) |
| = | (556 / (556 + 1625)) | / | (545 / (545 + 1543)) |
| = | 0.254929 | / | 0.261015 |
| | = | 0.9767 |
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) |
| = | (3249 / 20091) | / | (3182 / 19301) |
| = | 0.161714 | / | 0.164862 |
| | = | 0.9809 |
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) |
| = | ((991 + 3406) / 19967) | / | ((1101 + 3012) / 18408) |
| = | 0.220213 | / | 0.223435 |
| | = | 0.9856 |
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 |
| = | (2357 - -75 | - | 2429) | / | 19967 |
| | = | 0.00015 |
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.
Cognizant Technology Solutions has a M-score of -2.36 suggests that the company is unlikely to be a manipulator.
Quick Browse
Personalize
Premium Gurus 
Create New Portfolio
Portfolio Contest
CTSH has been successfully added to your