Newell Brands Beneish M-Score Historical Data
The historical data trend for Newell Brands'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.
|
Newell Brands Annual Data
|
|
Trend |
Dec14 |
Dec15 |
Dec16 |
Dec17 |
Dec18 |
Dec19 |
Dec20 |
Dec21 |
Dec22 |
Dec23 |
| Beneish M-Score |
|
|
|
|
|
|
-2.41 |
-2.78 |
-2.56 |
-2.30 |
-2.79 |
|
Newell Brands Quarterly Data
|
|
Mar19 |
Jun19 |
Sep19 |
Dec19 |
Mar20 |
Jun20 |
Sep20 |
Dec20 |
Mar21 |
Jun21 |
Sep21 |
Dec21 |
Mar22 |
Jun22 |
Sep22 |
Dec22 |
Mar23 |
Jun23 |
Sep23 |
Dec23 |
| Beneish M-Score |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
-2.30 |
-2.40 |
-2.64 |
-2.89 |
-2.79 |
Competitive Comparison
For the Household & Personal Products subindustry, Newell Brands'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.
Newell Brands Beneish M-Score Distribution
For the Consumer Packaged Goods industry and Consumer Defensive sector, Newell Brands's Beneish M-Score distribution charts can be found below:
* The bar in red indicates where Newell Brands's Beneish M-Score falls into.
Newell Brands 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 Newell Brands 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 * 1.1119 | + | 0.528 * 1.0356 | + | 0.404 * 1.0368 | + | 0.892 * 0.8598 | + | 0.115 * 0.8875 |
| - | 0.172 * SGAI | + | 4.679 * TATA | - | 0.327 * LVGI |
| - | 0.172 * 1.1447 | + | 4.679 * -0.058045 | - | 0.327 * 1.0344 |
| = | -2.79 |
* 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 (Dec23) TTM: | Last Year (Dec22) TTM: |
Total Receivables was $1,195 Mil.
Revenue was 2076 + 2048 + 2204 + 1805 = $8,133 Mil.
Gross Profit was 621 + 621 + 629 + 482 = $2,353 Mil.
Total Current Assets was $3,354 Mil.
Total Assets was $12,163 Mil.
Property, Plant and Equipment(Net PPE) was $1,727 Mil.
Depreciation, Depletion and Amortization(DDA) was $334 Mil.
Selling, General, & Admin. Expense(SGA) was $2,001 Mil.
Total Current Liabilities was $2,897 Mil.
Long-Term Debt & Capital Lease Obligation was $5,021 Mil.
Net Income was -86 + -218 + 18 + -102 = $-388 Mil.
Non Operating Income was -171 + -349 + -42 + -50 = $-612 Mil.
Cash Flow from Operations was 251 + 402 + 354 + -77 = $930 Mil.
|
Total Receivables was $1,250 Mil.
Revenue was 2285 + 2252 + 2534 + 2388 = $9,459 Mil.
Gross Profit was 600 + 658 + 836 + 740 = $2,834 Mil.
Total Current Assets was $4,052 Mil.
Total Assets was $13,262 Mil.
Property, Plant and Equipment(Net PPE) was $1,762 Mil.
Depreciation, Depletion and Amortization(DDA) was $296 Mil.
Selling, General, & Admin. Expense(SGA) was $2,033 Mil.
Total Current Liabilities was $3,078 Mil.
Long-Term Debt & Capital Lease Obligation was $5,268 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) |
| = | (1195 / 8133) | / | (1250 / 9459) |
| = | 0.146932 | / | 0.132149 |
| | = | 1.1119 |
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) |
| = | (2834 / 9459) | / | (2353 / 8133) |
| = | 0.299609 | / | 0.289315 |
| | = | 1.0356 |
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 - (3354 + 1727) / 12163) | / | (1 - (4052 + 1762) / 13262) |
| = | 0.582258 | / | 0.561605 |
| | = | 1.0368 |
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 |
| = | 8133 | / | 9459 |
| | = | 0.8598 |
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)) |
| = | (296 / (296 + 1762)) | / | (334 / (334 + 1727)) |
| = | 0.143829 | / | 0.162057 |
| | = | 0.8875 |
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) |
| = | (2001 / 8133) | / | (2033 / 9459) |
| = | 0.246035 | / | 0.214928 |
| | = | 1.1447 |
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) |
| = | ((5021 + 2897) / 12163) | / | ((5268 + 3078) / 13262) |
| = | 0.650991 | / | 0.629317 |
| | = | 1.0344 |
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 |
| = | (-388 - -612 | - | 930) | / | 12163 |
| | = | -0.058045 |
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.
Newell Brands has a M-score of -2.79 suggests that the company is unlikely to be a manipulator.
Quick Browse
Personalize
Premium Gurus 
Create New Portfolio
Portfolio Contest
NWL has been successfully added to your