NovoCure Beneish M-Score Historical Data
The historical data trend for NovoCure'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.
|
NovoCure Annual Data
|
|
Trend |
Dec14 |
Dec15 |
Dec16 |
Dec17 |
Dec18 |
Dec19 |
Dec20 |
Dec21 |
Dec22 |
Dec23 |
| Beneish M-Score |
|
|
|
|
|
|
-1.99 |
-2.51 |
-3.17 |
-3.01 |
-3.19 |
|
NovoCure 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 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
-3.01 |
-3.32 |
-3.19 |
-3.14 |
-3.19 |
Competitive Comparison
For the Medical Devices subindustry, NovoCure'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.
NovoCure Beneish M-Score Distribution
For the Medical Devices & Instruments industry and Healthcare sector, NovoCure's Beneish M-Score distribution charts can be found below:
* The bar in red indicates where NovoCure's Beneish M-Score falls into.
NovoCure 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 NovoCure 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 * 0.768 | + | 0.528 * 1.0512 | + | 0.404 * 1.3062 | + | 0.892 * 0.947 | + | 0.115 * 1.3224 |
| - | 0.172 * SGAI | + | 4.679 * TATA | - | 0.327 * LVGI |
| - | 0.172 * 1.347 | + | 4.679 * -0.11666 | - | 0.327 * 1.0849 |
| = | -3.19 |
* 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 $77.1 Mil.
Revenue was 133.784 + 127.321 + 126.051 + 122.182 = $509.3 Mil.
Gross Profit was 101.228 + 95.229 + 92.033 + 92.568 = $381.1 Mil.
Total Current Assets was $1,034.4 Mil.
Total Assets was $1,146.1 Mil.
Property, Plant and Equipment(Net PPE) was $97.7 Mil.
Depreciation, Depletion and Amortization(DDA) was $11.0 Mil.
Selling, General, & Admin. Expense(SGA) was $390.9 Mil.
Total Current Liabilities was $179.1 Mil.
Long-Term Debt & Capital Lease Obligation was $596.2 Mil.
Net Income was -47.079 + -49.485 + -57.418 + -53.061 = $-207.0 Mil.
Non Operating Income was 0 + 0 + 0 + 0 = $0.0 Mil.
Cash Flow from Operations was -14.558 + -19.314 + -22.737 + -16.727 = $-73.3 Mil.
|
Total Receivables was $106.0 Mil.
Revenue was 128.429 + 130.998 + 140.866 + 137.547 = $537.8 Mil.
Gross Profit was 99.541 + 101.249 + 112.363 + 109.82 = $423.0 Mil.
Total Current Assets was $1,111.5 Mil.
Total Assets was $1,191.6 Mil.
Property, Plant and Equipment(Net PPE) was $69.0 Mil.
Depreciation, Depletion and Amortization(DDA) was $10.6 Mil.
Selling, General, & Admin. Expense(SGA) was $306.4 Mil.
Total Current Liabilities was $158.8 Mil.
Long-Term Debt & Capital Lease Obligation was $584.3 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) |
| = | (77.114 / 509.338) | / | (106.025 / 537.84) |
| = | 0.1514 | / | 0.197131 |
| | = | 0.768 |
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) |
| = | (422.973 / 537.84) | / | (381.058 / 509.338) |
| = | 0.786429 | / | 0.748144 |
| | = | 1.0512 |
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 - (1034.409 + 97.698) / 1146.129) | / | (1 - (1111.529 + 68.958) / 1191.648) |
| = | 0.012234 | / | 0.009366 |
| | = | 1.3062 |
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 |
| = | 509.338 | / | 537.84 |
| | = | 0.947 |
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)) |
| = | (10.623 / (10.623 + 68.958)) | / | (10.969 / (10.969 + 97.698)) |
| = | 0.133487 | / | 0.100941 |
| | = | 1.3224 |
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) |
| = | (390.866 / 509.338) | / | (306.411 / 537.84) |
| = | 0.7674 | / | 0.569707 |
| | = | 1.347 |
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) |
| = | ((596.242 + 179.115) / 1146.129) | / | ((584.271 + 158.777) / 1191.648) |
| = | 0.676501 | / | 0.623547 |
| | = | 1.0849 |
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 |
| = | (-207.043 - 0 | - | -73.336) | / | 1146.129 |
| | = | -0.11666 |
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.
NovoCure has a M-score of -3.19 suggests that the company is unlikely to be a manipulator.
Quick Browse
Personalize
Premium Gurus 
Create New Portfolio
Portfolio Contest
NVCR has been successfully added to your