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DuPont de Nemours Beneish M-Score

: -2.65 (As of Today)
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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 -2.65 no higher than -1.78, which implies that the company is unlikely to be a manipulator.

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

DD' s Beneish M-Score Range Over the Past 10 Years
Min: -3.46   Med: -2.65   Max: 16.28
Current: -2.65

During the past 13 years, the highest Beneish M-Score of DuPont de Nemours was 16.28. The lowest was -3.46. And the median was -2.65.


DuPont de Nemours Beneish M-Score Historical Data

The historical data trend for DuPont de Nemours'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.

DuPont de Nemours Annual Data
Trend Dec12 Dec13 Dec14 Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21
Beneish M-Score
Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 3.29 -1.89 -0.67 -3.26 -1.68

DuPont de Nemours Quarterly Data
Sep17 Dec17 Mar18 Jun18 Sep18 Dec18 Mar19 Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22
Beneish M-Score 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 Premium Member Only Premium Member Only Premium Member Only -2.37 -2.09 -1.68 -2.61 -2.65

Competitive Comparison

For the Specialty Chemicals subindustry, DuPont de Nemours'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.

   

DuPont de Nemours Beneish M-Score Distribution

For the Chemicals industry and Basic Materials sector, DuPont de Nemours's Beneish M-Score distribution charts can be found below:

* The bar in red indicates where DuPont de Nemours's Beneish M-Score falls into.



DuPont de Nemours 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 DuPont de Nemours 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 * 0.7154+0.528 * 1.0242+0.404 * 0.9004+0.892 * 1.1213+0.115 * 1.2695
-0.172 * SGAI+4.679 * TATA-0.327 * LVGI
-0.172 * 0.9583+4.679 * 0.0044-0.327 * 1.1414
=-2.65

* 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 (Jun22) TTM:Last Year (Jun21) TTM:
Total Receivables was $2,267 Mil.
Revenue was 3322 + 3274 + 4271 + 4271 = $15,138 Mil.
Gross Profit was 1173 + 1164 + 1413 + 1493 = $5,243 Mil.
Total Current Assets was $14,006 Mil.
Total Assets was $44,440 Mil.
Property, Plant and Equipment(Net PPE) was $5,564 Mil.
Depreciation, Depletion and Amortization(DDA) was $1,357 Mil.
Selling, General, & Admin. Expense(SGA) was $1,714 Mil.
Total Current Liabilities was $5,494 Mil.
Long-Term Debt & Capital Lease Obligation was $10,625 Mil.
Net Income was 787 + 488 + 204 + 391 = $1,870 Mil.
Non Operating Income was 99 + -81 + -106 + 3 = $-85 Mil.
Cash Flow from Operations was 86 + 209 + 621 + 842 = $1,758 Mil.
Total Receivables was $2,826 Mil.
Revenue was 3104 + 3017 + 3750 + 3629 = $13,500 Mil.
Gross Profit was 1145 + 1156 + 1276 + 1212 = $4,789 Mil.
Total Current Assets was $10,492 Mil.
Total Assets was $45,839 Mil.
Property, Plant and Equipment(Net PPE) was $6,856 Mil.
Depreciation, Depletion and Amortization(DDA) was $2,272 Mil.
Selling, General, & Admin. Expense(SGA) was $1,595 Mil.
Total Current Liabilities was $3,940 Mil.
Long-Term Debt & Capital Lease Obligation was $10,627 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)
=(2267 / 15138) / (2826 / 13500)
=0.14975558 / 0.20933333
=0.7154

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)
=(4789 / 13500) / (5243 / 15138)
=0.35474074 / 0.34634694
=1.0242

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 - (14006 + 5564) / 44440) / (1 - (10492 + 6856) / 45839)
=0.55963096 / 0.62154497
=0.9004

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
=15138 / 13500
=1.1213

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))
=(2272 / (2272 + 6856)) / (1357 / (1357 + 5564))
=0.24890447 / 0.19606993
=1.2695

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)
=(1714 / 15138) / (1595 / 13500)
=0.113225 / 0.11814815
=0.9583

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)
=((10625 + 5494) / 44440) / ((10627 + 3940) / 45839)
=0.36271377 / 0.31778616
=1.1414

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
=(1870 - -85 - 1758) / 44440
=0.0044

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.

DuPont de Nemours has a M-score of -2.65 suggests that the company is unlikely to be a manipulator.


DuPont de Nemours Beneish M-Score Related Terms

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DuPont de Nemours Business Description

DuPont de Nemours logo
Address
974 Centre Road, Building 730, Wilmington, DE, USA, 19805
DuPont is a diversified global specialty chemicals company created in 2019 as a result of the DowDuPont merger and subsequent separations. Its portfolio includes specialty chemicals and downstream products that serve the electronics and communication, automotive, construction, safety and protection, and water management industries. DuPont benefits from the ability to produce patented specialty chemicals that command pricing power. Noteworthy products include Kevlar, Tyvek, and Nomex, which tend to have a wide range of applications across multiple industries.
Executives
Johnson Kristina M director 19 HEATH PL DURHAM NC 27705
Lowery Frederick M. director 974 CENTRE ROAD CRP 730 WILMINGTON DE 19805
Curtin Terrence R director C/O TYCO ELECTRONICS LTD. 1050 WESTLAKES DRIVE BERWYN PA 19312
Mulligan Deanna director 7 HANOVER SQUARE NEW YORK NY 10004
Ratnakar Raj officer: SVP and Chief Strategy Officer C/O FORTIVE CORPORATION 6920 SEAWAY BOULEVARD EVERETT WA 98203
Weaver Leland officer: President, Water & Protection 974 CENTRE ROAD CRP 730, 5216 WILMINGTON DE 19805
Stone Randy Lee officer: President, Mobility & Material 974 CENTRE ROAD CRP 730 WILMINGTON DE 19805
Hoover Erik T. officer: SVP & General Counsel 974 CENTRE ROAD CRP 730 WILMINGTON DE 19805
Goss Michael G. officer: Controller 974 CENTRE ROAD CRP 730 WILMINGTON DE 19805
Larrabee Steven P. officer: SVP & CIO 974 CENTRE ROAD CRP 730 WILMINGTON DE 19805
Kemp Jon D. officer: President, E&I 974 CENTRE ROAD CRP 730 WILMINGTON DE 19805
Koch Lori officer: EVP & CFO 974 CENTRE ROAD CRP 730 WILMINGTON DE 19805
Raia Christopher officer: SVP & CHRO 974 CENTRE ROAD CRP 730 WILMINGTON DE 19805
Brady Amy G. director 127 PUBLIC SQUARE CLEVELAND OH 44114
Lee Rose officer: President, S&C C/O CROWN HOLDINGS, INC. 770 TOWNSHIP LINE ROAD YARDLEY PA 19067

DuPont de Nemours Headlines

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