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Dun & Bradstreet Holdings Beneish M-Score

: -2.61 (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 -2.61 no higher than -1.78, which implies that the company is unlikely to be a manipulator.

The historical rank and industry rank for Dun & Bradstreet Holdings's Beneish M-Score or its related term are showing as below:

NYSE:DNB' s Beneish M-Score Range Over the Past 10 Years
Min: -2.61   Med: -2.34   Max: -2.26
Current: -2.61

-2.61
-2.26

During the past 4 years, the highest Beneish M-Score of Dun & Bradstreet Holdings was -2.26. The lowest was -2.61. And the median was -2.34.


Dun & Bradstreet Holdings Beneish M-Score Historical Data

The historical data trend for Dun & Bradstreet Holdings'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.

Dun & Bradstreet Holdings Annual Data
Trend Dec17 Dec18 Dec19 Dec20
Beneish M-Score
- - - -2.37

Dun & Bradstreet Holdings Quarterly Data
Dec17 Dec18 Mar19 Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21
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 - -2.37 -2.26 -2.31 -2.61

Competitive Comparison

For the Information Technology Services subindustry, Dun & Bradstreet Holdings'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.

   

Dun & Bradstreet Holdings Beneish M-Score Distribution

For the Software industry and Technology sector, Dun & Bradstreet Holdings's Beneish M-Score distribution charts can be found below:

* The bar in red indicates where Dun & Bradstreet Holdings's Beneish M-Score falls into.



Dun & Bradstreet Holdings 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 Dun & Bradstreet Holdings 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 * 0.9414+0.528 * 1+0.404 * 1.0082+0.892 * 1.2099+0.115 * 1.0588
-0.172 * SGAI+4.679 * TATA-0.327 * LVGI
-0.172 * 0.9919+4.679 * -0.0557-0.327 * 1.036
=-2.61

* 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 (Sep21) TTM:Last Year (Sep20) TTM:
Accounts Receivable was $285 Mil.
Revenue was 541.9 + 520.9 + 504.5 + 479.3 = $2,047 Mil.
Gross Profit was 541.9 + 520.9 + 504.5 + 479.3 = $2,047 Mil.
Total Current Assets was $649 Mil.
Total Assets was $9,747 Mil.
Property, Plant and Equipment(Net PPE) was $173 Mil.
Depreciation, Depletion and Amortization(DDA) was $594 Mil.
Selling, General, & Admin. Expense(SGA) was $672 Mil.
Total Current Liabilities was $920 Mil.
Long-Term Debt & Capital Lease Obligation was $3,606 Mil.
Net Income was 16.6 + -51.7 + -25 + 6.8 = $-53 Mil.
Non Operating Income was 8.5 + 2.3 + 1 + 11.9 = $24 Mil.
Cash Flow from Operations was 108.7 + 124.3 + 168.2 + 64.9 = $466 Mil.
Accounts Receivable was $250 Mil.
Revenue was 444.4 + 418.7 + 395.7 + 432.7 = $1,692 Mil.
Gross Profit was 444.4 + 418.7 + 395.7 + 432.7 = $1,692 Mil.
Total Current Assets was $723 Mil.
Total Assets was $9,185 Mil.
Property, Plant and Equipment(Net PPE) was $119 Mil.
Depreciation, Depletion and Amortization(DDA) was $543 Mil.
Selling, General, & Admin. Expense(SGA) was $560 Mil.
Total Current Liabilities was $786 Mil.
Long-Term Debt & Capital Lease Obligation was $3,331 Mil.




1. DSRI = Days Sales in Receivables Index

Measured as the ratio of Revenue in Accounts Receivable 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)
=(285.2 / 2046.6) / (250.4 / 1691.5)
=0.13935307 / 0.14803429
=0.9414

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)
=(1691.5 / 1691.5) / (2046.6 / 2046.6)
=1 / 1
=1

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 - (649 + 173.2) / 9747.3) / (1 - (723.4 + 119.4) / 9185.4)
=0.91564844 / 0.90824569
=1.0082

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
=2046.6 / 1691.5
=1.2099

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))
=(543.2 / (543.2 + 119.4)) / (594.2 / (594.2 + 173.2))
=0.81980078 / 0.77430284
=1.0588

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)
=(672.2 / 2046.6) / (560.1 / 1691.5)
=0.32844718 / 0.33112622
=0.9919

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)
=((3605.8 + 919.6) / 9747.3) / ((3330.6 + 785.7) / 9185.4)
=0.46427216 / 0.44813508
=1.036

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
=(-53.3 - 23.7 - 466.1) / 9747.3
=-0.0557

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.

Dun & Bradstreet Holdings has a M-score of -2.61 suggests that the company is unlikely to be a manipulator.


Dun & Bradstreet Holdings Beneish M-Score Related Terms

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Dun & Bradstreet Holdings Business Description

Dun & Bradstreet Holdings logo
Industry
Technology » Software NAICS : 541519 SIC : 7374
Comparable Companies
Traded in Other Exchanges
N/A
Address
101 JFK Parkway, Short Hills, NJ, USA, 07078
Dun & Bradstreet Holdings Inc is one of the leading providers of business decisioning data and analytics. The company provides commercial credit decisioning, which helps businesses to make informed decisions when considering extending business loans and trade credit. Also, the company offers solutions to firms looking to analyze supplier relationships and more effectively collect outstanding receivables. Its operating segment includes North America and International. The company generates maximum revenue from the North American region. Other services provided by the company include digital marketing, sales acceleration, and risk management among others.
Executives
Quella James director C/O CATALENT, INC. 14 SCHOOLHOUSE ROAD SOMERSET NJ 08822
Thl Equity Fund Viii Investors (d&b), L.p. director, 10 percent owner C/O THOMAS H. LEE PARTNERS, L.P. 100 FEDERAL STREET, 35TH FLOOR BOSTON MA 02110
Thl Managers Viii, Llc director, 10 percent owner 100 FEDERAL STREET, 35TH FLOOR BOSTON MA 02110
Thl Equity Advisors Viii, Llc director, 10 percent owner 100 FEDERAL STREET, 35TH FLOOR BOSTON MA 02110
Thl Fund Viii Coinvestment Partners, L.p. director, 10 percent owner 100 FEDERAL STREET, 35TH FLOOR BOSTON MA 02110
Thomas H. Lee Equity Fund Viii, L.p. director, 10 percent owner C/O THOMAS H. LEE PARTNERS, L.P. 100 FEDERAL STREET BOSTON MA 02110
Thl Executive Fund Viii, L.p. director, 10 percent owner C/O THOMAS H. LEE PARTNERS, L.P. 100 FEDERAL STREET BOSTON MA 02110
Thomas H. Lee Parallel Fund Viii, L.p. director, 10 percent owner C/O THOMAS H. LEE PARTNERS, L.P. 100 FEDERAL STREET BOSTON MA 02110
Jackson Keith J director ONE MISSISSIPPI PLAZA 201 SOUTH SPRING STREET TUPELO MS 38804
Ammerman Douglas K director 601 RIVERSIDE AVENUE JACKSONVILLE FL 32204
Thl Holdco, Llc director, 10 percent owner 100 FEDERAL STREET, 35TH FLOOR BOSTON MA 02110
Thomas H Lee Partners Lp director, 10 percent owner 100 FEDERAL STREET, 35TH FLOOR BOSTON MA 02110
Thomas H. Lee Advisors, Llc director, 10 percent owner C/O THOMAS H. LEE PARTNERS, L.P. 100 FEDERAL STREET, 35TH FLOOR BOSTON MA 02110
Foley William P Ii director, 10 percent owner, other: Chairman of the Board FIDELITY NATIONAL FINANCIAL, INC. 601 RIVERSIDE AVENUE JACKSONVILLE FL 32204
Massey Richard N director 900 S. SHACKLEFORD ROAD SUITE 401 LITTLE ROCK AR 72211

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