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Skyworks Solutions (NAS:SWKS) Beneish M-Score

: -2.87 (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 -2.87 no higher than -1.78, which implies that the company is unlikely to be a manipulator.

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

SWKS' s Beneish M-Score Range Over the Past 10 Years
Min: -3.78   Med: -2.6   Max: 42.3
Current: -2.87

During the past 13 years, the highest Beneish M-Score of Skyworks Solutions was 42.30. The lowest was -3.78. And the median was -2.60.


Skyworks Solutions Beneish M-Score Historical Data

The historical data trend for Skyworks 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.

* Premium members only.

Skyworks Solutions Annual Data
Trend Sep13 Sep14 Sep15 Sep16 Sep17 Sep18 Sep19 Sep20 Sep21 Sep22
Beneish M-Score
Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only -2.29 -3.24 -3.26 -2.15 -2.19

Skyworks Solutions Quarterly Data
Jun18 Sep18 Dec18 Mar19 Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23
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 -2.46 -1.78 -2.19 -2.74 -2.87

Competitive Comparison

For the Semiconductors subindustry, Skyworks 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.

   

Skyworks Solutions Beneish M-Score Distribution

For the Semiconductors industry and Technology sector, Skyworks Solutions's Beneish M-Score distribution charts can be found below:

* The bar in red indicates where Skyworks Solutions's Beneish M-Score falls in comparison to its industry or sector. The grey bar indicates the Beneish M-Score's extreme value range as defined by GuruFocus.



Skyworks 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 Skyworks 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 * 0.8837+0.528 * 1.0145+0.404 * 0.9104+0.892 * 0.9713+0.115 * 0.9036
-0.172 * SGAI+4.679 * TATA-0.327 * LVGI
-0.172 * 0.9638+4.679 * -0.054345-0.327 * 0.8929
=-2.87

* 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 (Mar23) TTM:Last Year (Mar22) TTM:
Total Receivables was $685 Mil.
Revenue was 1153.1 + 1329.3 + 1406.9 + 1232.6 = $5,122 Mil.
Gross Profit was 527.4 + 637.7 + 668.6 + 583.3 = $2,417 Mil.
Total Current Assets was $3,399 Mil.
Total Assets was $8,842 Mil.
Property, Plant and Equipment(Net PPE) was $1,707 Mil.
Depreciation, Depletion and Amortization(DDA) was $666 Mil.
Selling, General, & Admin. Expense(SGA) was $328 Mil.
Total Current Liabilities was $1,169 Mil.
Long-Term Debt & Capital Lease Obligation was $1,691 Mil.
Net Income was 232.8 + 309.4 + 302.2 + 267.3 = $1,112 Mil.
Non Operating Income was -17.7 + 0.2 + -23 + -2.5 = $-43 Mil.
Cash Flow from Operations was 411.7 + 773.4 + 236.3 + 213.8 = $1,635 Mil.
Total Receivables was $798 Mil.
Revenue was 1335.6 + 1510.4 + 1310.9 + 1116.4 = $5,273 Mil.
Gross Profit was 637.6 + 714.7 + 613.7 + 558.6 = $2,525 Mil.
Total Current Assets was $2,776 Mil.
Total Assets was $8,512 Mil.
Property, Plant and Equipment(Net PPE) was $1,786 Mil.
Depreciation, Depletion and Amortization(DDA) was $607 Mil.
Selling, General, & Admin. Expense(SGA) was $351 Mil.
Total Current Liabilities was $697 Mil.
Long-Term Debt & Capital Lease Obligation was $2,386 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)
=(685 / 5121.9) / (798.1 / 5273.3)
=0.133739 / 0.151347
=0.8837

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)
=(2524.6 / 5273.3) / (2417 / 5121.9)
=0.478751 / 0.471895
=1.0145

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 - (3399.2 + 1707.1) / 8841.7) / (1 - (2775.5 + 1786.3) / 8511.6)
=0.422475 / 0.464049
=0.9104

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
=5121.9 / 5273.3
=0.9713

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))
=(606.9 / (606.9 + 1786.3)) / (666 / (666 + 1707.1))
=0.253594 / 0.280646
=0.9036

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)
=(328.2 / 5121.9) / (350.6 / 5273.3)
=0.064078 / 0.066486
=0.9638

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)
=((1690.6 + 1168.7) / 8841.7) / ((2386.2 + 696.6) / 8511.6)
=0.323388 / 0.362188
=0.8929

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
=(1111.7 - -43 - 1635.2) / 8841.7
=-0.054345

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.

Skyworks Solutions has a M-score of -2.87 suggests that the company is unlikely to be a manipulator.


Skyworks Solutions Beneish M-Score Related Terms

Thank you for viewing the detailed overview of Skyworks Solutions's Beneish M-Score provided by GuruFocus.com. Please click on the following links to see related term pages.


Skyworks Solutions (NAS:SWKS) Business Description

Skyworks Solutions logo
Traded in Other Exchanges
Address
5260 California Avenue, Irvine, CA, USA, 92617
Skyworks Solutions produces semiconductors for wireless handsets and other devices that are used to enable wireless connectivity. Its main products include power amplifiers, filters, switches, and integrated front-end modules that support wireless transmissions. Skyworks' customers are mostly large smartphone manufacturers, but the firm also has a growing presence in nonhandset applications such as wireless routers, medical devices, and automobiles.
Executives
Suzanne E. Mcbride director C/O IRIDIUM COMMUNICATIONS INC., 1750 TYSONS BOULEVARD, SUITE 1400, MCLEAN VA 22102
Eric Guerin director 1950 HASSELL ROAD, HOFFMAN ESTATES IL 60169
Reza Kasnavi officer: SVP, Tech. & Manufacturing 5260 CALIFORNIA AVENUE, IRVINE CA 92617
Karilee A Durham officer: SVP, Human Resources 5260 CALIFORNIA AVENUE, IRVINE CA 92617
Alan S. Batey director 300 RENAISSANCE CENTER, M/C: 482-C25-A36, DETROIT MI 48265-3000
Kimberly S Stevenson director 199 FREMONT STREET, 7TH FLOOR, SAN FRANCISCO CA 94105
Carlos S Bori officer: VP, Sales & Marketing 5260 CALIFORNIA AVENUE, IRVINE CA 92617
Robert John Terry officer: VP, General Counsel &Secretary 5260 CALIFORNIA AVENUE, IRVINE CA 92617
Kris Sennesael officer: SVP & Chief Financial Officer 5260 CALIFORNIA AVENUE, IRVINE CA 92617
Laura A Gasparini officer: VP, Human Resources 20 SYLVAN ROAD, WOBURN MA 01801
Peter L Gammel officer: Chief Technology Officer 600 LEXINGTON AVENUE, 29TH FLOOR, NEW YORK NY 10021
Victoria Vezina officer: VP, Human Resources 20 SYLVAN ROAD, WOBURN MA 01801
Christine King director AMIS HOLDINGS, INC., 2300 BUCKSKIN RD, POCATELLO ID 83201
Bruce J Freyman officer: Vice President - Operations 5221 CALIFORNIA AVE., IRVINE CA 92617
Donald W Palette officer: V. P., Chief Financial Officer 20 SYLVAN ROAD, WOBURN MA 01801

Skyworks Solutions (NAS:SWKS) Headlines

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