VLT (Invesco Highome Trust II) Beneish M-Score : -0.26 (As of Jul. 23, 2025)

View and export this data going back to 1989. Start your Free Trial

What is Invesco Highome Trust II Beneish M-Score?

Note: Financial institutions were excluded from the sample in Beneish paper when calculating Beneish M-Score. Thus, the prediction might not fit banks and insurance companies.

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.

Warning Sign:

Beneish M-Score -0.26 higher than -1.78, which implies that the company might have manipulated its financial results.

The historical rank and industry rank for Invesco Highome Trust II's Beneish M-Score or its related term are showing as below:

VLT' s Beneish M-Score Range Over the Past 10 Years
Min: -4.04 Med: -1.29 Max: 1.98
Current: -0.26

During the past 8 years, the highest Beneish M-Score of Invesco Highome Trust II was 1.98. The lowest was -4.04. And the median was -1.29.

Invesco Highome Trust II 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 Invesco Highome Trust II for today is based on a combination of the following eight different indices:

-4.84

0.92 * DSRI

0.528 * GMI

0.404 * AQI

0.892 * SGI

0.115 * DEPI

-4.84

0.92 * 3.3879

0.528 * 1

0.404 * 1

0.892 * 1.0864

0.115 * 1

0.172 * SGAI

4.679 * TATA

0.327 * LVGI

0.172 * 1.4719

4.679 * 0.002718

0.327 * 0.9692

-0.26

* 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 (Feb25) TTM:

Last Year (Feb24) TTM:

Total Receivables was $5.93 Mil.
Revenue was $7.72 Mil.
Gross Profit was $7.72 Mil.
Total Current Assets was $0.00 Mil.
Total Assets was $113.33 Mil.
Property, Plant and Equipment(Net PPE) was $0.00 Mil.
Depreciation, Depletion and Amortization(DDA) was $0.00 Mil.
Selling, General, & Admin. Expense(SGA) was $0.32 Mil.
Total Current Liabilities was $0.00 Mil.
Long-Term Debt & Capital Lease Obligation was $30.55 Mil.
Net Income was $7.36 Mil.
Gross Profit was $0.00 Mil.
Cash Flow from Operations was $7.05 Mil.

Total Receivables was $1.61 Mil.
Revenue was $7.11 Mil.
Gross Profit was $7.11 Mil.
Total Current Assets was $0.00 Mil.
Total Assets was $109.84 Mil.
Property, Plant and Equipment(Net PPE) was $0.00 Mil.
Depreciation, Depletion and Amortization(DDA) was $0.00 Mil.
Selling, General, & Admin. Expense(SGA) was $0.20 Mil.
Total Current Liabilities was $0.00 Mil.
Long-Term Debt & Capital Lease Obligation was $30.55 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)
	=	(5.933 / 7.722)	/	(1.612 / 7.108)
	=	0.768324	/	0.226787
	=	3.3879

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)
	=	(7.108 / 7.108)	/	(7.722 / 7.722)
	=	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 - (0 + 0) / 113.334)	/	(1 - (0 + 0) / 109.841)
	=	1	/	1
	=	1

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
	=	7.722	/	7.108
	=	1.0864

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))
	=	(0 / (0 + 0))	/	(0 / (0 + 0))
	=		/
	=	1

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)
	=	(0.323 / 7.722)	/	(0.202 / 7.108)
	=	0.041829	/	0.028419
	=	1.4719

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)
	=	((30.55 + 0) / 113.334)	/	((30.55 + 0) / 109.841)
	=	0.269557	/	0.278129
	=	0.9692

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
	=	(7.362 - 0	-	7.054)	/	113.334
	=	0.002718

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.

Invesco Highome Trust II has a M-score of -0.26 signals that the company is likely to be a manipulator.

Invesco Highome Trust II Beneish M-Score Related Terms

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

Invesco Highome Trust II Business Description

Industry

GURUFOCUS.COM » STOCK LIST » Financial Services » Asset Management » Invesco High Income Trust II (NYSE:VLT) » Definitions » Beneish M-Score

Comparable Companies

Traded in Other Exchanges

N/A

Address

1555 Peachtree Street N.E, Suite 1800, Atlanta, GA, USA, 30309

Website

https://www.invesco.com

Invesco High Income Trust II is a diversified, closed-end management investment company. Its investment objective is to provide high current income, while seeking to preserve shareholders' capital through investment in a professionally managed, diversified portfolio of high-income producing fixed-income securities.

Executives

Glenn Eugene Brightman	officer: President & PEO	570 CARILLON PARKWAY, ST. PETERSBURG FL 33716
Stephanie Butcher	officer: Senior Vice President	1555 PEACHTREE ST. NE, ATLANTA GA 30309
Tony Wong	director, officer: Senior Vice President	1331 SPRING STREET NW, SUITE 2500, ATLANTA GA 30309
Melanie Ringold	officer: SVP, CLO and Secretary	1555 PEACHTREE STREE NE, SUITE 1800, ATLANTA GA 30309
Mark William Gregson	officer: Chief Accounting Officer	1555 PEACHTREE STREET NE, ATLANTA GA 30309
Terry Vacheron	officer: Chief Financial Officer	1555 PEACHTREE ST. NE, SUITE 1800, ATLANTA GA 30309
Bordewick James R Jr	officer: Senior Officer & SVP	C/O BANC OF AMERICA INVESTMENT ADVISORS, 100 FEDERAL STREET, BOSTON MA 02110
Philip Susser	other: Portfolio Manager	WELLS CAPITAL MANAGEMENT, 525 MARKET STREET, 10TH FLOOR, SAN FRANCISCO CA 94105
Rahim Shad	other: Portfolio Manager	1555 PEACHTREE STREET NE SUITE 1800, ATLANTA GA 30309
Adrien Deberghes	officer: Vice President,PFO & Treasurer	1555 PEACHTREE STREET NE SUITE 1800, ATLANTA GA 30309
Niklas Nordenfelt	other: Portfolio Manager	1555 PEACHTREE STREET NE SUITE 1800, ATLANTA GA 30309
Laura Allison Dukes	officer: SMD and CFO	780 JOHNSON FERRY ROAD, SUITE 800, ATLANTA GA 30342
Loren M Starr	director
Annette Lege	director, officer: CFO & CAO	1555 PEACHTREE ST. NE, SUITE 1800, ATLANTA GA 30309
Kevin M Carome	director