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Ovostar Union PCL (WAR:OVO) Beneish M-Score : -3.58 (As of Jun. 22, 2024)


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What is Ovostar Union PCL Beneish M-Score?

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 -3.58 no higher than -1.78, which implies that the company is unlikely to be a manipulator.

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

WAR:OVO' s Beneish M-Score Range Over the Past 10 Years
Min: -6.8   Med: -2.49   Max: -1.57
Current: -3.58

During the past 13 years, the highest Beneish M-Score of Ovostar Union PCL was -1.57. The lowest was -6.80. And the median was -2.49.


Ovostar Union PCL Beneish M-Score Historical Data

The historical data trend for Ovostar Union PCL'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.

Ovostar Union PCL Beneish M-Score Chart

Ovostar Union PCL Annual Data
Trend Dec14 Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23
Beneish M-Score
Get a 7-Day Free Trial Premium Member Only Premium Member Only -6.57 -3.53 -2.74 -2.76 -4.51

Ovostar Union PCL Quarterly Data
Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24
Beneish M-Score Get a 7-Day Free Trial 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 -2.06 -3.84 -4.41 -4.51 -3.58

Competitive Comparison of Ovostar Union PCL's Beneish M-Score

For the Farm Products subindustry, Ovostar Union PCL'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.


Ovostar Union PCL's Beneish M-Score Distribution in the Consumer Packaged Goods Industry

For the Consumer Packaged Goods industry and Consumer Defensive sector, Ovostar Union PCL's Beneish M-Score distribution charts can be found below:

* The bar in red indicates where Ovostar Union PCL's Beneish M-Score falls into.



Ovostar Union PCL 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 Ovostar Union PCL 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 * 0.7182+0.528 * 0.7654+0.404 * 1.0709+0.892 * 0.972+0.115 * 0.9587
-0.172 * SGAI+4.679 * TATA-0.327 * LVGI
-0.172 * 0.9949+4.679 * -0.183301-0.327 * 0.5547
=-3.58

* 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 (Mar24) TTM:Last Year (Mar23) TTM:
Total Receivables was zł68.9 Mil.
Revenue was 144.275 + 159.552 + 139.009 + 167.399 = zł610.2 Mil.
Gross Profit was 40.629 + 80.745 + 63.288 + 61.516 = zł246.2 Mil.
Total Current Assets was zł437.8 Mil.
Total Assets was zł572.7 Mil.
Property, Plant and Equipment(Net PPE) was zł108.8 Mil.
Depreciation, Depletion and Amortization(DDA) was zł13.3 Mil.
Selling, General, & Admin. Expense(SGA) was zł51.1 Mil.
Total Current Liabilities was zł45.6 Mil.
Long-Term Debt & Capital Lease Obligation was zł0.0 Mil.
Net Income was 27.961 + 63.725 + 33.923 + 47.182 = zł172.8 Mil.
Non Operating Income was 0 + 0 + 0 + 0 = zł0.0 Mil.
Cash Flow from Operations was 26.748 + 75.03 + 44.136 + 131.862 = zł277.8 Mil.
Total Receivables was zł98.7 Mil.
Revenue was 191.332 + 183.392 + 136.348 + 116.759 = zł627.8 Mil.
Gross Profit was 47.643 + 29.551 + 104.568 + 12.094 = zł193.9 Mil.
Total Current Assets was zł304.4 Mil.
Total Assets was zł447.8 Mil.
Property, Plant and Equipment(Net PPE) was zł124.3 Mil.
Depreciation, Depletion and Amortization(DDA) was zł14.5 Mil.
Selling, General, & Admin. Expense(SGA) was zł52.9 Mil.
Total Current Liabilities was zł50.2 Mil.
Long-Term Debt & Capital Lease Obligation was zł14.1 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)
=(68.89 / 610.235) / (98.687 / 627.831)
=0.112891 / 0.157187
=0.7182

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)
=(193.856 / 627.831) / (246.178 / 610.235)
=0.308771 / 0.403415
=0.7654

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 - (437.805 + 108.779) / 572.745) / (1 - (304.358 + 124.331) / 447.788)
=0.045677 / 0.042652
=1.0709

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
=610.235 / 627.831
=0.972

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))
=(14.525 / (14.525 + 124.331)) / (13.323 / (13.323 + 108.779))
=0.104605 / 0.109114
=0.9587

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)
=(51.134 / 610.235) / (52.88 / 627.831)
=0.083794 / 0.084226
=0.9949

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)
=((0 + 45.633) / 572.745) / ((14.076 + 50.24) / 447.788)
=0.079674 / 0.14363
=0.5547

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
=(172.791 - 0 - 277.776) / 572.745
=-0.183301

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.

Ovostar Union PCL has a M-score of -3.58 suggests that the company is unlikely to be a manipulator.


Ovostar Union PCL Beneish M-Score Related Terms

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Ovostar Union PCL (WAR:OVO) Business Description

Traded in Other Exchanges
N/A
Address
22 Ierotheou Street, 4th floor, Strovolos, Nicosia, CYP, 2028
Ovostar Union PCL is a vertically integrated public holding company, manufacturer, and exporters of chicken eggs and egg products. ?It offers a range of packed shell eggs under the Yasenvit brand name and egg products under the Ovostar brand name. It includes egg albumen, egg powder, egg white, and egg yolk, among others, and is sold to companies, such as Nestle, Kraft Foods, and McDonald's, among others. Its segments are Egg, Oilseed operations and Egg Products.

Ovostar Union PCL (WAR:OVO) Headlines

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