Abcam Beneish M Score

ABCM
 Stock
  

USD 15.61  0.37  2.43%   

This module uses fundamental data of Abcam Plc to approximate the value of its Beneish M Score. Abcam Plc M Score tells investors if the company management is likely to be manipulating earnings. The score is calculated using eight financial indicators that are adjusted by a specific multiplier. Please note, the M Score is a probabilistic model and cannot detect companies that manipulate their earnings with 100% accuracy. Please continue to Abcam Plc Piotroski F Score and Abcam Plc Altman Z Score analysis.
  
Abcam Plc Debt Current is relatively stable at the moment as compared to the past year. The company's current value of Debt Current is estimated at 147.8 Million. Debt Non Current is expected to hike to about 94.7 M this year, although the value of Total Debt will most likely fall to nearly 206.5 M. Abcam Plc Profit Margin is relatively stable at the moment as compared to the past year. The company's current value of Profit Margin is estimated at 0.0129. Return on Sales is expected to hike to 0.005542 this year, although the value of Debt to Equity Ratio will most likely fall to 0.55.
At this time, it appears that Abcam Plc ADR is an unlikely manipulator. The earnings manipulation may begin if Abcam Plc's top management creates an artificial sense of financial success, forcing the stock price to be traded at a high price-earnings multiple than it should be. In general, excessive earnings management by Abcam Plc executives may lead to removing some of the operating profits from subsequent periods to inflate earnings in the following periods. This way, the manipulation of Abcam Plc's earnings can lead to misrepresentations of actual financial condition, taking the otherwise loyal stakeholders on to the path of questionable ethical practices and plain fraud.
-2.86
Beneish M Score - Unlikely Manipulator
Elasticity of Receivables1.04Focus
Asset Quality0.95Focus
Expense Coverage0.94Focus
Gross Margin Strengs1.02Focus
Accruals Factor0.94Focus
Depreciation ResistanceN/AFocus
Net Sales Growth0.97Focus
Financial Leverage Condition1.02Focus

Abcam Plc Beneish M-Score Indicator Trends

The cure to earnings manipulation is the transparency of financial reporting. It will typically remove the temptation of the top executives to inflate earnings (i.e., to promote the idea of 'winning at any cost'). Because a healthy internal audit department can enhance transparency, the board should promote the auditors' access to all the record-keeping systems across the enterprise. For example, if Abcam Plc's auditors report directly to the board (not management), the managers will be reluctant to manipulate simply due to the fear of punishment. On the other hand, the auditors will be free to investigate the ledgers properly because they know that the board has their back.
Current ValueLast YearChange From Last Year 10 Year Trend
Revenues352.1 M362.7 M
Sufficiently Down
Increasing
Slightly volatile
Selling General and Administrative Expense198.6 M218.2 M
Significantly Down
Increasing
Slightly volatile
Net Cash Flow from Operations65.1 M65 M
Slightly Up
Decreasing
Slightly volatile
Total AssetsB1.1 B
Moderately Down
Increasing
Slightly volatile
Investments4.3 MM
Notably Up
Increasing
Slightly volatile
Investments Non Current4.3 MM
Notably Up
Increasing
Slightly volatile
Property Plant and Equipment Net168 M186 M
Moderately Down
Increasing
Slightly volatile
Trade and Non Trade Receivables54.6 M54.3 M
Slightly Up
Increasing
Slightly volatile
Total Liabilities334.8 M379.5 M
Fairly Down
Increasing
Slightly volatile
Current Assets255.8 M243.2 M
Sufficiently Up
Increasing
Slightly volatile
Assets Non Current773.3 M890.8 M
Fairly Down
Increasing
Slightly volatile
Current Liabilities189 M215.3 M
Fairly Down
Increasing
Slightly volatile
Liabilities Non Current145.8 M164.2 M
Fairly Down
Increasing
Slightly volatile
Total Debt206.5 M206.7 M
Slightly Down
Decreasing
Slightly volatile
Debt Current147.8 M147.7 M
Slightly Up
Increasing
Slightly volatile
Debt Non Current94.7 M91.2 M
Sufficiently Up
Decreasing
Slightly volatile
Operating Income6.6 M6.4 M
Fairly Up
Decreasing
Slightly volatile
Gross Margin0.840.82
Fairly Up
Increasing
Slightly volatile

Abcam Plc ADR Beneish M-Score Driver Matrix

One of the toughest challenges investors face today is learning how to quickly synthesize historical financial statements and information provided by the company, SEC reporting, and various external parties in order to detect the potential manipulation of earnings. Understanding the correlation between Abcam Plc's different financial indicators related to revenue, expenses, operating profit, and net earnings helps investors identify and prioritize their investing strategies towards Abcam Plc in a much-optimized way. Analyzing correlations between earnings drivers directly associated with dollar figures is the most effective way to find Abcam Plc's degree of accounting gimmicks and manipulations.

About Abcam Plc Beneish M Score

M-Score is one of many grading techniques for value stocks. It was developed by Professor M. Daniel Beneish of the Kelley School of Business at Indiana University and published in 1999 under the paper titled The Detection of Earnings Manipulation. The Beneish score is a multi-factor model that utilizes financial identifiers to compile eight variables used to classify whether a company has manipulated its reported earnings. The variables are built from the officially filed financial statements to create a final score call 'M Score.' The score helps to identify companies that are likely to manipulate their profits if they show deteriorating gross margins, operating expenses, and leverage against growing revenue.

Earnings Before Interest Taxes and Depreciation Amortization EBITDA

1.85 Million

Abcam Plc Earnings Before Interest Taxes and Depreciation Amortization EBITDA are relatively stable at the moment as compared to the past year. The company's current value of Earnings Before Interest Taxes and Depreciation Amortization EBITDA is estimated at 1.85 Million

About Abcam Plc Fundamental Analysis

The Macroaxis Fundamental Analysis modules help investors analyze Abcam Plc ADR's financials across various querterly and yearly statements, indicators and fundamental ratios. We help investors to determine the real value of Abcam Plc using virtually all public information available. We use both quantitative as well as qualitative analysis to arrive at the intrinsic value of Abcam Plc ADR based on its fundamental data. In general, a quantitative approach, as applied to this company, focuses on analyzing financial statements comparatively, whereas a qaualitative method uses data that is important to a company's growth but cannot be measured and presented in a numerical way.
Please read more on our fundamental analysis page.
Abcam plc, a life science company, focuses on identifying, developing, and distributing reagents and tools for scientific research, diagnostics, and drug discovery. Abcam plc was incorporated in 1998 and is headquartered in Cambridge, the United Kingdom. Abcam Plc operates under Biotechnology classification in the United States and is traded on NASDAQ Exchange. It employs 1650 people.
Some investors attempt to determine whether the market's mood is bullish or bearish by monitoring changes in market sentiment. Unlike more traditional methods such as technical analysis, investor sentiment usually refers to the aggregate attitude towards Abcam Plc in the overall investment community. So, suppose investors can accurately measure the market's sentiment. In that case, they can use it for their benefit. For example, some tools to gauge market sentiment could be utilized using contrarian indexes, Abcam Plc's short interest history, or implied volatility extrapolated from Abcam Plc options trading.

Pair Trading with Abcam Plc

One of the main advantages of trading using pair correlations is that every trade hedges away some risk. Because there are two separate transactions required, even if Abcam Plc position performs unexpectedly, the other equity can make up some of the losses. Pair trading also minimizes risk from directional movements in the market. For example, if an entire industry or sector drops because of unexpected headlines, the short position in Abcam Plc will appreciate offsetting losses from the drop in the long position's value.

Moving against Abcam Plc

0.51ACURAcura Pharma Cmn Earnings Call  ShortlyPairCorr
The ability to find closely correlated positions to Abcam Plc could be a great tool in your tax-loss harvesting strategies, allowing investors a quick way to find a similar-enough asset to replace Abcam Plc when you sell it. If you don't do this, your portfolio allocation will be skewed against your target asset allocation. So, investors can't just sell and buy back Abcam Plc - that would be a violation of the tax code under the "wash sale" rule, and this is why you need to find a similar enough asset and use the proceeds from selling Abcam Plc ADR to buy it.
The correlation of Abcam Plc is a statistical measure of how it moves in relation to other equities. This measure is expressed in what is known as the correlation coefficient, which ranges between -1 and +1. A perfect positive correlation (i.e., a correlation coefficient of +1) implies that as Abcam Plc moves, either up or down, the other security will move in the same direction. Alternatively, perfect negative correlation means that if Abcam Plc ADR moves in either direction, the perfectly negatively correlated security will move in the opposite direction. If the correlation is 0, the equities are not correlated; they are entirely random. A correlation greater than 0.8 is generally described as strong, whereas a correlation less than 0.5 is generally considered weak.
Correlation analysis and pair trading evaluation for Abcam Plc can also be used as hedging techniques within a particular sector or industry or even over random equities to generate a better risk-adjusted return on your portfolios.
Pair CorrelationCorrelation Matching
Please continue to Abcam Plc Piotroski F Score and Abcam Plc Altman Z Score analysis. Note that the Abcam Plc ADR information on this page should be used as a complementary analysis to other Abcam Plc's statistical models used to find the right mix of equity instruments to add to your existing portfolios or create a brand new portfolio. You can also try Focused Opportunities module to build portfolios using our predefined set of ideas and optimize them against your investing preferences.

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When running Abcam Plc ADR price analysis, check to measure Abcam Plc's market volatility, profitability, liquidity, solvency, efficiency, growth potential, financial leverage, and other vital indicators. We have many different tools that can be utilized to determine how healthy Abcam Plc is operating at the current time. Most of Abcam Plc's value examination focuses on studying past and present price action to predict the probability of Abcam Plc's future price movements. You can analyze the entity against its peers and financial market as a whole to determine factors that move Abcam Plc's price. Additionally, you may evaluate how the addition of Abcam Plc to your portfolios can decrease your overall portfolio volatility.
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Is Abcam Plc's industry expected to grow? Or is there an opportunity to expand the business' product line in the future? Factors like these will boost the valuation of Abcam Plc. If investors know Abcam will grow in the future, the company's valuation will be higher. The financial industry is built on trying to define current growth potential and future valuation accurately. All the valuation information about Abcam Plc listed above have to be considered, but the key to understanding future value is determining which factors weigh more heavily than others.
Quarterly Earnings Growth YOY
-0.58
Market Capitalization
3.5 B
Quarterly Revenue Growth YOY
0.23
Return On Assets
0.0326
Return On Equity
0.0069
The market value of Abcam Plc ADR is measured differently than its book value, which is the value of Abcam that is recorded on the company's balance sheet. Investors also form their own opinion of Abcam Plc's value that differs from its market value or its book value, called intrinsic value, which is Abcam Plc's true underlying value. Investors use various methods to calculate intrinsic value and buy a stock when its market value falls below its intrinsic value. Because Abcam Plc's market value can be influenced by many factors that don't directly affect Abcam Plc's underlying business (such as a pandemic or basic market pessimism), market value can vary widely from intrinsic value.
Please note, there is a significant difference between Abcam Plc's value and its price as these two are different measures arrived at by different means. Investors typically determine Abcam Plc value by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Abcam Plc's price is the amount at which it trades on the open market and represents the number that a seller and buyer find agreeable to each party.