Addus Beneish M Score

Stocks . USA . 
Stock . Addus HomeCare
ADUS Stock  USD 93.84  0.41  0.44%   
This module uses fundamental data of Addus HomeCare to approximate the value of its Beneish M Score. Addus HomeCare 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. Check out Addus HomeCare Piotroski F Score and Addus HomeCare Altman Z Score analysis. For more information on how to buy Addus Stock please use our How to Invest in Addus HomeCare guide.
  
Addus HomeCare Debt Current is comparatively stable at the moment as compared to the past year. Addus HomeCare reported Debt Current of 12.42 Million in 2022. Debt to Equity Ratio is likely to gain to 0.53 in 2023, whereas Total Debt is likely to drop slightly above 142.6 M in 2023. Addus HomeCare Quick Ratio is comparatively stable at the moment as compared to the past year. Addus HomeCare reported Quick Ratio of 1.51 in 2022. Net Current Assets as percentage of Total Assets is likely to gain to 10.03 in 2023, whereas Receivables Turnover is likely to drop 5.75 in 2023.
At this time, it appears that Addus HomeCare is an unlikely manipulator. The earnings manipulation may begin if Addus HomeCare'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 Addus HomeCare 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 Addus HomeCare'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.
-2.68
Beneish M Score - Unlikely Manipulator
Elasticity of Receivables1.19Focus
Asset Quality0.89Focus
Expense Coverage0.97Focus
Gross Margin Strengs1.05Focus
Accruals Factor0.97Focus
Depreciation Resistance1.22Focus
Net Sales Growth0.84Focus
Financial Leverage Condition1.01Focus

Addus HomeCare 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 Addus HomeCare'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
Selling General and Administrative Expense177 M216.9 M
Significantly Down
Slightly volatile
Revenues802.3 M951.1 M
Fairly Down
Slightly volatile
Trade and Non Trade Receivables126 M125.5 M
Slightly Up
Slightly volatile
Property Plant and Equipment Net64.9 M60.2 M
Significantly Up
Slightly volatile
Operating Income74.2 M68.7 M
Significantly Up
Slightly volatile
Net Cash Flow from Operations113.4 M105.1 M
Significantly Up
Slightly volatile
Liabilities Non Current187 M173.3 M
Significantly Up
Slightly volatile
Current Liabilities112 M131.1 M
Fairly Down
Slightly volatile
Total Liabilities247.7 M304.5 M
Significantly Down
Slightly volatile
Investments Non Current805.3 K810 K
Slightly Down
Slightly volatile
Investments805.3 K810 K
Slightly Down
Slightly volatile
Gross Margin0.330.315
Sufficiently Up
Slightly volatile
Depreciation Amortization and Accretion11.9 M14.1 M
Fairly Down
Slightly volatile
Debt Non Current135.7 M167.3 M
Significantly Down
Slightly volatile
Debt Current13.4 M12.4 M
Significantly Up
Slightly volatile
Total Debt142.6 M178.1 M
Significantly Down
Slightly volatile
Assets Non Current771.6 M715.2 M
Significantly Up
Slightly volatile
Current Assets219.2 M222.8 M
Fairly Down
Slightly volatile
Total Assets753.9 M938 M
Significantly Down
Slightly volatile

Addus HomeCare 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 Addus HomeCare's different financial indicators related to revenue, expenses, operating profit, and net earnings helps investors identify and prioritize their investing strategies towards Addus HomeCare in a much-optimized way. Analyzing correlations between earnings drivers directly associated with dollar figures is the most effective way to find Addus HomeCare's degree of accounting gimmicks and manipulations.
Click cells to compare fundamentals

About Addus HomeCare 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.

Depreciation Amortization and Accretion

11.95 Million

Addus HomeCare Depreciation Amortization and Accretion is comparatively stable at the moment as compared to the past year. Addus HomeCare reported Depreciation Amortization and Accretion of 14.06 Million in 2022

Addus HomeCare Earnings Manipulation Drivers

Although earnings manipulation is typically not the result of intentional misconduct by the c-level executives, it is still a widespread practice by the senior management of public companies such as Addus HomeCare. It is usually done by a series of misrepresentations of various accounting rules and operating activities across multiple financial cycles. The best way to spot the manipulation is to examine the historical financial statement to find inconsistencies in earning reports to find trends in assets or liabilities that are not sustainable in the future.
201820192020202120222023 (projected)
Revenues516.65 M648.79 M764.77 M864.5 M951.12 M802.31 M
Total Assets348.09 M636.75 M892.58 M947.59 M937.99 M753.94 M
Current Assets176.01 M269.39 M287.7 M324.34 M222.81 M219.24 M
Assets Non Current172.08 M367.36 M604.88 M623.24 M715.19 M771.65 M
Total Liabilities79.6 M161.16 M373.91 M373.24 M304.45 M247.73 M
Current Liabilities61.5 M87.53 M143.9 M117.69 M131.15 M112 M
Total Debt17.28 M74.19 M230.39 M253.77 M178.05 M142.62 M
Debt Current62 K728 K971 K10.8 M12.42 M13.4 M
Debt Non Current17.22 M73.47 M229.42 M253.77 M167.25 M135.75 M
Operating Income22.83 M34.75 M44.51 M65.94 M68.74 M74.16 M

About Addus HomeCare Fundamental Analysis

The Macroaxis Fundamental Analysis modules help investors analyze Addus HomeCare's financials across various querterly and yearly statements, indicators and fundamental ratios. We help investors to determine the real value of Addus HomeCare using virtually all public information available. We use both quantitative as well as qualitative analysis to arrive at the intrinsic value of Addus HomeCare 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.
Addus HomeCare Corporation, together with its subsidiaries, provides personal care services to elderly, chronically ill, disabled persons, and individuals who are at risk of hospitalization or institutionalization in the United States. Addus HomeCare Corporation was founded in 1979 and is based in Frisco, Texas. Addus Homecare operates under Medical Care Facilities classification in the United States and is traded on NASDAQ Exchange. It employs 5416 people.

Addus HomeCare Investors Sentiment

The influence of Addus HomeCare's investor sentiment on the probability of its price appreciation or decline could be a good factor in your decision-making process regarding taking a position in Addus. The overall investor sentiment generally increases the direction of a stock movement in a one-year investment horizon. However, the impact of investor sentiment on the entire stock market does not have solid backing from leading economists and market statisticians.
Investor biases related to Addus HomeCare's public news can be used to forecast risks associated with an investment in Addus. The trend in average sentiment can be used to explain how an investor holding Addus can time the market purely based on public headlines and social activities around Addus HomeCare. Please note that most equities that are difficult to arbitrage are affected by market sentiment the most.
Addus HomeCare's market sentiment shows the aggregated news analyzed to detect positive and negative mentions from the text and comments. The data is normalized to provide daily scores for Addus HomeCare's and other traded tickers. The bigger the bubble, the more accurate is the estimated score. Higher bars for a given day show more participation in the average Addus HomeCare's news discussions. The higher the estimated score, the more favorable is the investor's outlook on Addus HomeCare.
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 Addus HomeCare 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, Addus HomeCare's short interest history, or implied volatility extrapolated from Addus HomeCare options trading.

Pair Trading with Addus HomeCare

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 Addus HomeCare 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 Addus HomeCare will appreciate offsetting losses from the drop in the long position's value.

Moving against Addus Stock

-0.76VREXVarex Imaging Corp Fiscal Quarter End 30th of June 2023 PairCorr
-0.51OMOutset MedicalInc Fiscal Quarter End 30th of June 2023 PairCorr
-0.41ELMDElectromed Fiscal Quarter End 30th of June 2023 PairCorr
The ability to find closely correlated positions to Addus HomeCare could be a great tool in your tax-loss harvesting strategies, allowing investors a quick way to find a similar-enough asset to replace Addus HomeCare 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 Addus HomeCare - 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 Addus HomeCare to buy it.
The correlation of Addus HomeCare 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 Addus HomeCare moves, either up or down, the other security will move in the same direction. Alternatively, perfect negative correlation means that if Addus HomeCare 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 Addus HomeCare 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
Check out Addus HomeCare Piotroski F Score and Addus HomeCare Altman Z Score analysis. For more information on how to buy Addus Stock please use our How to Invest in Addus HomeCare guide. You can also try the CEO Directory module to screen CEOs from public companies around the world.

Complementary Tools for Addus Stock analysis

When running Addus HomeCare's price analysis, check to measure Addus HomeCare'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 Addus HomeCare is operating at the current time. Most of Addus HomeCare's value examination focuses on studying past and present price action to predict the probability of Addus HomeCare's future price movements. You can analyze the entity against its peers and the financial market as a whole to determine factors that move Addus HomeCare's price. Additionally, you may evaluate how the addition of Addus HomeCare to your portfolios can decrease your overall portfolio volatility.
Portfolio Volatility
Check portfolio volatility and analyze historical return density to properly model market risk
CEO Directory
Screen CEOs from public companies around the world
Crypto Correlations
Use cryptocurrency correlation module to diversify your cryptocurrency portfolio across multiple coins
Performance Analysis
Check effects of mean-variance optimization against your current asset allocation
Price Exposure Probability
Analyze equity upside and downside potential for a given time horizon across multiple markets
Theme Ratings
Determine theme ratings based on digital equity recommendations. Macroaxis theme ratings are based on combination of fundamental analysis and risk-adjusted market performance
Is Addus HomeCare'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 Addus HomeCare. If investors know Addus 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 Addus HomeCare 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
0.472
Earnings Share
3.19
Revenue Per Share
61.406
Quarterly Revenue Growth
0.11
Return On Assets
0.0506
The market value of Addus HomeCare is measured differently than its book value, which is the value of Addus that is recorded on the company's balance sheet. Investors also form their own opinion of Addus HomeCare's value that differs from its market value or its book value, called intrinsic value, which is Addus HomeCare'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 Addus HomeCare's market value can be influenced by many factors that don't directly affect Addus HomeCare's underlying business (such as a pandemic or basic market pessimism), market value can vary widely from intrinsic value.
Altman
Z Score
Details
Piotroski
F Score
Details
Beneish
M Score
Details
Financial
Analysis
Details
Buy or Sell
Advice
Details
Earnings
Projections
Details
Please note, there is a significant difference between Addus HomeCare's value and its price as these two are different measures arrived at by different means. Investors typically determine if Addus HomeCare is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Addus HomeCare'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.


 
Macroaxis helps investors of all levels and skills to maximize the upside of all their holdings and minimize the risk associated with market volatility, economic swings, and company-specific events. View terms and conditions
 
Feedback Blog
Made with optimal in San Francisco
2023 Macroaxis LLC
COMMON DESTINATIONS
MAIN CATEGORIES
COMPANY