Banco Beneish M Score

BCH Stock  USD 21.84  0.47  2.11%   
This module uses fundamental data of Banco De to approximate the value of its Beneish M Score. Banco De 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. Continue to Banco De Piotroski F Score and Banco De Altman Z Score analysis.
  
The current Total Debt is estimated to decrease to about 9398.2 B. The current Issuance Repayment of Debt Securities is estimated to decrease to about 1504.9 B. Banco De Enterprise Value over EBIT is increasing as compared to previous years. The last year's value of Enterprise Value over EBIT was reported at 19.55. The current Enterprise Value over EBITDA is estimated to increase to 20.66, while Book Value per Share is projected to decrease to 9,556.
At this time, it appears that Banco De Chile is an unlikely manipulator. The earnings manipulation may begin if Banco De'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 Banco De 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 Banco De'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.
-3.62
Beneish M Score - Unlikely Manipulator
Elasticity of ReceivablesN/AFocus
Asset QualityN/AFocus
Expense Coverage1.13Focus
Gross Margin Strengs0.99Focus
Accruals Factor1.13Focus
Depreciation Resistance1.09Focus
Net Sales Growth0.86Focus
Financial Leverage ConditionN/AFocus

Banco De 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 Banco De'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 Expense868.4 B891.9 B
Fairly Down
Up
Slightly volatile
Revenues2189.1 B2547.1 B
Fairly Down
Up
Slightly volatile
Property Plant and Equipment Net338 B370.9 B
Significantly Down
Up
Slightly volatile
Operating Income1214 B1530.1 B
Significantly Down
Up
Slightly volatile
Net Cash Flow from Operations3729.4 B3456.5 B
Significantly Up
Up
Slightly volatile
Gross Margin0.890.9
Fairly Down
Down
Slightly volatile
Depreciation Amortization and Accretion72.5 B88.3 B
Significantly Down
Up
Slightly volatile
Total Debt9398.2 B10476.9 B
Moderately Down
Up
Slightly volatile

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

About Banco De 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.

Operating Expenses

975.13 Billion

Banco De Operating Expenses is increasing as compared to previous years. The last year's value of Operating Expenses was reported at 1.02 Trillion

Banco De 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 Banco De. 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)
Revenues1,596.3 B1,673.62 B1,387.7 B2,214.91 B2,547.15 B2,189.14 B
Property Plant and Equipment Net215.87 B370.93 B336.76 B322.51 B370.88 B338 B
Depreciation Amortization and Accretion37.68 B70.54 B73.36 B76.8 B88.32 B72.49 B
Selling General and Administrative Expense772.11 B805.3 B776.06 B775.58 B891.91 B868.4 B
Operating Income756.59 B771.37 B509.95 B1,330.49 B1,530.07 B1,214.01 B
Net Cash Flow from Operations(1,334.74 B)1,388.97 B(2,472.36 B)3,005.64 B3,456.49 B3,729.37 B

About Banco De Fundamental Analysis

The Macroaxis Fundamental Analysis modules help investors analyze Banco De Chile's financials across various querterly and yearly statements, indicators and fundamental ratios. We help investors to determine the real value of Banco De using virtually all public information available. We use both quantitative as well as qualitative analysis to arrive at the intrinsic value of Banco De Chile 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.
Banco de Chile, together with its subsidiaries, provides banking and financial products and services to customers in Chile. Banco de Chile was founded in 1893 and is headquartered in Santiago, Chile. Banco DE is traded on New York Stock Exchange in the United States.

Be your own money manager

Our tools can tell you how much better you can do entering a position in Banco De without increasing your portfolio risk or giving up the expected return. As an individual investor, you need to find a reliable way to track all your investment portfolios. However, your requirements will often be based on how much of the process you decide to do yourself. In addition to allowing all investors analytical transparency into all their portfolios, our tools can evaluate risk-adjusted returns of your individual positions relative to your overall portfolio.

Did you try this?

Run Commodity Channel Index Now

   

Commodity Channel Index

Use Commodity Channel Index to analyze current equity momentum
All  Next Launch Module

Pair Trading with Banco De

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 Banco De 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 Banco De will appreciate offsetting losses from the drop in the long position's value.

Moving together with Banco De

+0.86KBKB Financial Group Earnings Call TomorrowPairCorr
+0.81WFWoori Financial Group Earnings Call This WeekPairCorr

Moving against Banco De

-0.77STELStellar Bancorp Symbol ChangePairCorr
-0.63BAPCredicorp Earnings Call This WeekPairCorr
-0.6HMNHorace Mann Educators Earnings Call TomorrowPairCorr
-0.58NICNicolet Bankshares Symbol ChangePairCorr
The ability to find closely correlated positions to Banco De could be a great tool in your tax-loss harvesting strategies, allowing investors a quick way to find a similar-enough asset to replace Banco De 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 Banco De - 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 Banco De Chile to buy it.
The correlation of Banco De 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 Banco De moves, either up or down, the other security will move in the same direction. Alternatively, perfect negative correlation means that if Banco De Chile 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 Banco De 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
Continue to Banco De Piotroski F Score and Banco De Altman Z Score analysis. Note that the Banco De Chile information on this page should be used as a complementary analysis to other Banco De'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 Balance Of Power module to check stock momentum by analyzing Balance Of Power indicator and other technical ratios.

Complementary Tools for Banco Stock analysis

When running Banco De Chile price analysis, check to measure Banco De'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 Banco De is operating at the current time. Most of Banco De's value examination focuses on studying past and present price action to predict the probability of Banco De's future price movements. You can analyze the entity against its peers and financial market as a whole to determine factors that move Banco De's price. Additionally, you may evaluate how the addition of Banco De to your portfolios can decrease your overall portfolio volatility.
Idea Optimizer
Use advanced portfolio builder with pre-computed micro ideas to build optimal portfolio
Pair Correlation
Compare performance and examine fundamental relationship between any two equity instruments
ETF Directory
Find actively traded Exchange Traded Funds (ETF) from around the world
Technical Analysis
Check basic technical indicators and analysis based on most latest market data
Piotroski F Score
Get Piotroski F Score based on binary analysis strategy of nine different fundamentals
Options Analysis
Analyze and evaluate options and option chains as a potential hedge for your portfolios
Global Correlations
Find global opportunities by holding instruments from different markets
Sync Your Broker
Sync your existing holdings, watchlists, positions or portfolios from thousands of online brokerage services, banks, investment account aggregators and robo-advisors.
Transaction History
View history of all your transactions and understand their impact on performance
Cryptocurrency Center
Build and monitor diversified portfolio of extremely risky digital assets and cryptocurrency
Risk-Return Analysis
View associations between returns expected from investment and the risk you assume
Is Banco De'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 Banco De. If investors know Banco 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 Banco De 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
0.221
Market Capitalization
11.1 B
Quarterly Revenue Growth
0.23
Return On Assets
0.0263
Return On Equity
0.3104
The market value of Banco De Chile is measured differently than its book value, which is the value of Banco that is recorded on the company's balance sheet. Investors also form their own opinion of Banco De's value that differs from its market value or its book value, called intrinsic value, which is Banco De'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 Banco De's market value can be influenced by many factors that don't directly affect Banco De'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 Banco De's value and its price as these two are different measures arrived at by different means. Investors typically determine Banco De value by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Banco De'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.