Ford Motor Stock Beneish M Score

F Stock  USD 12.46  0.15  1.19%   
This module uses fundamental data of Ford to approximate the value of its Beneish M Score. Ford 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 Ford Piotroski F Score and Ford Altman Z Score analysis.
  
At this time, Ford's Debt To Equity is most likely to slightly decrease in the upcoming years. The Ford's current Interest Debt Per Share is estimated to increase to 68.86, while Net Debt is projected to decrease to roughly 124.1 B. At this time, Ford's Book Value Per Share is most likely to slightly grow in the upcoming years. The Ford's current Free Cash Flow Yield is estimated to increase to 0.14, while Days Sales Outstanding is projected to decrease to 119.37.
At this time, Ford's M Score is unavailable. The earnings manipulation may begin if Ford'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 Ford 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 Ford'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.
-2.67
Beneish M Score - Unavailable
Elasticity of Receivables

1.19

Focus
Asset Quality

0.87

Focus
Expense Coverage

1.17

Focus
Gross Margin Strengs

0.95

Focus
Accruals Factor

1.17

Focus
Depreciation Resistance

0.89

Focus
Net Sales Growth

0.85

Focus
Financial Leverage Condition

0.98

Focus

Ford 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 Ford'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
Net Receivables62.6 B62 B
Slightly Up
Pretty Stable
Total Revenue149.8 B176.2 B
Fairly Down
Slightly volatile
Total Assets242.5 B273.3 B
Fairly Down
Slightly volatile
Total Current Assets112.5 B121.5 B
Significantly Down
Pretty Stable
Non Current Assets Total130 B151.8 B
Fairly Down
Slightly volatile
Property Plant Equipment41.3 B33.5 B
Fairly Up
Pretty Stable
Depreciation And Amortization9.3 B6.5 B
Significantly Up
Slightly volatile
Selling General Administrative10.5 B10.5 B
Slightly Down
Pretty Stable
Total Current Liabilities73.5 B101.5 B
Way Down
Slightly volatile
Non Current Liabilities Total146.4 B129 B
Moderately Up
Slightly volatile
Short Term Debt30.1 B50.1 B
Way Down
Slightly volatile
Long Term Debt77.5 B99.6 B
Significantly Down
Slightly volatile
Operating Income6.8 B5.5 B
Fairly Up
Slightly volatile
Total Cash From Operating Activities13 B14.9 B
Fairly Down
Slightly volatile
Short Term Investments21.9 B15.3 B
Way Up
Slightly volatile
Long Term Investments5.3 B5.5 B
Notably Down
Slightly volatile
Gross Profit Margin0.08710.0917
Notably Down
Slightly volatile

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

About Ford 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.

Pretax Profit Margin

0.0376

At this time, Ford's Pretax Profit Margin is most likely to slightly decrease in the upcoming years.

Ford 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 Ford. 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.
201920202021202220232024 (projected)
Net Receivables62.9B52.4B43.9B54.4B62.0B62.6B
Total Revenue155.9B127.1B136.3B158.1B176.2B149.8B
Total Assets258.5B267.3B257.0B255.9B273.3B242.5B
Total Current Assets114.0B116.7B109.0B116.5B121.5B112.5B
Net Debt139.2B137.8B118.9B115.3B126.2B124.1B
Short Term Debt54.3B51.7B50.0B50.6B50.2B30.1B
Long Term Debt470M110.3B88.4B88.8B99.6B77.5B
Operating Income9.8B8.8B17.4B12.4B5.5B6.8B
Investments(6.1B)(13.4B)9.3B2.2B(15.2B)(14.4B)

Ford ESG Sustainability

Some studies have found that companies with high sustainability scores are getting higher valuations than competitors with lower social-engagement activities. While most ESG disclosures are voluntary and do not directly affect the long term financial condition, Ford's sustainability indicators can be used to identify proper investment strategies using environmental, social, and governance scores that are crucial to Ford's managers, analysts, and investors.
Environment Score
Governance Score
Social Score

About Ford Fundamental Analysis

The Macroaxis Fundamental Analysis modules help investors analyze Ford Motor's financials across various querterly and yearly statements, indicators and fundamental ratios. We help investors to determine the real value of Ford using virtually all public information available. We use both quantitative as well as qualitative analysis to arrive at the intrinsic value of Ford Motor 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.

Ford Investors Sentiment

The influence of Ford'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 Ford. 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 Ford's public news can be used to forecast risks associated with an investment in Ford. The trend in average sentiment can be used to explain how an investor holding Ford can time the market purely based on public headlines and social activities around Ford Motor. Please note that most equities that are difficult to arbitrage are affected by market sentiment the most.
Ford'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 Ford'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 Ford's news discussions. The higher the estimated score, the more favorable is the investor's outlook on Ford.

Ford Implied Volatility

    
  32.92  
Ford's implied volatility exposes the market's sentiment of Ford Motor stock's possible movements over time. However, it does not forecast the overall direction of its price. In a nutshell, if Ford's implied volatility is high, the market thinks the stock has potential for high price swings in either direction. On the other hand, the low implied volatility suggests that Ford stock will not fluctuate a lot when Ford's options are near their expiration.
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 Ford 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, Ford's short interest history, or implied volatility extrapolated from Ford options trading.

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When determining whether Ford Motor is a strong investment it is important to analyze Ford's competitive position within its industry, examining market share, product or service uniqueness, and competitive advantages. Beyond financials and market position, potential investors should also consider broader economic conditions, industry trends, and any regulatory or geopolitical factors that may impact Ford's future performance. For an informed investment choice regarding Ford Stock, refer to the following important reports:
Check out Ford Piotroski F Score and Ford Altman Z Score analysis.
Note that the Ford Motor information on this page should be used as a complementary analysis to other Ford'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 the Piotroski F Score module to get Piotroski F Score based on the binary analysis strategy of nine different fundamentals.

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When running Ford's price analysis, check to measure Ford'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 Ford is operating at the current time. Most of Ford's value examination focuses on studying past and present price action to predict the probability of Ford's future price movements. You can analyze the entity against its peers and the financial market as a whole to determine factors that move Ford's price. Additionally, you may evaluate how the addition of Ford to your portfolios can decrease your overall portfolio volatility.
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Is Ford'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 Ford. If investors know Ford 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 Ford 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
1.938
Dividend Share
0.6
Earnings Share
1.08
Revenue Per Share
44.07
Quarterly Revenue Growth
0.045
The market value of Ford Motor is measured differently than its book value, which is the value of Ford that is recorded on the company's balance sheet. Investors also form their own opinion of Ford's value that differs from its market value or its book value, called intrinsic value, which is Ford'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 Ford's market value can be influenced by many factors that don't directly affect Ford'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 Ford's value and its price as these two are different measures arrived at by different means. Investors typically determine if Ford is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Ford'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.