Sirius Beneish M Score

SIRI -  USA Stock  

USD 6.34  0.09  1.40%

This module uses fundamental data of Sirius XM to approximate the value of its Beneish M Score. Sirius XM 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. Additionally, take a look at Sirius XM Piotroski F Score and Sirius XM Altman Z Score analysis.

Search Beneish M Score 

 
Refresh
Sirius XM Debt Non Current is most likely to increase significantly in the upcoming years. The last year's value of Debt Non Current was reported at 5.26 Billion. The current Long Term Debt to Equity is estimated to increase to 4.86, while Issuance Repayment of Debt Securities is projected to decrease to roughly 272.8 M. Sirius XM Calculated Tax Rate is most likely to increase significantly in the upcoming years. The last year's value of Calculated Tax Rate was reported at 69.53. The current Receivables Turnover is estimated to increase to 14.24, while PPandE Turnover is projected to decrease to 3.92.
At this time, it appears that Sirius XM Holdings is an unlikely manipulator. The earnings manipulation may begin if Sirius XM'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 Sirius XM 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 Sirius XM'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.
-2.83
Beneish M Score - Unlikely Manipulator
Elasticity of Receivables
0.81
Asset Quality
0.95
Expense Coverage
0.75
Gross Margin Strengs
1.16
Accruals Factor
0.75
Depreciation Resistance
1.11
Net Sales Growth
1.08
Financial Leverage Condition
1.01

Sirius XM 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 Sirius XM'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
Revenues8.7 BB
Significantly Up
Increasing
Slightly volatile
Selling General and Administrative Expense906 M1.1 B
Significantly Down
Increasing
Slightly volatile
Net Cash Flow from Operations1.6 BB
Significantly Down
Increasing
Slightly volatile
Depreciation Amortization and Accretion205.7 M242.1 M
Fairly Down
Increasing
Slightly volatile
Total Assets9.1 B10.3 B
Fairly Down
Increasing
Slightly volatile
InvestmentsM6.8 M
Fairly Up
Decreasing
Slightly volatile
Investments Current41.3 M40.2 M
Fairly Up
Decreasing
Slightly volatile
Investments Non CurrentM6.8 M
Fairly Up
Increasing
Slightly volatile
Property Plant and Equipment Net1.2 B1.3 B
Sufficiently Down
Decreasing
Slightly volatile
Trade and Non Trade Receivables175.9 M200.7 M
Fairly Down
Increasing
Slightly volatile
Total Liabilities10.2 B12.6 B
Significantly Down
Increasing
Slightly volatile
Current Assets1.1 B967 M
Moderately Up
Decreasing
Slightly volatile
Assets Non Current5.3 B6.6 B
Significantly Down
Increasing
Slightly volatile
Current Liabilities2.8 B3.2 B
Fairly Down
Increasing
Slightly volatile
Liabilities Non Current5.9 B5.5 B
Significantly Up
Increasing
Slightly volatile
Total Debt5.7 B5.3 B
Significantly Up
Increasing
Slightly volatile
Debt Current6.5 M6.3 M
Fairly Up
Decreasing
Stable
Debt Non Current5.7 B5.3 B
Significantly Up
Increasing
Slightly volatile
Operating Income936.2 M858 M
Significantly Up
Increasing
Slightly volatile
Gross Margin64.2155.4851
Fairly Up
Decreasing
Slightly volatile

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

About Sirius XM 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

205.72 MillionShare
Sirius XM Depreciation Amortization and Accretion is most likely to increase significantly in the upcoming years. The last year's value of Depreciation Amortization and Accretion was reported at 242.08 Million

Sirius XM 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 Sirius XM. 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.
201620172018201920202021 (projected)
Revenues5.02 B5.43 B5.77 B7.79 B8.04 B8.67 B
Total Assets8 B8.33 B8.17 B11.15 B10.33 B9.08 B
Current Assets642.65 M470.9 M478.23 M1 B967 M1.1 B
Total Liabilities8.8 B9.85 B9.99 B11.88 B12.62 B10.22 B
Current Liabilities2.67 B2.82 B2.8 B3.29 B3.17 B2.79 B
Operating Income1.43 B1.64 B1.73 B1.65 B858 M936.23 M
Gross Margin60.2761.2559.9956.0355.4964.21

About Sirius XM Fundamental Analysis

The Macroaxis Fundamental Analysis modules help investors analyze Sirius XM Holdings's financials across various querterly and yearly statements, indicators and fundamental ratios. We help investors to determine the real value of Sirius XM using virtually all public information available. We use both quantitative as well as qualitative analysis to arrive at the intrinsic value of Sirius XM Holdings 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.
Sirius XM Holdings Inc. provides satellite radio services on a subscription fee basis in the United States. Sirius XM Holdings Inc. is a subsidiary of Liberty Media Corporation. Sirius XM operates under Broadcasting classification in the United States and is traded on NASDAQ Exchange. It employs 5726 people.

Be your own money manager

Our tools can tell you how much better you can do entering a position in Sirius XM without increasing your portfolio risk or giving up 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 Watchlist Optimization Now

   

Watchlist Optimization

Optimize watchlists to build efficient portfolio or rebalance existing positions based on mean-variance optimization algorithm
All  Next Launch Module

Currently Active Assets on Macroaxis

Additionally, take a look at Sirius XM Piotroski F Score and Sirius XM Altman Z Score analysis. Note that the Sirius XM Holdings information on this page should be used as a complementary analysis to other Sirius XM'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 Theme Ratings module to determine theme ratings based on digital equity recommendations. Macroaxis theme ratings are based on combination of fundamental analysis and risk-adjusted market performance.

Complementary Tools for Sirius Stock analysis

When running Sirius XM Holdings price analysis, check to measure Sirius XM'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 Sirius XM is operating at the current time. Most of Sirius XM's value examination focuses on studying past and present price action to predict the probability of Sirius XM's future price movements. You can analyze the entity against its peers and financial market as a whole to determine factors that move Sirius XM's price. Additionally, you may evaluate how the addition of Sirius XM to your portfolios can decrease your overall portfolio volatility.
Alpha Finder
Use alpha and beta coefficients to find investment opportunities after accounting for the risk
Go
My Watchlist Analysis
Analyze my current watchlist and to refresh optimization strategy. Macroaxis watchlist is based on self-learning algorithm to remember stocks you like
Go
Pair Correlation
Compare performance and examine fundamental relationship between any two equity instruments
Go
CEO Directory
Screen CEOs from public companies around the world
Go
Analyst Recommendations
Analyst recommendations and target price estimates broken down by several categories
Go
Global Correlations
Find global opportunities by holding instruments from different markets
Go
Volatility Analysis
Get historical volatility and risk analysis based on latest market data
Go
Idea Analyzer
Analyze all characteristics, volatility and risk-adjusted return of Macroaxis ideas
Go
Money Managers
Screen money managers from public funds and ETFs managed around the world
Go
Portfolio Suggestion
Get suggestions outside of your existing asset allocation including your own model portfolios
Go
Balance Of Power
Check stock momentum by analyzing Balance Of Power indicator and other technical ratios
Go
Price Ceiling Movement
Calculate and plot Price Ceiling Movement for different equity instruments
Go
Portfolio Comparator
Compare the composition, asset allocations and performance of any two portfolios in your account
Go
The market value of Sirius XM Holdings is measured differently than its book value, which is the value of Sirius that is recorded on the company's balance sheet. Investors also form their own opinion of Sirius XM's value that differs from its market value or its book value, called intrinsic value, which is Sirius XM'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 Sirius XM's market value can be influenced by many factors that don't directly affect Sirius XM Holdings underlying business (such as pandemic or basic market pessimism), market value can vary widely from intrinsic value.
Please note, there is a significant difference between Sirius XM's value and its price as these two are different measures arrived at by different means. Investors typically determine Sirius XM value by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Sirius XM'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.