Tianjin Ruixin Technology Stock Beneish M Score

300828 Stock   14.35  0.15  1.06%   
This module uses fundamental data of Tianjin Ruixin to approximate the value of its Beneish M Score. Tianjin Ruixin 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 Trending Equities to better understand how to build diversified portfolios, which includes a position in Tianjin Ruixin Technology. Also, note that the market value of any company could be closely tied with the direction of predictive economic indicators such as signals in nation.
  
At present, Tianjin Ruixin's Short and Long Term Debt Total is projected to increase significantly based on the last few years of reporting. The current year's Short Term Debt is expected to grow to about 32.8 M, whereas Net Debt is projected to grow to (1.4 M).
At this time, Tianjin Ruixin's M Score is inapplicable. The earnings manipulation may begin if Tianjin Ruixin'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 Tianjin Ruixin 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 Tianjin Ruixin'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.
-4.78
Beneish M Score - Inapplicable
Elasticity of Receivables

0.83

Focus
Asset Quality

0.025

Focus
Expense Coverage

1.01

Focus
Gross Margin Strengs

N/A

Focus
Accruals Factor

1.01

Focus
Depreciation Resistance

N/A

Focus
Net Sales Growth

0.75

Focus
Financial Leverage Condition

1.41

Focus

Tianjin Ruixin 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 Tianjin Ruixin'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 Receivables96.8 M155.4 M
Way Down
Slightly volatile
Total Revenue499 M664.7 M
Way Down
Slightly volatile
Total Assets515.4 M862.1 M
Way Down
Slightly volatile
Total Current Assets288.3 M484.5 M
Way Down
Slightly volatile
Non Current Assets Total227 M377.6 M
Way Down
Slightly volatile
Property Plant Equipment212.9 M324.1 M
Way Down
Slightly volatile
Selling General Administrative11.3 M15 M
Way Down
Slightly volatile
Total Current Liabilities55.3 M65.3 M
Fairly Down
Slightly volatile
Non Current Liabilities Total15.3 M7.9 M
Way Up
Slightly volatile
Short Term Debt32.8 M32.4 M
Fairly Up
Pretty Stable
Long Term Debt69 M82.8 M
Significantly Down
Slightly volatile
Operating Income82.6 M82.3 M
Slightly Up
Slightly volatile
Total Cash From Operating Activities167.4 M159.4 M
Sufficiently Up
Slightly volatile
Short Term Investments98.1 M118.9 M
Significantly Down
Slightly volatile

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

About Tianjin Ruixin 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.

Reconciled Depreciation

26.27 Million

At present, Tianjin Ruixin's Reconciled Depreciation is projected to increase significantly based on the last few years of reporting.

Tianjin Ruixin 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 Tianjin Ruixin. 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 Receivables102.7M102.5M139.8M183.7M155.4M96.8M
Total Revenue333.8M368.5M574.5M765.7M664.7M499.0M
Total Assets569.4M782.9M825.6M979.6M862.1M515.4M
Total Current Assets245.5M449.3M500.1M654.0M484.5M288.3M
Non Current Assets Total323.9M333.6M325.5M325.6M377.6M227.0M
Property Plant Equipment160.4M289.2M293.5M281.8M324.1M212.9M
Selling General Administrative11.0M12.3M11.7M14.0M15.0M11.3M
Total Current Liabilities106.7M43.6M42.9M135.8M65.3M55.3M
Non Current Liabilities Total73.7M6.1M6.9M8.8M7.9M15.3M
Net Debt116.4M(38.0M)(34.7M)51.3M(1.5M)(1.4M)
Operating Income73.0M73.7M85.6M105.1M82.3M82.6M
Total Cash From Operating Activities12.1M69.5M7.0M38.6M159.4M167.4M
Investments(3.6M)(164.0M)39.6M(84.6M)12.9M13.5M

About Tianjin Ruixin Fundamental Analysis

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

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Tianjin Ruixin financial ratios help investors to determine whether Tianjin Stock is cheap or expensive when compared to a particular measure, such as profits or enterprise value. In other words, they help investors to determine the cost of investment in Tianjin with respect to the benefits of owning Tianjin Ruixin security.