A2z Smart Technologies Stock Beneish M Score

AZ Stock  USD 6.94  0.51  7.93%   
This module uses fundamental data of A2Z Smart to approximate the value of its Beneish M Score. A2Z Smart 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 A2Z Smart Piotroski F Score and A2Z Smart Altman Z Score analysis.
  
At this time, A2Z Smart's Long Term Debt is fairly stable compared to the past year. Net Debt To EBITDA is likely to rise to 0.02 in 2024, whereas Net Debt is likely to drop (286.6 K) in 2024. At this time, A2Z Smart's Debt To Equity is fairly stable compared to the past year.
At this time, it appears that A2Z Smart Technologies is an unlikely manipulator. The earnings manipulation may begin if A2Z Smart'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 A2Z Smart 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 A2Z Smart'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.
-5.65
Beneish M Score - Unlikely Manipulator
Elasticity of Receivables

0.58

Focus
Asset Quality

1.01

Focus
Expense Coverage

1.0

Focus
Gross Margin Strengs

0.97

Focus
Accruals Factor

1.0

Focus
Depreciation Resistance

1.0

Focus
Net Sales Growth

1.05

Focus
Financial Leverage Condition

0.41

Focus

A2Z Smart 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 A2Z Smart'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 Receivables906.9 K1.5 M
Way Down
Slightly volatile
Total Assets10 M8.5 M
Fairly Up
Slightly volatile
Total Current Assets5.8 M4.7 M
Fairly Up
Slightly volatile
Property Plant Equipment2.8 M2.7 M
Sufficiently Up
Slightly volatile
Selling General Administrative13.6 M13 M
Sufficiently Up
Slightly volatile
Total Current Liabilities2.9 M5.6 M
Way Down
Slightly volatile
Short Term Debt922.9 K1.4 M
Way Down
Slightly volatile
Long Term Debt299.2 K228 K
Significantly Up
Slightly volatile
Short Term Investments73.2 K77 K
Notably Down
Slightly volatile
Gross Profit Margin0.120.1233
Fairly Down
Slightly volatile

A2Z Smart Technologies 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 A2Z Smart's different financial indicators related to revenue, expenses, operating profit, and net earnings helps investors identify and prioritize their investing strategies towards A2Z Smart in a much-optimized way. Analyzing correlations between earnings drivers directly associated with dollar figures is the most effective way to find A2Z Smart's degree of accounting gimmicks and manipulations.

About A2Z Smart 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.

Net Tangible Assets

2.28 Million

At this time, A2Z Smart's Net Tangible Assets are fairly stable compared to the past year.

A2Z Smart 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 A2Z Smart. 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 Receivables978K196K1.2M1.4M1.5M906.9K
Total Revenue1.3M1.1M2.7M9.4M11.4M11.9M
Total Assets10.0M8.9M14.1M12.7M8.5M10.0M
Total Current Assets7.3M6.2M11.0M6.9M4.7M5.8M
Net Debt126K(4.4M)(7.6M)14K(273K)(286.7K)
Operating Income(527K)(2.7M)(9.2M)(17.5M)(18.1M)(17.2M)

A2Z Smart 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, A2Z Smart's sustainability indicators can be used to identify proper investment strategies using environmental, social, and governance scores that are crucial to A2Z Smart's managers, analysts, and investors.
Environmental
Governance
Social

About A2Z Smart Fundamental Analysis

The Macroaxis Fundamental Analysis modules help investors analyze A2Z Smart Technologies's financials across various querterly and yearly statements, indicators and fundamental ratios. We help investors to determine the real value of A2Z Smart using virtually all public information available. We use both quantitative as well as qualitative analysis to arrive at the intrinsic value of A2Z Smart Technologies 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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Additional Tools for A2Z Stock Analysis

When running A2Z Smart's price analysis, check to measure A2Z Smart'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 A2Z Smart is operating at the current time. Most of A2Z Smart's value examination focuses on studying past and present price action to predict the probability of A2Z Smart's future price movements. You can analyze the entity against its peers and the financial market as a whole to determine factors that move A2Z Smart's price. Additionally, you may evaluate how the addition of A2Z Smart to your portfolios can decrease your overall portfolio volatility.