Bluescope Steel Stock Beneish M Score

BSL Stock   21.25  0.02  0.09%   
This module uses fundamental data of Bluescope Steel to approximate the value of its Beneish M Score. Bluescope Steel 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 Bluescope Steel. Also, note that the market value of any company could be closely tied with the direction of predictive economic indicators such as signals in board of governors.
  
At this time, Bluescope Steel's Short and Long Term Debt Total is comparatively stable compared to the past year. Short Term Debt is likely to gain to about 290.7 M in 2024, despite the fact that Net Debt is likely to grow to (345.8 M).
At this time, Bluescope Steel's M Score is inapplicable. The earnings manipulation may begin if Bluescope Steel'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 Bluescope Steel 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 Bluescope Steel'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.
-3.19
Beneish M Score - Inapplicable
Elasticity of Receivables

1.37

Focus
Asset Quality

1.16

Focus
Expense Coverage

1.66

Focus
Gross Margin Strengs

N/A

Focus
Accruals Factor

1.66

Focus
Depreciation Resistance

1.03

Focus
Net Sales Growth

0.63

Focus
Financial Leverage Condition

1.28

Focus

Bluescope Steel 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 Bluescope Steel'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 Receivables1.4 B1.6 B
Fairly Down
Slightly volatile
Total Revenue10.8 B17.1 B
Way Down
Slightly volatile
Total Assets10.2 B15.7 B
Way Down
Slightly volatile
Total Current Assets4.1 B6.1 B
Way Down
Slightly volatile
Non Current Assets Total5.9 B9.6 B
Way Down
Slightly volatile
Property Plant Equipment4.3 B6.9 B
Way Down
Slightly volatile
Depreciation And Amortization412 M692.9 M
Way Down
Slightly volatile
Selling General Administrative3.7 B3.5 B
Sufficiently Up
Slightly volatile
Total Current Liabilities2.6 B3.1 B
Fairly Down
Slightly volatile
Non Current Liabilities Total1.3 B1.3 B
Fairly Down
Slightly volatile
Short Term Debt290.7 M190.8 M
Way Up
Pretty Stable
Long Term Debt85.9 M90.4 M
Notably Down
Slightly volatile
Total Cash From Operating Activities973.5 M1.4 B
Way Down
Slightly volatile
Short Term Investments57.4 M54.6 M
Sufficiently Up
Slightly volatile
Long Term Investments128.3 M147 M
Fairly Down
Pretty Stable

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

About Bluescope Steel 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 And Amortization

412 Million

At this time, Bluescope Steel's Depreciation And Amortization is comparatively stable compared to the past year.

Bluescope Steel 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 Bluescope Steel. 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 Receivables1.1B1.5B2.0B1.8B1.6B1.4B
Total Revenue11.3B12.9B19.0B18.2B17.1B10.8B
Total Assets11.6B13.1B16.6B15.9B15.7B10.2B
Total Current Assets4.6B6.1B7.9B6.8B6.1B4.1B
Net Debt(79.1M)(798.1M)(367.1M)(703.3M)(364M)(345.8M)
Short Term Debt218.6M169M713.1M172.3M190.8M290.7M
Long Term Debt662.8M548.8M166.6M181.4M90.4M85.9M
Operating Income415.8M1.6B3.6B1.4B1.3B857.1M
Investments(570.3M)100K(1M)(979.1M)(967M)(918.7M)

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

About Bluescope Steel Fundamental Analysis

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

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