Sprinklr Stock Beneish M Score

CXM Stock  USD 8.04  0.22  2.81%   
This module uses fundamental data of Sprinklr to approximate the value of its Beneish M Score. Sprinklr 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 Sprinklr Piotroski F Score and Sprinklr Altman Z Score analysis.
To learn how to invest in Sprinklr Stock, please use our How to Invest in Sprinklr guide.
  
At this time, Sprinklr's Short Term Debt is very stable compared to the past year. As of the 22nd of November 2024, Short and Long Term Debt Total is likely to grow to about 49.5 M, though Net Debt To EBITDA is likely to grow to (2.51). At this time, Sprinklr's EV To Sales is very stable compared to the past year. As of the 22nd of November 2024, Free Cash Flow Per Share is likely to grow to 0.20, while Stock Based Compensation To Revenue is likely to drop 0.07.
At this time, it appears that Sprinklr is an unlikely manipulator. The earnings manipulation may begin if Sprinklr'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 Sprinklr 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 Sprinklr'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.
-3.08
Beneish M Score - Unlikely Manipulator
Elasticity of Receivables

0.92

Focus
Asset Quality

1.03

Focus
Expense Coverage

1.05

Focus
Gross Margin Strengs

0.74

Focus
Accruals Factor

1.05

Focus
Depreciation Resistance

1.31

Focus
Net Sales Growth

0.77

Focus
Financial Leverage Condition

1.04

Focus

Sprinklr 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 Sprinklr'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 Receivables193.7 M275.6 M
Way Down
Slightly volatile
Total Revenue561.9 M732.4 M
Way Down
Slightly volatile
Total Assets884.9 M1.2 B
Way Down
Slightly volatile
Total Current Assets736.2 MB
Way Down
Slightly volatile
Non Current Assets Total148.8 M222.1 M
Way Down
Slightly volatile
Property Plant Equipment46.6 M44.4 M
Sufficiently Up
Slightly volatile
Depreciation And Amortization11.5 M15.5 M
Way Down
Slightly volatile
Selling General Administrative85.2 M105.9 M
Significantly Down
Slightly volatile
Total Current Liabilities421.1 M508.2 M
Significantly Down
Slightly volatile
Non Current Liabilities Total32.5 M35.2 M
Significantly Down
Very volatile
Gross Profit Margin0.560.755
Way Down
Slightly volatile

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

About Sprinklr 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.

Other Operating Expenses

599.11 Million

At this time, Sprinklr's Other Operating Expenses is very stable compared to the past year.

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

About Sprinklr Fundamental Analysis

The Macroaxis Fundamental Analysis modules help investors analyze Sprinklr's financials across various querterly and yearly statements, indicators and fundamental ratios. We help investors to determine the real value of Sprinklr using virtually all public information available. We use both quantitative as well as qualitative analysis to arrive at the intrinsic value of Sprinklr 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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When determining whether Sprinklr is a strong investment it is important to analyze Sprinklr'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 Sprinklr's future performance. For an informed investment choice regarding Sprinklr Stock, refer to the following important reports:
Check out Sprinklr Piotroski F Score and Sprinklr Altman Z Score analysis.
To learn how to invest in Sprinklr Stock, please use our How to Invest in Sprinklr guide.
You can also try the Portfolio Volatility module to check portfolio volatility and analyze historical return density to properly model market risk.
Is Application Software space 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 Sprinklr. If investors know Sprinklr 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 Sprinklr 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
(0.82)
Earnings Share
0.17
Revenue Per Share
2.872
Quarterly Revenue Growth
0.105
Return On Assets
0.0227
The market value of Sprinklr is measured differently than its book value, which is the value of Sprinklr that is recorded on the company's balance sheet. Investors also form their own opinion of Sprinklr's value that differs from its market value or its book value, called intrinsic value, which is Sprinklr'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 Sprinklr's market value can be influenced by many factors that don't directly affect Sprinklr'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 Sprinklr's value and its price as these two are different measures arrived at by different means. Investors typically determine if Sprinklr is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Sprinklr'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.