Electra Battery Materials Stock Beneish M Score

ELBM Stock   0.70  0.01  1.41%   
This module uses fundamental data of Electra Battery to approximate the value of its Beneish M Score. Electra Battery 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 Investing Opportunities to better understand how to build diversified portfolios, which includes a position in Electra Battery Materials. Also, note that the market value of any company could be closely tied with the direction of predictive economic indicators such as signals in population.
  
At this time, Electra Battery's Net Debt is fairly stable compared to the past year. Long Term Debt is likely to climb to about 46.6 M in 2024, despite the fact that Net Debt To EBITDA is likely to grow to (2.6 K). At this time, Electra Battery's Debt To Equity is fairly stable compared to the past year. Debt To Assets is likely to climb to 0.31 in 2024, whereas Free Cash Flow Yield is likely to drop (0) in 2024.
At this time, Electra Battery's M Score is inapplicable. The earnings manipulation may begin if Electra Battery'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 Electra Battery 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 Electra Battery'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.
-34.95
Beneish M Score - Inapplicable
Elasticity of Receivables

N/A

Focus
Asset Quality

-74.47

Focus
Expense Coverage

N/A

Focus
Gross Margin Strengs

N/A

Focus
Accruals Factor

N/A

Focus
Depreciation Resistance

N/A

Focus
Net Sales Growth

N/A

Focus
Financial Leverage Condition

0.87

Focus

Electra Battery 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 Electra Battery'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 Receivables3.7 M3.5 M
Sufficiently Up
Slightly volatile
Total Assets169.1 M148.7 M
Fairly Up
Slightly volatile
Total Current Assets10.1 M10.6 M
Notably Down
Slightly volatile
Non Current Assets Total108.7 M138.1 M
Significantly Down
Slightly volatile
Property Plant Equipment101.6 M153 M
Way Down
Pretty Stable
Selling General Administrative10.3 M13.3 M
Significantly Down
Very volatile
Total Current Liabilities13.4 M16 M
Fairly Down
Slightly volatile
Non Current Liabilities Total25.6 M49.4 M
Way Down
Slightly volatile
Net Debt38.7 M36.8 M
Sufficiently Up
Slightly volatile
Long Term Debt46.6 M44.4 M
Sufficiently Up
Slightly volatile

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

About Electra Battery 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

29,150

At this time, Electra Battery's Reconciled Depreciation is fairly stable compared to the past year.

Electra Battery 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 Electra Battery. 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 Receivables263.1K221K957K3.1M3.5M3.7M
Total Assets110.3M103.7M167.6M187.5M148.7M169.1M
Total Current Assets5.1M10.5M61.9M13.5M10.6M10.1M
Non Current Assets Total105.2M93.2M105.7M174.0M138.1M108.7M
Property Plant Equipment92.3M92.3M98.1M170.0M153.0M101.6M
Selling General Administrative5.9M5.4M10.0M11.0M13.3M10.3M
Total Current Liabilities286.6K2.8M4.7M54.1M16.0M13.4M
Non Current Liabilities Total9.5M8.7M62.9M6.9M49.4M25.6M
Operating Income(8.4M)(7.4M)(19.2M)(16.8M)(14.0M)(14.7M)
Total Cash From Operating Activities(9.1M)(5.7M)(16.9M)(15.8M)(23.0M)(24.2M)

About Electra Battery Fundamental Analysis

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

Thematic Opportunities

Explore Investment Opportunities

Build portfolios using Macroaxis predefined set of investing ideas. Many of Macroaxis investing ideas can easily outperform a given market. Ideas can also be optimized per your risk profile before portfolio origination is invoked. Macroaxis thematic optimization helps investors identify companies most likely to benefit from changes or shifts in various micro-economic or local macro-level trends. Originating optimal thematic portfolios involves aligning investors' personal views, ideas, and beliefs with their actual investments.
Explore Investing Ideas  

Additional Tools for Electra Stock Analysis

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