Greenfirst Forest Products Stock Beneish M Score

GFP Stock   5.51  0.02  0.36%   
This module uses fundamental data of GreenFirst Forest to approximate the value of its Beneish M Score. GreenFirst Forest 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 Risk vs Return Analysis to better understand how to build diversified portfolios, which includes a position in GreenFirst Forest Products. 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, GreenFirst Forest's Net Debt is very stable compared to the past year. As of the 29th of November 2024, Long Term Debt Total is likely to grow to about 57.3 M, while Short and Long Term Debt is likely to drop about 1.5 M. At this time, GreenFirst Forest's Shareholders Equity Per Share is very stable compared to the past year.
At this time, GreenFirst Forest's M Score is inapplicable. The earnings manipulation may begin if GreenFirst Forest'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 GreenFirst Forest 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 GreenFirst Forest'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.
-2.99
Beneish M Score - Inapplicable
Elasticity of Receivables

1.0

Focus
Asset Quality

-0.64

Focus
Expense Coverage

1.0

Focus
Gross Margin Strengs

0.95

Focus
Accruals Factor

1.0

Focus
Depreciation Resistance

0.83

Focus
Net Sales Growth

1.05

Focus
Financial Leverage Condition

1.0

Focus

GreenFirst Forest 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 GreenFirst Forest'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
Total Assets311.1 M296.3 M
Sufficiently Up
Slightly volatile
Total Current Assets113.4 M108 M
Sufficiently Up
Slightly volatile
Property Plant Equipment116.5 M136.4 M
Fairly Down
Slightly volatile
Selling General Administrative22.1 M21 M
Sufficiently Up
Slightly volatile
Total Current Liabilities57.3 M54.6 M
Sufficiently Up
Slightly volatile
Long Term Debt36.2 M22.6 M
Way Up
Slightly volatile

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

About GreenFirst Forest 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

17.54 Million

At this time, GreenFirst Forest's Depreciation And Amortization is very stable compared to the past year.

About GreenFirst Forest Fundamental Analysis

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

Pair Trading with GreenFirst Forest

One of the main advantages of trading using pair correlations is that every trade hedges away some risk. Because there are two separate transactions required, even if GreenFirst Forest position performs unexpectedly, the other equity can make up some of the losses. Pair trading also minimizes risk from directional movements in the market. For example, if an entire industry or sector drops because of unexpected headlines, the short position in GreenFirst Forest will appreciate offsetting losses from the drop in the long position's value.

Moving together with GreenFirst Stock

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Moving against GreenFirst Stock

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The ability to find closely correlated positions to GreenFirst Forest could be a great tool in your tax-loss harvesting strategies, allowing investors a quick way to find a similar-enough asset to replace GreenFirst Forest when you sell it. If you don't do this, your portfolio allocation will be skewed against your target asset allocation. So, investors can't just sell and buy back GreenFirst Forest - that would be a violation of the tax code under the "wash sale" rule, and this is why you need to find a similar enough asset and use the proceeds from selling GreenFirst Forest Products to buy it.
The correlation of GreenFirst Forest is a statistical measure of how it moves in relation to other instruments. This measure is expressed in what is known as the correlation coefficient, which ranges between -1 and +1. A perfect positive correlation (i.e., a correlation coefficient of +1) implies that as GreenFirst Forest moves, either up or down, the other security will move in the same direction. Alternatively, perfect negative correlation means that if GreenFirst Forest moves in either direction, the perfectly negatively correlated security will move in the opposite direction. If the correlation is 0, the equities are not correlated; they are entirely random. A correlation greater than 0.8 is generally described as strong, whereas a correlation less than 0.5 is generally considered weak.
Correlation analysis and pair trading evaluation for GreenFirst Forest can also be used as hedging techniques within a particular sector or industry or even over random equities to generate a better risk-adjusted return on your portfolios.
Pair CorrelationCorrelation Matching

Other Information on Investing in GreenFirst Stock

GreenFirst Forest financial ratios help investors to determine whether GreenFirst 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 GreenFirst with respect to the benefits of owning GreenFirst Forest security.