GTIM Stock | | | USD 2.67 0.03 1.14% |
This module uses fundamental data of Good Times to approximate the value of its Beneish M Score. Good Times 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
Good Times Piotroski F Score and
Good Times Altman Z Score analysis.
At this time, Good Times'
Short and Long Term Debt Total is very stable compared to the past year. As of the 25th of November 2024,
Net Debt is likely to grow to about 54
M, though
Net Debt To EBITDA is likely to grow to
(11.65). As of the 25th of November 2024,
Dividend Yield is likely to drop to 0. In addition to that,
Payout Ratio is likely to grow to -0.07
At this time, it appears that Good Times Restaurants is an unlikely manipulator. The earnings manipulation may begin if Good Times' 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 Good Times 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 Good Times' 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.
-2.56
Beneish M Score - Unlikely Manipulator
| Elasticity of Receivables | 1.0 | Focus |
| Gross Margin Strengs | 1.29 | Focus |
| Depreciation Resistance | 1.0 | Focus |
| Net Sales Growth | 1.05 | Focus |
| Financial Leverage Condition | 1.0 | Focus |
Good Times 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 Good Times' 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.
Good Times Restaurants 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 Good Times' different financial indicators related to revenue, expenses, operating profit, and net earnings helps investors identify and prioritize their investing strategies towards Good Times in a much-optimized way. Analyzing correlations between earnings drivers directly associated with dollar figures is the most effective way to find Good Times' degree of accounting gimmicks and manipulations.
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About Good Times 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.
Good Times 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 Good Times. 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.
Good Times 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, Good Times' sustainability indicators can be used to identify proper investment strategies using environmental, social, and governance scores that are crucial to Good Times' managers, analysts, and investors.
About Good Times Fundamental Analysis
The Macroaxis Fundamental Analysis modules help investors analyze Good Times Restaurants's financials across various querterly and yearly statements, indicators and fundamental ratios. We help investors to determine the real value of Good Times using virtually all public information available. We use both quantitative as well as qualitative analysis to arrive at
the intrinsic value of Good Times Restaurants 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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Try AI Portfolio ArchitectWhen determining whether Good Times Restaurants is a strong investment it is important to analyze Good Times' 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 Good Times'
future performance.
For an informed investment choice regarding Good Stock, refer to the following important reports: Is Hotels, Restaurants & Leisure 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 Good Times. If investors know Good 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 Good Times 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 | Earnings Share | Revenue Per Share | Quarterly Revenue Growth | Return On Assets |
The market value of Good Times Restaurants is measured differently than its book value, which is the value of Good that is recorded on the company's balance sheet. Investors also form their own opinion of Good Times' value that differs from its market value or its book value, called intrinsic value, which is Good Times' 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 Good Times' market value can be influenced by many factors that don't directly affect Good Times' 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 Good Times' value and its price as these two are different measures arrived at by different means. Investors typically determine
if Good Times is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Good Times' 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.