Great Western Minerals Stock Beneish M Score

This module uses fundamental data of Great Western to approximate the value of its Beneish M Score. Great Western 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 Great Western Piotroski F Score and Great Western Altman Z Score analysis.
  
At this time, Great Western's Debt To Assets are most likely to increase slightly in the upcoming years. The Great Western's current Long Term Debt To Capitalization is estimated to increase to 1.02, while Net Debt To EBITDA is forecasted to increase to (2.23). At this time, Great Western's Payables Turnover is most likely to increase slightly in the upcoming years. The Great Western's current Average Inventory is estimated to increase to about 3.9 M, while PTB Ratio is forecasted to increase to (6.90).
At this time, Great Western's M Score is unavailable. The earnings manipulation may begin if Great Western'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 Great Western 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 Great Western'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.
-2.5
Beneish M Score - Unavailable
Elasticity of Receivables

0.84

Focus
Asset Quality

1.49

Focus
Expense Coverage

1.02

Focus
Gross Margin Strengs

0.9

Focus
Accruals Factor

1.02

Focus
Depreciation Resistance

N/A

Focus
Net Sales Growth

0.88

Focus
Financial Leverage Condition

1.09

Focus

Great Western 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 Great Western'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 Receivables2.6 M3.5 M
Way Down
Very volatile
Total Revenue17.6 M20 M
Fairly Down
Slightly volatile
Total Assets78.6 M83.3 M
Notably Down
Pretty Stable
Total Current Assets41.1 M38.6 M
Notably Up
Very volatile
Property Plant Equipment32.7 M41.3 M
Significantly Down
Slightly volatile
Selling General Administrative16.9 M18.8 M
Moderately Down
Slightly volatile
Total Current Liabilities9.4 M11 M
Fairly Down
Slightly volatile
Short Term Investments2.4 M2.3 M
Sufficiently Up
Slightly volatile
Gross Profit Margin0.230.2556
Moderately Down
Slightly volatile

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

About Great Western 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.

Total Assets

78.63 Million

At this time, Great Western's Total Assets are most likely to increase significantly in the upcoming years.

About Great Western Fundamental Analysis

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

Currently Active Assets on Macroaxis

When determining whether Great Western Minerals is a strong investment it is important to analyze Great Western'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 Great Western's future performance. For an informed investment choice regarding Great Stock, refer to the following important reports:
Check out Great Western Piotroski F Score and Great Western Altman Z Score analysis.
You can also try the Idea Breakdown module to analyze constituents of all Macroaxis ideas. Macroaxis investment ideas are predefined, sector-focused investing themes.
Is Diversified Metals & Mining 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 Great Western. If investors know Great 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 Great Western listed above have to be considered, but the key to understanding future value is determining which factors weigh more heavily than others.
Revenue Per Share
0.059
Quarterly Revenue Growth
0.542
Return On Assets
(0.13)
The market value of Great Western Minerals is measured differently than its book value, which is the value of Great that is recorded on the company's balance sheet. Investors also form their own opinion of Great Western's value that differs from its market value or its book value, called intrinsic value, which is Great Western'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 Great Western's market value can be influenced by many factors that don't directly affect Great Western'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 Great Western's value and its price as these two are different measures arrived at by different means. Investors typically determine if Great Western is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Great Western'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.