India Globalization Capital Stock Beneish M Score

IGC Stock  USD 0.37  0.01  2.63%   
This module uses fundamental data of India Globalization to approximate the value of its Beneish M Score. India Globalization 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 India Globalization Piotroski F Score and India Globalization Altman Z Score analysis.
  
As of November 28, 2024, Short and Long Term Debt Total is expected to decline to about 327.8 K. In addition to that, Net Debt is expected to decline to about (895.6 K). At present, India Globalization's Average Payables is projected to decrease significantly based on the last few years of reporting. The current year's Stock Based Compensation To Revenue is expected to grow to 1.38, whereas Price To Sales Ratio is forecasted to decline to 12.55.
At this time, it appears that India Globalization is an unlikely manipulator. The earnings manipulation may begin if India Globalization'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 India Globalization 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 India Globalization'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.
-4.75
Beneish M Score - Unlikely Manipulator
Elasticity of Receivables

1.0

Focus
Asset Quality

0.7

Focus
Expense Coverage

0.81

Focus
Gross Margin Strengs

1.05

Focus
Accruals Factor

0.81

Focus
Depreciation Resistance

0.88

Focus
Net Sales Growth

0.95

Focus
Financial Leverage Condition

1.69

Focus

India Globalization 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 India Globalization'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 Receivables37 K39 K
Notably Down
Slightly volatile
Total Revenue1.3 M1.3 M
Notably Down
Slightly volatile
Total Assets9.4 M9.9 M
Notably Down
Slightly volatile
Total Current Assets3.5 M3.7 M
Notably Down
Pretty Stable
Non Current Assets Total10.9 M6.2 M
Way Up
Pretty Stable
Property Plant Equipment8.4 M9.8 M
Fairly Down
Pretty Stable
Depreciation And Amortization628.9 K637 K
Fairly Down
Very volatile
Selling General Administrative5.2 M6.8 M
Significantly Down
Slightly volatile
Total Current Liabilities3.3 M2.3 M
Significantly Up
Pretty Stable
Non Current Liabilities Total228.9 K241 K
Notably Down
Slightly volatile
Short Term Debt117.8 K124 K
Notably Down
Slightly volatile

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

About India Globalization 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

10.7 Million

At present, India Globalization's Other Operating Expenses is projected to increase significantly based on the last few years of reporting.

India Globalization 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 India Globalization. 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 Receivables133K175K125K107K39K37.1K
Total Revenue4.1M898K397K911K1.3M1.3M
Total Assets29.0M35.9M26.8M17.2M9.9M9.4M
Total Current Assets17.8M23.5M15.1M6.5M3.7M3.5M
Net Debt(6.7M)(13.6M)(10.0M)(2.7M)(853K)(895.7K)
Operating Income(6.9M)(8.7M)(15.4M)(11.6M)(9.8M)(9.3M)
Investments(9.5M)4.9M(742K)(235K)(317K)(332.9K)
Gross Profit Margin0.03720.02580.02820.490.540.57

About India Globalization Fundamental Analysis

The Macroaxis Fundamental Analysis modules help investors analyze India Globalization Capital's financials across various querterly and yearly statements, indicators and fundamental ratios. We help investors to determine the real value of India Globalization using virtually all public information available. We use both quantitative as well as qualitative analysis to arrive at the intrinsic value of India Globalization Capital 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 India Globalization offers a strong return on investment in its stock, a comprehensive analysis is essential. The process typically begins with a thorough review of India Globalization's financial statements, including income statements, balance sheets, and cash flow statements, to assess its financial health. Key financial ratios are used to gauge profitability, efficiency, and growth potential of India Globalization Capital Stock. Outlined below are crucial reports that will aid in making a well-informed decision on India Globalization Capital Stock:
Check out India Globalization Piotroski F Score and India Globalization Altman Z Score analysis.
You can also try the AI Portfolio Architect module to use AI to generate optimal portfolios and find profitable investment opportunities.
Is Trading Companies & Distributors 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 India Globalization. If investors know India 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 India Globalization listed above have to be considered, but the key to understanding future value is determining which factors weigh more heavily than others.
Earnings Share
(0.20)
Revenue Per Share
0.017
Quarterly Revenue Growth
(0.51)
Return On Assets
(0.48)
Return On Equity
(1.26)
The market value of India Globalization is measured differently than its book value, which is the value of India that is recorded on the company's balance sheet. Investors also form their own opinion of India Globalization's value that differs from its market value or its book value, called intrinsic value, which is India Globalization'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 India Globalization's market value can be influenced by many factors that don't directly affect India Globalization'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 India Globalization's value and its price as these two are different measures arrived at by different means. Investors typically determine if India Globalization is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, India Globalization'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.