Saratoga Investment Corp Stock Beneish M Score
| SAT Stock | USD 24.50 0.21 0.86% |
Saratoga | Beneish M Score |
At this time, it appears that Saratoga Investment Corp is an unlikely manipulator. The earnings manipulation may begin if Saratoga Investment'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 Saratoga Investment 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 Saratoga Investment'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.
-4.45
Beneish M Score - Unlikely Manipulator
Saratoga Investment 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 Saratoga Investment'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 Value | Last Year | Change From Last Year | 10 Year Trend | ||||||
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| Gross Profit Margin | 0.58 | 0.7838 |
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About Saratoga Investment 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.
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Saratoga Investment 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, Saratoga Investment's sustainability indicators can be used to identify proper investment strategies using environmental, social, and governance scores that are crucial to Saratoga Investment's managers, analysts, and investors.Environmental | Governance | Social |
About Saratoga Investment Fundamental Analysis
The Macroaxis Fundamental Analysis modules help investors analyze Saratoga Investment Corp's financials across various querterly and yearly statements, indicators and fundamental ratios. We help investors to determine the real value of Saratoga Investment using virtually all public information available. We use both quantitative as well as qualitative analysis to arrive at the intrinsic value of Saratoga Investment Corp 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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Additional Tools for Saratoga Stock Analysis
When running Saratoga Investment's price analysis, check to measure Saratoga Investment'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 Saratoga Investment is operating at the current time. Most of Saratoga Investment's value examination focuses on studying past and present price action to predict the probability of Saratoga Investment's future price movements. You can analyze the entity against its peers and the financial market as a whole to determine factors that move Saratoga Investment's price. Additionally, you may evaluate how the addition of Saratoga Investment to your portfolios can decrease your overall portfolio volatility.