United Community Banks, Stock Beneish M Score

UCB Stock   34.27  1.14  3.44%   
This module uses fundamental data of United Community to approximate the value of its Beneish M Score. United Community 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 United Community Piotroski F Score and United Community Altman Z Score analysis.
  
At present, United Community's Short and Long Term Debt Total is projected to increase significantly based on the last few years of reporting. The current year's Long Term Debt is expected to grow to about 487.8 M, whereas Net Debt is forecasted to decline to (713 M). At present, United Community's Dividend Yield is projected to increase slightly based on the last few years of reporting. The current year's PTB Ratio is expected to grow to 2.10, whereas Price To Sales Ratio is forecasted to decline to 2.49.
At this time, it appears that United Community Banks, is an unlikely manipulator. The earnings manipulation may begin if United Community'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 United Community 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 United Community'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.
-3.58
Beneish M Score - Unlikely Manipulator
Elasticity of Receivables

0.77

Focus
Asset Quality

N/A

Focus
Expense Coverage

0.86

Focus
Gross Margin Strengs

N/A

Focus
Accruals Factor

0.86

Focus
Depreciation Resistance

N/A

Focus
Net Sales Growth

1.03

Focus
Financial Leverage Condition

0.65

Focus

United Community 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 United Community'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 Receivables69.1 M87.8 M
Significantly Down
Slightly volatile
Total Revenue824.4 M803.8 M
Fairly Up
Slightly volatile
Total Assets24.8 B27.3 B
Moderately Down
Slightly volatile
Total Current Assets4.1 B4.4 B
Significantly Down
Very volatile
Non Current Assets Total32.5 B31 B
Sufficiently Up
Slightly volatile
Selling General Administrative305.5 M345.9 M
Fairly Down
Slightly volatile
Total Current Liabilities10.1 B16.4 B
Way Down
Pretty Stable
Non Current Liabilities Total8.2 B7.8 B
Sufficiently Up
Slightly volatile
Short Term Debt10.8 M11.4 M
Notably Down
Slightly volatile
Long Term Debt487.8 M324.8 M
Way Up
Slightly volatile
Operating Income345 M341.5 M
Fairly Up
Slightly volatile
Total Cash From Operating Activities390.3 M294 M
Significantly Up
Slightly volatile
Short Term Investments2.9 B3.3 B
Fairly Down
Pretty Stable
Long Term Investments5.9 B5.8 B
Slightly Up
Slightly volatile

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

About United Community 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

479.36 Million

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

About United Community Fundamental Analysis

The Macroaxis Fundamental Analysis modules help investors analyze United Community Banks,'s financials across various querterly and yearly statements, indicators and fundamental ratios. We help investors to determine the real value of United Community using virtually all public information available. We use both quantitative as well as qualitative analysis to arrive at the intrinsic value of United Community Banks, 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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Analyzing currently trending equities could be an opportunity to develop a better portfolio based on different market momentums that they can trigger. Utilizing the top trending stocks is also useful when creating a market-neutral strategy or pair trading technique involving a short or a long position in a currently trending equity.
When determining whether United Community Banks, offers a strong return on investment in its stock, a comprehensive analysis is essential. The process typically begins with a thorough review of United Community'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 United Community Banks, Stock. Outlined below are crucial reports that will aid in making a well-informed decision on United Community Banks, Stock:
Check out United Community Piotroski F Score and United Community Altman Z Score analysis.
You can also try the Competition Analyzer module to analyze and compare many basic indicators for a group of related or unrelated entities.
Is Regional Banks 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 United Community. If investors know United 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 United Community 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
(0.03)
Dividend Share
0.93
Earnings Share
1.53
Revenue Per Share
6.912
Quarterly Revenue Growth
(0.01)
The market value of United Community Banks, is measured differently than its book value, which is the value of United that is recorded on the company's balance sheet. Investors also form their own opinion of United Community's value that differs from its market value or its book value, called intrinsic value, which is United Community'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 United Community's market value can be influenced by many factors that don't directly affect United Community'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 United Community's value and its price as these two are different measures arrived at by different means. Investors typically determine if United Community is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, United Community'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.