Beach Energy Stock Beneish M Score

BPT Stock   1.36  0.03  2.26%   
This module uses fundamental data of Beach Energy to approximate the value of its Beneish M Score. Beach Energy 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 Trending Equities to better understand how to build diversified portfolios, which includes a position in Beach Energy. Also, note that the market value of any company could be closely tied with the direction of predictive economic indicators such as signals in board of governors.
  
At this time, Beach Energy's Short and Long Term Debt Total is comparatively stable compared to the past year. Net Debt is likely to gain to about 653.8 M in 2024, whereas Short Term Debt is likely to drop slightly above 11.8 M in 2024.
At this time, Beach Energy's M Score is inapplicable. The earnings manipulation may begin if Beach Energy'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 Beach Energy 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 Beach Energy'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.
-4.16
Beneish M Score - Inapplicable
Elasticity of Receivables

1.0

Focus
Asset Quality

-0.63

Focus
Expense Coverage

0.9

Focus
Gross Margin Strengs

N/A

Focus
Accruals Factor

0.9

Focus
Depreciation Resistance

1.1

Focus
Net Sales Growth

1.05

Focus
Financial Leverage Condition

1.0

Focus

Beach Energy 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 Beach Energy'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 Receivables312.5 M297.6 M
Sufficiently Up
Slightly volatile
Total Revenue1.9 B1.8 B
Sufficiently Up
Slightly volatile
Total Assets5.8 B5.5 B
Sufficiently Up
Slightly volatile
Total Current Assets719.9 M685.6 M
Sufficiently Up
Slightly volatile
Non Current Assets Total5.1 B4.8 B
Sufficiently Up
Slightly volatile
Property Plant Equipment6.1 B5.8 B
Sufficiently Up
Slightly volatile
Depreciation And Amortization19 M20 M
Notably Down
Very volatile
Selling General Administrative3.7 M3.9 M
Notably Down
Pretty Stable
Total Current Liabilities400.9 M381.8 M
Sufficiently Up
Slightly volatile
Non Current Liabilities Total1.9 B1.8 B
Sufficiently Up
Slightly volatile
Total Cash From Operating Activities812.8 M774.1 M
Sufficiently Up
Slightly volatile
Long Term Investments4.5 M4.8 M
Notably Down
Slightly volatile

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

About Beach Energy 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.

Depreciation And Amortization

19 Million

At this time, Beach Energy's Depreciation And Amortization is comparatively stable compared to the past year.

Beach Energy 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 Beach Energy. 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 Receivables231.8M371.2M238.1M252.3M297.6M312.5M
Total Revenue1.7B1.6B1.8B1.6B1.8B1.9B
Total Assets4.5B5.0B5.1B5.9B5.5B5.8B
Total Current Assets507.6M670.9M695.8M670.1M685.6M719.9M
Net Debt8.9M150.4M(134.2M)189.6M622.7M653.8M
Short Term Debt26.8M77M14.7M(1.1M)12.4M11.8M
Long Term Debt56.7M174.1M87.3M383.3M752.1M789.7M
Operating Income617.7M510.7M723.3M559.7M146.3M121.3M
Investments8.9M(757.8M)(897.8M)(1.2B)(1.1B)(1.0B)

About Beach Energy Fundamental Analysis

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

Thematic Opportunities

Explore Investment Opportunities

Build portfolios using Macroaxis predefined set of investing ideas. Many of Macroaxis investing ideas can easily outperform a given market. Ideas can also be optimized per your risk profile before portfolio origination is invoked. Macroaxis thematic optimization helps investors identify companies most likely to benefit from changes or shifts in various micro-economic or local macro-level trends. Originating optimal thematic portfolios involves aligning investors' personal views, ideas, and beliefs with their actual investments.
Explore Investing Ideas  

Additional Tools for Beach Stock Analysis

When running Beach Energy's price analysis, check to measure Beach Energy'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 Beach Energy is operating at the current time. Most of Beach Energy's value examination focuses on studying past and present price action to predict the probability of Beach Energy's future price movements. You can analyze the entity against its peers and the financial market as a whole to determine factors that move Beach Energy's price. Additionally, you may evaluate how the addition of Beach Energy to your portfolios can decrease your overall portfolio volatility.