Patriot National Bancorp Stock Beneish M Score

PNBK Stock  USD 2.58  0.10  3.73%   
This module uses fundamental data of Patriot National to approximate the value of its Beneish M Score. Patriot National 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 Patriot National Piotroski F Score and Patriot National Altman Z Score analysis.
  
At this time, Patriot National's Debt Equity Ratio is quite stable compared to the past year. At this time, Patriot National's Dividend Yield is quite stable compared to the past year. EV To Sales is expected to rise to 6.35 this year, although the value of Days Sales Outstanding will most likely fall to 7,201.
At this time, it appears that Patriot National Bancorp is an unlikely manipulator. The earnings manipulation may begin if Patriot National'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 Patriot National 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 Patriot National'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.
-2.53
Beneish M Score - Unlikely Manipulator
Elasticity of Receivables

1.27

Focus
Asset Quality

0.96

Focus
Expense Coverage

0.81

Focus
Gross Margin Strengs

0.89

Focus
Accruals Factor

0.81

Focus
Depreciation Resistance

1.57

Focus
Net Sales Growth

0.75

Focus
Financial Leverage Condition

1.43

Focus

Patriot National 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 Patriot National'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 Receivables6.9 M7.2 M
Notably Down
Slightly volatile
Total Revenue20.3 M27.1 M
Way Down
Slightly volatile
Total Assets622.4 M1.1 B
Way Down
Slightly volatile
Total Current Assets49.9 M52.5 M
Notably Down
Slightly volatile
Non Current Assets Total800 MB
Significantly Down
Pretty Stable
Property Plant Equipment39.7 M37.8 M
Sufficiently Up
Slightly volatile
Depreciation And Amortization893.9 K1.4 M
Way Down
Pretty Stable
Selling General Administrative10.9 M17.9 M
Way Down
Slightly volatile
Total Current Liabilities195.9 M283.1 M
Way Down
Very volatile
Non Current Liabilities Total1.1 BB
Sufficiently Up
Slightly volatile
Short Term Debt180.4 M171.8 M
Sufficiently Up
Slightly volatile
Long Term Debt211.2 M201.1 M
Sufficiently Up
Slightly volatile
Short Term Investments84.7 M89.2 M
Notably Down
Pretty Stable
Long Term Investments53.8 M93.6 M
Way Down
Slightly volatile
Gross Profit Margin0.80.9
Fairly Down
Slightly volatile

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

About Patriot National 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

893,921

At this time, Patriot National's Depreciation And Amortization is quite stable compared to the past year.

Patriot National 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 Patriot National. 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 Receivables3.6M6.6M5.8M845.3M7.2M6.9M
Total Revenue27.8M26.0M29.6M36.6M27.1M20.3M
Total Assets979.8M880.7M948.5M1.0B1.1B622.4M
Total Current Assets91.3M90.5M147.2M935.0M52.5M49.9M
Net Debt91.5M86.2M73.7M76.7M148.6M156.0M
Short Term Debt10.7M12.8M12.7M55.8M171.8M180.4M
Long Term Debt30.9M120.8M120.7M115.2M201.1M211.2M
Operating Income(3.7M)(4.2M)5.0M17.0M(4.3M)(4.1M)
Investments(71.7M)82.9M(46.8M)(122.1M)(27.2M)(28.5M)

Patriot National 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, Patriot National's sustainability indicators can be used to identify proper investment strategies using environmental, social, and governance scores that are crucial to Patriot National's managers, analysts, and investors.
Environmental
Governance
Social

About Patriot National Fundamental Analysis

The Macroaxis Fundamental Analysis modules help investors analyze Patriot National Bancorp's financials across various querterly and yearly statements, indicators and fundamental ratios. We help investors to determine the real value of Patriot National using virtually all public information available. We use both quantitative as well as qualitative analysis to arrive at the intrinsic value of Patriot National Bancorp 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 Patriot National Bancorp is a good investment, qualitative aspects like company management, corporate governance, and ethical practices play a significant role. A comparison with peer companies also provides context and helps to understand if Patriot Stock is undervalued or overvalued. This multi-faceted approach, blending both quantitative and qualitative analysis, forms a solid foundation for making an informed investment decision about Patriot National Bancorp Stock. Highlighted below are key reports to facilitate an investment decision about Patriot National Bancorp Stock:
Check out Patriot National Piotroski F Score and Patriot National Altman Z Score analysis.
You can also try the Fundamentals Comparison module to compare fundamentals across multiple equities to find investing opportunities.
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 Patriot National. If investors know Patriot 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 Patriot National 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
(0.48)
Earnings Share
(7.40)
Revenue Per Share
6.099
Quarterly Revenue Growth
(0.45)
Return On Assets
(0.01)
The market value of Patriot National Bancorp is measured differently than its book value, which is the value of Patriot that is recorded on the company's balance sheet. Investors also form their own opinion of Patriot National's value that differs from its market value or its book value, called intrinsic value, which is Patriot National'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 Patriot National's market value can be influenced by many factors that don't directly affect Patriot National'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 Patriot National's value and its price as these two are different measures arrived at by different means. Investors typically determine if Patriot National is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Patriot National'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.