Sun Residential Real Stock Beneish M Score

SRES Stock  CAD 0.05  0.0009  1.83%   
This module uses fundamental data of Sun Residential to approximate the value of its Beneish M Score. Sun Residential 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 World Market Map to better understand how to build diversified portfolios, which includes a position in Sun Residential Real. Also, note that the market value of any company could be closely tied with the direction of predictive economic indicators such as signals in state.
  
Net Debt is likely to climb to about 30 M in 2024, whereas Long Term Debt is likely to drop slightly above 25.2 M in 2024.
At this time, Sun Residential's M Score is inapplicable. The earnings manipulation may begin if Sun Residential'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 Sun Residential 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 Sun Residential'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.
-4.07
Beneish M Score - Inapplicable
Elasticity of Receivables

N/A

Focus
Asset Quality

0.72

Focus
Expense Coverage

0.89

Focus
Gross Margin Strengs

N/A

Focus
Accruals Factor

0.89

Focus
Depreciation Resistance

N/A

Focus
Net Sales Growth

0.98

Focus
Financial Leverage Condition

1.17

Focus

Sun Residential 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 Sun Residential'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
Total Revenue5.6 M5.8 M
Fairly Down
Slightly volatile
Total Assets59.3 M64.3 M
Significantly Down
Slightly volatile
Total Current Assets4.7 MM
Fairly Up
Slightly volatile
Property Plant Equipment69 M81.2 M
Fairly Down
Slightly volatile
Selling General Administrative360 K413.6 K
Fairly Down
Slightly volatile
Total Current Liabilities281.7 K315.2 K
Moderately Down
Slightly volatile
Net Debt30 M27.7 M
Significantly Up
Pretty Stable
Long Term Debt25.2 M28.3 M
Fairly Down
Slightly volatile
Operating Income2.6 M2.6 M
Slightly Up
Slightly volatile

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

About Sun Residential 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.

Total Assets

59.28 Million

At this time, Sun Residential's Total Assets are fairly stable compared to the past year.

About Sun Residential Fundamental Analysis

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

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