American Battery Technology Stock Beneish M Score

ABAT Stock   0.93  0.02  2.11%   
This module uses fundamental data of American Battery to approximate the value of its Beneish M Score. American Battery 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 American Battery Piotroski F Score and American Battery Altman Z Score analysis.
  
At this time, American Battery's Short and Long Term Debt Total is comparatively stable compared to the past year. Short Term Debt is likely to gain to about 6.8 M in 2024, whereas Short and Long Term Debt is likely to drop slightly above 4.7 M in 2024. At this time, American Battery's ROIC is comparatively stable compared to the past year. Payables Turnover is likely to gain to 0.82 in 2024, whereas Free Cash Flow Yield is likely to drop (0.51) in 2024.
At this time, it appears that American Battery Tec is an unlikely manipulator. The earnings manipulation may begin if American Battery'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 American Battery 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 American Battery'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.
-3.6
Beneish M Score - Unlikely Manipulator
Elasticity of Receivables

0.87

Focus
Asset Quality

1.0

Focus
Expense Coverage

0.65

Focus
Gross Margin Strengs

1.05

Focus
Accruals Factor

0.65

Focus
Depreciation Resistance

1.0

Focus
Net Sales Growth

1.05

Focus
Financial Leverage Condition

1.0

Focus

American Battery 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 American Battery'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 Receivables934.6 KM
Moderately Down
Slightly volatile
Total Assets81.6 M77.7 M
Sufficiently Up
Slightly volatile
Total Current Assets19.3 M18.4 M
Sufficiently Up
Slightly volatile
Non Current Assets Total62.2 M59.3 M
Sufficiently Up
Slightly volatile
Property Plant Equipment46.3 M44.1 M
Sufficiently Up
Slightly volatile
Depreciation And Amortization1.9 M1.8 M
Sufficiently Up
Slightly volatile
Selling General Administrative10.9 M16.1 M
Way Down
Slightly volatile
Total Current Liabilities16.6 M15.8 M
Sufficiently Up
Slightly volatile
Short Term Debt6.8 M6.5 M
Sufficiently Up
Slightly volatile
Long Term Debt434488
Fairly Down
Slightly volatile

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

About American Battery 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

1.87 Million

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

American Battery 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 American Battery. 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)
Total Assets1.2M21.3M52.9M74.7M77.7M81.6M
Total Current Assets1.1M14.1M29.9M4.8M18.4M19.3M
Non Current Assets Total94.1K7.1M23.0M69.9M59.3M62.2M
Selling General Administrative4.7M37.6M31.7M12.0M16.1M10.9M
Total Current Liabilities5.8M1.8M3.1M13.4M15.8M16.6M
Non Current Liabilities Total306.6K0.0175.8K54.3K409.2K429.7K
Net Debt(387.5K)(12.8M)(28.8M)3.9M(500.1K)(525.1K)
Short Term Debt398.3K135.7K99.8K6.1M6.5M6.8M
Operating Income(5.8M)(37.7M)(33.5M)(21.5M)(37.5M)(35.6M)
Total Cash From Operating Activities(3.0M)(7.8M)(10.2M)(13.4M)(16.7M)(15.9M)

About American Battery Fundamental Analysis

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

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