Hyliion Holdings Corp Stock Beneish M Score

HYLN Stock  USD 3.69  0.02  0.54%   
This module uses fundamental data of Hyliion Holdings to approximate the value of its Beneish M Score. Hyliion Holdings 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 Hyliion Holdings Piotroski F Score and Hyliion Holdings Altman Z Score analysis.
  
At this time, Hyliion Holdings' Short and Long Term Debt Total is very stable compared to the past year. As of the 1st of December 2024, Short Term Debt is likely to grow to about 1.9 M, while Net Debt is likely to drop (5.5 M). At this time, Hyliion Holdings' Capex Per Share is very stable compared to the past year. As of the 1st of December 2024, Graham Net Net is likely to grow to 1.30, while PTB Ratio is likely to drop 0.46.
At this time, it appears that Hyliion Holdings Corp is an unlikely manipulator. The earnings manipulation may begin if Hyliion Holdings' 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 Hyliion Holdings 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 Hyliion Holdings' 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

0.97

Focus
Asset Quality

0.89

Focus
Expense Coverage

0.69

Focus
Gross Margin Strengs

1.05

Focus
Accruals Factor

0.69

Focus
Depreciation Resistance

1.05

Focus
Net Sales Growth

0.97

Focus
Financial Leverage Condition

0.48

Focus

Hyliion Holdings 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 Hyliion Holdings' 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 Receivables38 K40 K
Notably Down
Pretty Stable
Total Assets444.1 M328.4 M
Significantly Up
Slightly volatile
Total Current Assets276.6 M181.7 M
Way Up
Slightly volatile
Non Current Assets Total112.5 M146.7 M
Way Down
Slightly volatile
Property Plant Equipment7.8 M13.9 M
Way Down
Very volatile
Depreciation And Amortization1.9 M3.5 M
Way Down
Slightly volatile
Selling General Administrative27.6 M41.3 M
Way Down
Slightly volatile
Total Current Liabilities12 M15.1 M
Significantly Down
Slightly volatile
Non Current Liabilities Total8.1 MM
Fairly Up
Slightly volatile
Short Term Debt1.9 M1.7 M
Significantly Up
Slightly volatile
Long Term Debt776.3 K817.2 K
Notably Down
Slightly volatile
Short Term Investments144.1 M150.3 M
Sufficiently Down
Slightly volatile

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

About Hyliion Holdings 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

1.86 Million

At this time, Hyliion Holdings' Depreciation And Amortization is very stable compared to the past year.

Hyliion Holdings 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 Hyliion Holdings. 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 Receivables145K92K70K1.1M40K38K
Total Current Assets6.8M608.1M386.5M324.2M181.7M276.6M

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

About Hyliion Holdings Fundamental Analysis

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

Pair Trading with Hyliion Holdings

One of the main advantages of trading using pair correlations is that every trade hedges away some risk. Because there are two separate transactions required, even if Hyliion Holdings position performs unexpectedly, the other equity can make up some of the losses. Pair trading also minimizes risk from directional movements in the market. For example, if an entire industry or sector drops because of unexpected headlines, the short position in Hyliion Holdings will appreciate offsetting losses from the drop in the long position's value.

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The ability to find closely correlated positions to Hyliion Holdings could be a great tool in your tax-loss harvesting strategies, allowing investors a quick way to find a similar-enough asset to replace Hyliion Holdings when you sell it. If you don't do this, your portfolio allocation will be skewed against your target asset allocation. So, investors can't just sell and buy back Hyliion Holdings - that would be a violation of the tax code under the "wash sale" rule, and this is why you need to find a similar enough asset and use the proceeds from selling Hyliion Holdings Corp to buy it.
The correlation of Hyliion Holdings is a statistical measure of how it moves in relation to other instruments. This measure is expressed in what is known as the correlation coefficient, which ranges between -1 and +1. A perfect positive correlation (i.e., a correlation coefficient of +1) implies that as Hyliion Holdings moves, either up or down, the other security will move in the same direction. Alternatively, perfect negative correlation means that if Hyliion Holdings Corp moves in either direction, the perfectly negatively correlated security will move in the opposite direction. If the correlation is 0, the equities are not correlated; they are entirely random. A correlation greater than 0.8 is generally described as strong, whereas a correlation less than 0.5 is generally considered weak.
Correlation analysis and pair trading evaluation for Hyliion Holdings can also be used as hedging techniques within a particular sector or industry or even over random equities to generate a better risk-adjusted return on your portfolios.
Pair CorrelationCorrelation Matching
When determining whether Hyliion Holdings Corp offers a strong return on investment in its stock, a comprehensive analysis is essential. The process typically begins with a thorough review of Hyliion Holdings' 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 Hyliion Holdings Corp Stock. Outlined below are crucial reports that will aid in making a well-informed decision on Hyliion Holdings Corp Stock:
Check out Hyliion Holdings Piotroski F Score and Hyliion Holdings Altman Z Score analysis.
You can also try the Pair Correlation module to compare performance and examine fundamental relationship between any two equity instruments.
Is Industrial Machinery & Supplies & Components 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 Hyliion Holdings. If investors know Hyliion 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 Hyliion Holdings listed above have to be considered, but the key to understanding future value is determining which factors weigh more heavily than others.
Earnings Share
(0.48)
Revenue Per Share
0.001
Quarterly Revenue Growth
(1.00)
Return On Assets
(0.16)
Return On Equity
(0.27)
The market value of Hyliion Holdings Corp is measured differently than its book value, which is the value of Hyliion that is recorded on the company's balance sheet. Investors also form their own opinion of Hyliion Holdings' value that differs from its market value or its book value, called intrinsic value, which is Hyliion Holdings' 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 Hyliion Holdings' market value can be influenced by many factors that don't directly affect Hyliion Holdings' 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 Hyliion Holdings' value and its price as these two are different measures arrived at by different means. Investors typically determine if Hyliion Holdings is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Hyliion Holdings' 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.