Reitar Logtech Holdings Stock Beneish M Score

RITR Stock   3.94  0.23  5.52%   
This module uses fundamental data of Reitar Logtech to approximate the value of its Beneish M Score. Reitar Logtech 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 Reitar Logtech Piotroski F Score and Reitar Logtech Altman Z Score analysis.
  
As of 12/20/2024, Short and Long Term Debt is likely to grow to about 42.9 M, while Net Debt is likely to drop slightly above 27.6 M.
At this time, it appears that Reitar Logtech Holdings is an unlikely manipulator. The earnings manipulation may begin if Reitar Logtech'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 Reitar Logtech 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 Reitar Logtech'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.
-2.23
Beneish M Score - Unlikely Manipulator
Elasticity of Receivables

1.56

Focus
Asset Quality

N/A

Focus
Expense Coverage

0.95

Focus
Gross Margin Strengs

N/A

Focus
Accruals Factor

0.95

Focus
Depreciation Resistance

N/A

Focus
Net Sales Growth

0.61

Focus
Financial Leverage Condition

1.15

Focus

Reitar Logtech 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 Reitar Logtech'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 Receivables315.9 K332.6 K
Notably Down
Pretty Stable
Total Revenue153.3 M252 M
Way Down
Slightly volatile
Total Assets142.6 M242.8 M
Way Down
Slightly volatile
Total Current Assets113.6 M187.4 M
Way Down
Slightly volatile
Non Current Assets Total29 M55.4 M
Way Down
Slightly volatile
Selling General Administrative10.8 M18.7 M
Way Down
Slightly volatile
Total Current Liabilities89.3 M142.4 M
Way Down
Slightly volatile
Net Debt27.6 M31 M
Fairly Down
Slightly volatile
Operating Income18.2 M28.2 M
Way Down
Slightly volatile

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

About Reitar Logtech 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.

Reconciled Depreciation

5.09 Million

At this time, Reitar Logtech's Reconciled Depreciation is relatively stable compared to the past year.

About Reitar Logtech Fundamental Analysis

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

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 Reitar Logtech 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 Reitar Logtech will appreciate offsetting losses from the drop in the long position's value.

Moving against Reitar Stock

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The ability to find closely correlated positions to Reitar Logtech could be a great tool in your tax-loss harvesting strategies, allowing investors a quick way to find a similar-enough asset to replace Reitar Logtech 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 Reitar Logtech - 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 Reitar Logtech Holdings to buy it.
The correlation of Reitar Logtech 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 Reitar Logtech moves, either up or down, the other security will move in the same direction. Alternatively, perfect negative correlation means that if Reitar Logtech Holdings 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 Reitar Logtech 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

Additional Tools for Reitar Stock Analysis

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