Usa Compression Partners Stock Beneish M Score

USAC Stock  USD 23.05  0.01  0.04%   
This module uses fundamental data of USA Compression to approximate the value of its Beneish M Score. USA Compression 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 USA Compression Piotroski F Score and USA Compression Altman Z Score analysis.
  
At present, USA Compression's Debt Equity Ratio is projected to increase significantly based on the last few years of reporting. The current year's Cash Flow To Debt Ratio is expected to grow to 0.15, whereas Short and Long Term Debt Total is forecasted to decline to about 1.3 B. At present, USA Compression's PTB Ratio is projected to increase significantly based on the last few years of reporting. The current year's Free Cash Flow Yield is expected to grow to 0.02, whereas Dividend Yield is forecasted to decline to 0.09.
At this time, it appears that USA Compression Partners is an unlikely manipulator. The earnings manipulation may begin if USA Compression'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 USA Compression 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 USA Compression'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.
-2.25
Beneish M Score - Unlikely Manipulator
Elasticity of Receivables

0.63

Focus
Asset Quality

1.54

Focus
Expense Coverage

1.24

Focus
Gross Margin Strengs

1.07

Focus
Accruals Factor

1.24

Focus
Depreciation Resistance

1.32

Focus
Net Sales Growth

1.05

Focus
Financial Leverage Condition

0.69

Focus

USA Compression 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 USA Compression'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 Receivables63.3 M95.4 M
Way Down
Slightly volatile
Total Revenue888.5 M846.2 M
Sufficiently Up
Slightly volatile
Total Assets2.1 B2.7 B
Way Down
Slightly volatile
Total Current Assets117.2 M226.4 M
Way Down
Slightly volatile
Non Current Assets TotalB2.5 B
Significantly Down
Slightly volatile
Property Plant EquipmentB2.5 B
Significantly Down
Slightly volatile
Depreciation And Amortization141.4 M246.1 M
Way Down
Slightly volatile
Selling General Administrative92.9 M71.6 M
Significantly Up
Very volatile
Total Current Liabilities108.4 M187.5 M
Way Down
Slightly volatile
Non Current Liabilities Total1.2 B2.4 B
Way Down
Slightly volatile
Net Debt1.2 B2.4 B
Way Down
Slightly volatile
Short Term Debt4.3 M4.5 M
Notably Down
Slightly volatile
Long Term Debt1.5 B2.3 B
Way Down
Slightly volatile
Total Cash From Operating Activities168 M271.9 M
Way Down
Slightly volatile
Long Term Investments11.1 M6.2 M
Way Up
Slightly volatile
Gross Profit Margin0.40.3727
Notably Up
Very volatile

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

About USA Compression 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

141.39 Million

At present, USA Compression's Depreciation And Amortization is projected to increase significantly based on the last few years of reporting.

USA Compression 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 USA Compression. 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 Receivables136.8M112.5M113.2M83.9M95.4M63.3M
Total Revenue698.4M667.7M632.6M704.6M846.2M888.5M
Total Assets3.7B2.9B2.8B2.7B2.7B2.1B
Total Current Assets230.9M199.6M205.0M186.4M226.4M117.2M
Net Debt1.9B1.9B2.0B2.1B2.4B1.2B
Long Term Debt1.9B1.9B2.0B2.1B2.3B1.5B
Operating Income(56.1M)(76.1M)(95.3M)(64.3M)232.0M243.6M
Investments(144.5M)(105.1M)(39.2M)(129.9M)(196.9M)(206.8M)

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

About USA Compression Fundamental Analysis

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

Also Currently Popular

Analyzing currently trending equities could be an opportunity to develop a better portfolio based on different market momentums that they can trigger. Utilizing the top trending stocks is also useful when creating a market-neutral strategy or pair trading technique involving a short or a long position in a currently trending equity.
When determining whether USA Compression Partners offers a strong return on investment in its stock, a comprehensive analysis is essential. The process typically begins with a thorough review of USA Compression's 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 Usa Compression Partners Stock. Outlined below are crucial reports that will aid in making a well-informed decision on Usa Compression Partners Stock:
Check out USA Compression Piotroski F Score and USA Compression Altman Z Score analysis.
You can also try the Options Analysis module to analyze and evaluate options and option chains as a potential hedge for your portfolios.
Is Oil & Gas Equipment & Services 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 USA Compression. If investors know USA 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 USA Compression 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
0.44
Dividend Share
2.1
Earnings Share
0.55
Revenue Per Share
8.525
Quarterly Revenue Growth
0.105
The market value of USA Compression Partners is measured differently than its book value, which is the value of USA that is recorded on the company's balance sheet. Investors also form their own opinion of USA Compression's value that differs from its market value or its book value, called intrinsic value, which is USA Compression'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 USA Compression's market value can be influenced by many factors that don't directly affect USA Compression'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 USA Compression's value and its price as these two are different measures arrived at by different means. Investors typically determine if USA Compression is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, USA Compression'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.