C&J Energy Services (C&J Energy Services) Beneish M-Score : -3.95 (As of May. 06, 2024)

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What is C&J Energy Services Beneish M-Score?

The zones of discrimination for M-Score is as such:

An M-Score of equal or less than -1.78 suggests that the company is unlikely to be a manipulator.
An M-Score of greater than -1.78 signals that the company is likely to be a manipulator.

The historical rank and industry rank for C&J Energy Services's Beneish M-Score or its related term are showing as below:

CJ' s Beneish M-Score Range Over the Past 10 Years
Min: -8.6 Med: -2.9 Max: -0.66
Current: -3.95

During the past 10 years, the highest Beneish M-Score of C&J Energy Services was -0.66. The lowest was -8.60. And the median was -2.90.

C&J Energy Services Beneish M-Score Historical Data

The historical data trend for C&J Energy Services's Beneish M-Score can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

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C&J Energy Services Beneish M-Score Chart

C&J Energy Services Annual Data

Trend

Dec09

Dec10

Dec11

Dec12

Dec13

Dec14

Dec15

Dec16

Dec17

Dec18

Beneish M-Score

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-2.32

-8.60

-5.45

-1.17

-3.59

C&J Energy Services Quarterly Data
	Sep14	Dec14	Mar15	Jun15	Sep15	Dec15	Mar16	Jun16	Sep16	Dec16	Mar17	Jun17	Sep17	Dec17	Mar18	Jun18	Sep18	Dec18	Mar19	Jun19
Beneish M-Score	Get a 7-Day Free Trial															-1.96	-1.90	-3.59	-	-3.95

Competitive Comparison of C&J Energy Services's Beneish M-Score

For the Oil & Gas Equipment & Services subindustry, C&J Energy Services's Beneish M-Score, along with its competitors' market caps and Beneish M-Score data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.

C&J Energy Services's Beneish M-Score Distribution in the Oil & Gas Industry

For the Oil & Gas industry and Energy sector, C&J Energy Services's Beneish M-Score distribution charts can be found below:

* The bar in red indicates where C&J Energy Services's Beneish M-Score falls into.

C&J Energy Services Beneish M-Score Calculation

The M-score was created by Professor Messod Beneish. Instead of measuring the bankruptcy risk (Altman Z-Score) or business trend (Piotroski F-Score), M-score can be used to detect the risk of earnings manipulation. This is the original research paper on M-score.

The M-Score Variables:

The M-score of C&J Energy Services for today is based on a combination of the following eight different indices:

-4.84

0.92 * DSRI

0.528 * GMI

0.404 * AQI

0.892 * SGI

0.115 * DEPI

-4.84

0.92 * 0.8415

0.528 * 1.9711

0.404 * 0.3118

0.892 * 0.9869

0.115 * 0.7498

0.172 * SGAI

4.679 * TATA

0.327 * LVGI

0.172 * 0.8312

4.679 * -0.249522

0.327 * 1.2019

-3.64

This Year (Jun19) TTM:

Last Year (Jun18) TTM:

Total Receivables was $341 Mil.
Revenue was 501.082 + 510.769 + 490.644 + 567.924 = $2,070 Mil.
Gross Profit was 34.475 + 34.674 + 30.613 + 61.71 = $161 Mil.
Total Current Assets was $551 Mil.
Total Assets was $1,330 Mil.
Property, Plant and Equipment(Net PPE) was $705 Mil.
Depreciation, Depletion and Amortization(DDA) was $242 Mil.
Selling, General, & Admin. Expense(SGA) was $208 Mil.
Total Current Liabilities was $257 Mil.
Long-Term Debt & Capital Lease Obligation was $16 Mil.
Net Income was -110.306 + -23.573 + -189.527 + 10.433 = $-313 Mil.
Non Operating Income was -89.146 + -1.491 + -168.244 + -0.948 = $-260 Mil.
Cash Flow from Operations was 66.668 + 4.737 + 141.767 + 65.57 = $279 Mil.

Total Receivables was $411 Mil.
Revenue was 610.521 + 553 + 491.75 + 442.652 = $2,098 Mil.
Gross Profit was 92.532 + 87.66 + 75.914 + 66.401 = $323 Mil.
Total Current Assets was $637 Mil.
Total Assets was $1,683 Mil.
Property, Plant and Equipment(Net PPE) was $747 Mil.
Depreciation, Depletion and Amortization(DDA) was $177 Mil.
Selling, General, & Admin. Expense(SGA) was $253 Mil.
Total Current Liabilities was $287 Mil.
Long-Term Debt & Capital Lease Obligation was $0 Mil.

1. DSRI = Days Sales in Receivables Index

Measured as the ratio of Revenue in Total Receivables in year t to year t-1.

A large increase in DSR could be indicative of revenue inflation.

DSRI	=	(Receivables_t / Revenue_t)	/	(Receivables_t-1 / Revenue_t-1)
	=	(341.475 / 2070.419)	/	(411.165 / 2097.923)
	=	0.16493	/	0.195987
	=	0.8415

2. GMI = Gross Margin Index

Measured as the ratio of gross margin in year t-1 to gross margin in year t.

Gross margin has deteriorated when this index is above 1. A firm with poorer prospects is more likely to manipulate earnings.

GMI	=	GrossMargin_t-1	/	GrossMargin_t
	=	(GrossProfit_t-1 / Revenue_t-1)	/	(GrossProfit_t / Revenue_t)
	=	(322.507 / 2097.923)	/	(161.472 / 2070.419)
	=	0.153727	/	0.07799
	=	1.9711

3. AQI = Asset Quality Index

AQI is the ratio of asset quality in year t to year t-1.

Asset quality is measured as the ratio of non-current assets other than Property, Plant and Equipment to Total Assets.

AQI	=	(1 - (CurrentAssets_t + PPE_t) / TotalAssets_t)	/	(1 - (CurrentAssets_t-1 + PPE_t-1) / TotalAssets_t-1)
	=	(1 - (551.15 + 705.221) / 1330.087)	/	(1 - (636.802 + 746.814) / 1682.71)
	=	0.055422	/	0.177745
	=	0.3118

4. SGI = Sales Growth Index

Ratio of Revenue in year t to sales in year t-1.

Sales growth is not itself a measure of manipulation. However, growth companies are likely to find themselves under pressure to manipulate in order to keep up appearances.

SGI	=	Sales_t	/	Sales_t-1
	=	Revenue_t	/	Revenue_t-1
	=	2070.419	/	2097.923
	=	0.9869

5. DEPI = Depreciation Index

Measured as the ratio of the rate of Depreciation, Depletion and Amortization in year t-1 to the corresponding rate in year t.

DEPI greater than 1 indicates that assets are being depreciated at a slower rate. This suggests that the firm might be revising useful asset life assumptions upwards, or adopting a new method that is income friendly.

DEPI	=	(Depreciation_t-1 / (Depreciaton_t-1 + PPE_t-1))	/	(Depreciation_t / (Depreciaton_t + PPE_t))
	=	(176.941 / (176.941 + 746.814))	/	(241.986 / (241.986 + 705.221))
	=	0.191545	/	0.255473
	=	0.7498

Note: If the Depreciation, Depletion and Amortization data is not available, we assume that the depreciation rate is constant and set the Depreciation Index to 1.

6. SGAI = Sales, General and Administrative expenses Index

The ratio of Selling, General, & Admin. Expense(SGA) to Sales in year t relative to year t-1.

SGA expenses index > 1 means that the company is becoming less efficient in generate sales.

SGAI	=	(SGA_t / Sales_t)	/	(SGA_t-1 /Sales_t-1)
	=	(207.913 / 2070.419)	/	(253.457 / 2097.923)
	=	0.100421	/	0.120813
	=	0.8312

7. LVGI = Leverage Index

The ratio of total debt to Total Assets in year t relative to yeat t-1.

An LVGI > 1 indicates an increase in leverage

LVGI	=	((LTD_t + CurrentLiabilities_t) / TotalAssets_t)	/	((LTD_t-1 + CurrentLiabilities_t-1) / TotalAssets_t-1)
	=	((16.281 + 256.654) / 1330.087)	/	((0 + 287.29) / 1682.71)
	=	0.205201	/	0.170731
	=	1.2019

8. TATA = Total Accruals to Total Assets

Total accruals calculated as the change in working capital accounts other than cash less depreciation.

TATA	=	(IncomefromContinuingOperations_t	-	CashFlowsfromOperations_t)	/	TotalAssets_t
	=	(NetIncome_t - NonOperatingIncome_t	-	CashFlowsfromOperations_t)	/	TotalAssets_t
	=	(-312.973 - -259.829	-	278.742)	/	1330.087
	=	-0.249522

An M-Score of equal or less than -1.78 suggests that the company is unlikely to be a manipulator. An M-Score of greater than -1.78 signals that the company is likely to be a manipulator.

C&J Energy Services has a M-score of -3.64 suggests that the company is unlikely to be a manipulator.

C&J Energy Services Beneish M-Score Related Terms

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C&J Energy Services (C&J Energy Services) Business Description

Industry

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Traded in Other Exchanges

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Address

3990 Rogerdale Road, Houston, TX, USA, 77042

Website

https://www.cjenergy.com

C&J Energy Services is an oil and gas equipment and services company operating in North America. The company provides oilfield and rig services to upstream exploration and production companies. Its three main business segments are completion services, well construction and intervention services, and well support services. Completion services generate most of the company's revenue and include fracturing services and cased-hole wireline and pumping services. The well construction and intervention services segment consists of cementing and coiled tubing services. The company's well support services segment includes rig services, fluid management services, and other special well site services. The company generates most of its revenue in the United States.