Lakeland Beneish M Score

LAKE
 Stock
  

USD 15.25  0.23  1.49%   

This module uses fundamental data of Lakeland Inds to approximate the value of its Beneish M Score. Lakeland Inds 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. Additionally, see Lakeland Inds Piotroski F Score and Lakeland Inds Altman Z Score analysis.
  
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Lakeland Inds Debt Current is projected to decrease significantly based on the last few years of reporting. The past year's Debt Current was at 1.24 Million. The current year Long Term Debt to Equity is expected to grow to 0.0164, whereas Debt Non Current is forecasted to decline to about 3.1 M. Lakeland Inds Long Term Debt to Equity is projected to slightly decrease based on the last few years of reporting. The past year's Long Term Debt to Equity was at 0.016. The current year Calculated Tax Rate is expected to grow to 31.94, whereas Receivables Turnover is forecasted to decline to 6.39.
At this time, it appears that Lakeland Inds is a possible manipulator. The earnings manipulation may begin if Lakeland Inds' 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 Lakeland Inds 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 Lakeland Inds' 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.
-1.8
Beneish M Score - Possible Manipulator
Elasticity of Receivables1.06Focus
Asset Quality2.35Focus
Expense Coverage0.97Focus
Gross Margin Strengs1.02Focus
Accruals Factor0.97Focus
Depreciation Resistance0.89Focus
Net Sales Growth1.03Focus
Financial Leverage Condition1.22Focus

Lakeland Inds 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 Lakeland Inds' 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
Revenues122.4 M118.4 M
Sufficiently Up
Increasing
Slightly volatile
Selling General and Administrative Expense34.9 M34.9 M
Slightly Up
Increasing
Slightly volatile
Net Cash Flow from Operations10.5 M12.8 M
Significantly Down
Increasing
Slightly volatile
Depreciation Amortization and Accretion1.9 M1.9 M
Slightly Down
Increasing
Stable
Total Assets132.1 M140.8 M
Notably Down
Increasing
Slightly volatile
Investments2.4 M2.4 M
Slightly Down
Decreasing
Slightly volatile
Investments Non Current2.4 M2.4 M
Slightly Down
Decreasing
Slightly volatile
Property Plant and Equipment Net12.2 M14 M
Fairly Down
Decreasing
Stable
Trade and Non Trade Receivables16.2 M14.8 M
Significantly Up
Increasing
Slightly volatile
Total Liabilities17.3 M15.7 M
Significantly Up
Decreasing
Slightly volatile
Current Assets109.3 M120.6 M
Moderately Down
Increasing
Slightly volatile
Assets Non Current19.5 M20.1 M
Sufficiently Down
Decreasing
Slightly volatile
Current Liabilities13.4 M12 M
Moderately Up
Decreasing
Stable
Liabilities Non CurrentM3.7 M
Notably Up
Decreasing
Slightly volatile
Total Debt6.3 M4.9 M
Significantly Up
Decreasing
Slightly volatile
Debt Current1.3 M1.2 M
Fairly Up
Decreasing
Slightly volatile
Debt Non Current3.1 M3.7 M
Fairly Down
Decreasing
Slightly volatile
Operating Income13.9 M16 M
Fairly Down
Increasing
Slightly volatile
Gross Margin0.440.43
Fairly Up
Increasing
Slightly volatile

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

About Lakeland Inds 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 Amortization and Accretion

1.85 Million

Share
Lakeland Inds Depreciation Amortization and Accretion is projected to increase significantly based on the last few years of reporting. The past year's Depreciation Amortization and Accretion was at 1.87 Million

Lakeland Inds 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 Lakeland Inds. 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.
201720182019202020212022 (projected)
Revenues95.99 M99.01 M107.81 M159 M118.39 M122.43 M
Total Assets94.53 M94.72 M99.41 M139.55 M140.79 M132.06 M
Current Assets76.5 M75.47 M79.81 M123.34 M120.65 M109.27 M
Assets Non Current18.03 M19.25 M19.6 M16.21 M20.15 M19.47 M
Total Liabilities11.69 M11.49 M14.35 M17.8 M15.69 M17.34 M
Current Liabilities10.38 M10.33 M12.94 M16.18 M12.02 M13.39 M
Total Debt1.68 M1.32 M3.4 M2.38 M4.92 M6.26 M
Debt Current369 K158 K1.99 M768 K1.24 M1.27 M
Debt Non Current1.31 M1.16 M1.41 M1.61 M3.68 M3.15 M
Operating Income8.48 M3.56 M5.88 M43.89 M16.05 M13.91 M

About Lakeland Inds Fundamental Analysis

The Macroaxis Fundamental Analysis modules help investors analyze Lakeland Inds's financials across various querterly and yearly statements, indicators and fundamental ratios. We help investors to determine the real value of Lakeland Inds using virtually all public information available. We use both quantitative as well as qualitative analysis to arrive at the intrinsic value of Lakeland Inds 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.
Lakeland Industries, Inc. manufactures and sells industrial protective clothing and accessories for the industrial and public protective clothing market worldwide. The company was incorporated in 1982 and is headquartered in Huntsville, Alabama. Lakeland Inds operates under Apparel Manufacturing classification in the United States and is traded on NASDAQ Exchange. It employs 1800 people.

Lakeland Inds Investors Sentiment

The influence of Lakeland Inds' investor sentiment on the probability of its price appreciation or decline could be a good factor in your decision-making process regarding taking a position in Lakeland. The overall investor sentiment generally increases the direction of a stock movement in a one-year investment horizon. However, the impact of investor sentiment on the entire stock markets does not have a solid backing from leading economists and market statisticians.

Lakeland Inds Implied Volatility

    
  45.23  
Lakeland Inds' implied volatility exposes the market's sentiment of Lakeland Inds stock's possible movements over time. However, it does not forecast the overall direction of its price. In a nutshell, if Lakeland Inds' implied volatility is high, the market thinks the stock has potential for high price swings in either direction. On the other hand, the low implied volatility suggests that Lakeland Inds stock will not fluctuate a lot when Lakeland Inds' options are near their expiration.
Some investors attempt to determine whether the market's mood is bullish or bearish by monitoring changes in market sentiment. Unlike more traditional methods such as technical analysis, investor sentiment usually refers to the aggregate attitude towards Lakeland Inds in the overall investment community. So, suppose investors can accurately measure the market's sentiment. In that case, they can use it for their benefit. For example, some tools to gauge market sentiment could be utilized using contrarian indexes, Lakeland Inds' short interest history, or implied volatility extrapolated from Lakeland Inds options trading.

Current Sentiment - LAKE

Lakeland Inds Investor Sentiment

Most of Macroaxis users are now bullish on Lakeland Inds. What is your trading attitude regarding investing in Lakeland Inds? Are you bullish or bearish?
Bullish
Bearish
98% Bullish
2% Bearish

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Additionally, see Lakeland Inds Piotroski F Score and Lakeland Inds Altman Z Score analysis. Note that the Lakeland Inds information on this page should be used as a complementary analysis to other Lakeland Inds' statistical models used to find the right mix of equity instruments to add to your existing portfolios or create a brand new portfolio. You can also try Portfolio Holdings module to check your current holdings and cash postion to detemine if your portfolio needs rebalancing.

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When running Lakeland Inds price analysis, check to measure Lakeland Inds' 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 Lakeland Inds is operating at the current time. Most of Lakeland Inds' value examination focuses on studying past and present price action to predict the probability of Lakeland Inds' future price movements. You can analyze the entity against its peers and financial market as a whole to determine factors that move Lakeland Inds' price. Additionally, you may evaluate how the addition of Lakeland Inds to your portfolios can decrease your overall portfolio volatility.
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Is Lakeland Inds' industry 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 Lakeland Inds. If investors know Lakeland 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 Lakeland Inds 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 YOY
-0.77
Market Capitalization
122.3 M
Quarterly Revenue Growth YOY
-0.2
Return On Assets
0.0472
Return On Equity
0.0595
The market value of Lakeland Inds is measured differently than its book value, which is the value of Lakeland that is recorded on the company's balance sheet. Investors also form their own opinion of Lakeland Inds' value that differs from its market value or its book value, called intrinsic value, which is Lakeland Inds' 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 Lakeland Inds' market value can be influenced by many factors that don't directly affect Lakeland Inds' 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 Lakeland Inds' value and its price as these two are different measures arrived at by different means. Investors typically determine Lakeland Inds value by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Lakeland Inds' 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.