Bayfirst Financial Corp Stock Beneish M Score

BAFN Stock  USD 13.71  0.28  2.08%   
This module uses fundamental data of Bayfirst Financial to approximate the value of its Beneish M Score. Bayfirst Financial 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 Bayfirst Financial Piotroski F Score and Bayfirst Financial Altman Z Score analysis.
  
At this time, Bayfirst Financial's Long Term Debt is very stable compared to the past year. As of the 12th of November 2024, Net Debt To EBITDA is likely to grow to 207.41, while Short and Long Term Debt Total is likely to drop about 19.9 M. At this time, Bayfirst Financial's Earnings Yield is very stable compared to the past year. As of the 12th of November 2024, Net Debt To EBITDA is likely to grow to 207.41, while Price To Sales Ratio is likely to drop 0.50.
At this time, it appears that Bayfirst Financial Corp is an unlikely manipulator. The earnings manipulation may begin if Bayfirst Financial'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 Bayfirst Financial 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 Bayfirst Financial'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.
-2.85
Beneish M Score - Unlikely Manipulator
Elasticity of Receivables

1.0

Focus
Asset Quality

0.96

Focus
Expense Coverage

0.61

Focus
Gross Margin Strengs

N/A

Focus
Accruals Factor

0.61

Focus
Depreciation Resistance

0.76

Focus
Net Sales Growth

1.05

Focus
Financial Leverage Condition

1.01

Focus

Bayfirst Financial 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 Bayfirst Financial'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 Receivables7.5 M7.1 M
Sufficiently Up
Slightly volatile
Total Revenue107.7 M102.6 M
Sufficiently Up
Slightly volatile
Total Assets1.2 B1.1 B
Sufficiently Up
Slightly volatile
Total Current Assets91.7 M70.2 M
Significantly Up
Slightly volatile
Non Current Assets Total1.1 BB
Sufficiently Up
Slightly volatile
Property Plant Equipment31.4 M44.4 M
Way Down
Slightly volatile
Depreciation And Amortization2.1 M2.2 M
Notably Down
Pretty Stable
Selling General Administrative24.7 M38.9 M
Way Down
Slightly volatile
Total Current Liabilities667.3 M635.5 M
Sufficiently Up
Slightly volatile
Non Current Liabilities Total400.6 M381.6 M
Sufficiently Up
Slightly volatile
Short Term Debt9.9 M10.5 M
Notably Down
Very volatile
Long Term Debt20.4 M18.3 M
Moderately Up
Pretty Stable
Long Term Investments26.5 M42.1 M
Way Down
Slightly volatile

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

About Bayfirst Financial 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

2.13 Million

At this time, Bayfirst Financial's Depreciation And Amortization is very stable compared to the past year.

Bayfirst Financial 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 Bayfirst Financial. 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)
Total Revenue66.7M123.8M149.6M57.8M102.6M107.7M
Total Assets531.2M1.5B917.1M938.9M1.1B1.2B
Operating Income6.3M15.8M32.5M4.8M(213K)(202.4K)
Investments1.2M2.0K(31.5M)(74.9M)(611.6M)(581.1M)

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

About Bayfirst Financial Fundamental Analysis

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

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 Bayfirst Financial 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 Bayfirst Financial will appreciate offsetting losses from the drop in the long position's value.
The ability to find closely correlated positions to Bayfirst Financial could be a great tool in your tax-loss harvesting strategies, allowing investors a quick way to find a similar-enough asset to replace Bayfirst Financial 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 Bayfirst Financial - 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 Bayfirst Financial Corp to buy it.
The correlation of Bayfirst Financial 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 Bayfirst Financial moves, either up or down, the other security will move in the same direction. Alternatively, perfect negative correlation means that if Bayfirst Financial 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 Bayfirst Financial 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 Bayfirst Financial Corp offers a strong return on investment in its stock, a comprehensive analysis is essential. The process typically begins with a thorough review of Bayfirst Financial'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 Bayfirst Financial Corp Stock. Outlined below are crucial reports that will aid in making a well-informed decision on Bayfirst Financial Corp Stock:
Check out Bayfirst Financial Piotroski F Score and Bayfirst Financial Altman Z Score analysis.
You can also try the Portfolio Optimization module to compute new portfolio that will generate highest expected return given your specified tolerance for risk.
Is Regional Banks 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 Bayfirst Financial. If investors know Bayfirst 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 Bayfirst Financial 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
(0.56)
Dividend Share
0.32
Earnings Share
0.74
Revenue Per Share
30.056
Quarterly Revenue Growth
(0.07)
The market value of Bayfirst Financial Corp is measured differently than its book value, which is the value of Bayfirst that is recorded on the company's balance sheet. Investors also form their own opinion of Bayfirst Financial's value that differs from its market value or its book value, called intrinsic value, which is Bayfirst Financial'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 Bayfirst Financial's market value can be influenced by many factors that don't directly affect Bayfirst Financial'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 Bayfirst Financial's value and its price as these two are different measures arrived at by different means. Investors typically determine if Bayfirst Financial is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Bayfirst Financial'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.