Ing Group Nv Stock Beneish M Score

ING Stock  USD 15.45  0.18  1.18%   
This module uses fundamental data of ING Group to approximate the value of its Beneish M Score. ING Group 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 ING Group Piotroski F Score and ING Group Altman Z Score analysis.
  
At this time, ING Group's Short Term Debt is most likely to decrease significantly in the upcoming years. The ING Group's current Debt To Equity is estimated to increase to 4.75, while Short and Long Term Debt is projected to decrease to roughly 164.1 B. At this time, ING Group's Stock Based Compensation To Revenue is most likely to increase slightly in the upcoming years. The ING Group's current PB Ratio is estimated to increase to 1.17, while Dividend Yield is projected to decrease to 0.04.
At this time, it appears that ING Group NV is an unlikely manipulator. The earnings manipulation may begin if ING Group'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 ING Group 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 ING Group'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.
-2.51
Beneish M Score - Unlikely Manipulator
Elasticity of Receivables

0.64

Focus
Asset Quality

1.0

Focus
Expense Coverage

1.3

Focus
Gross Margin Strengs

0.73

Focus
Accruals Factor

1.3

Focus
Depreciation Resistance

1.31

Focus
Net Sales Growth

1.48

Focus
Financial Leverage Condition

1.04

Focus

ING Group 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 ING Group'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 Receivables792.3 M834 M
Notably Down
Slightly volatile
Total Revenue33.2 B22.4 B
Way Up
Slightly volatile
Total AssetsT975.6 B
Sufficiently Up
Pretty Stable
Total Current Assets211 B201 B
Sufficiently Up
Slightly volatile
Non Current Assets Total1.2 T1.2 T
Sufficiently Up
Slightly volatile
Property Plant Equipment3.1 B2.2 B
Significantly Up
Pretty Stable
Depreciation And Amortization685.2 M674 M
Fairly Up
Very volatile
Selling General Administrative14.1 B7.3 B
Way Up
Slightly volatile
Total Current Liabilities627.5 B597.6 B
Sufficiently Up
Slightly volatile
Non Current Liabilities TotalT975 B
Sufficiently Up
Slightly volatile
Long Term Debt85.9 B148.8 B
Way Down
Pretty Stable
Long Term Investments194.3 B211 B
Significantly Down
Pretty Stable
Gross Profit Margin0.841.15
Way Down
Slightly volatile

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

About ING Group 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.

Other Operating Expenses

14.75 Billion

At this time, ING Group's Other Operating Expenses is most likely to decrease significantly in the upcoming years.

ING Group 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 ING Group. 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 Receivables1.1B1.2B1.4B1.3B834M792.3M
Total Revenue18.3B17.8B18.3B29M22.4B33.2B
Total Assets891.7B937.4B951.3B967.8B975.6B1.0T
Total Current Assets87.0B148.3B139.2B119.9B201.0B211.0B
Net Debt81.9B(33.3B)8.0B32.2B60.1B82.4B
Short Term Debt117.8B39.6B51.1B83.0B68.5B73.3B
Long Term Debt83.3B97.9B108.5B111.7B148.8B85.9B
Operating Income6.7B3.7B6.7B4.7B(235M)(223.3M)
Investments(2.9B)(8.3B)6.3B(5.3B)(8.5B)(8.1B)

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

About ING Group Fundamental Analysis

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

Currently Active Assets on Macroaxis

When determining whether ING Group NV is a strong investment it is important to analyze ING Group's competitive position within its industry, examining market share, product or service uniqueness, and competitive advantages. Beyond financials and market position, potential investors should also consider broader economic conditions, industry trends, and any regulatory or geopolitical factors that may impact ING Group's future performance. For an informed investment choice regarding ING Stock, refer to the following important reports:
Is Diversified 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 ING Group. If investors know ING 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 ING Group 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
0.054
Dividend Share
1.106
Earnings Share
2.18
Revenue Per Share
5.223
Quarterly Revenue Growth
(0.01)
The market value of ING Group NV is measured differently than its book value, which is the value of ING that is recorded on the company's balance sheet. Investors also form their own opinion of ING Group's value that differs from its market value or its book value, called intrinsic value, which is ING Group'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 ING Group's market value can be influenced by many factors that don't directly affect ING Group'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 ING Group's value and its price as these two are different measures arrived at by different means. Investors typically determine if ING Group is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, ING Group'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.