CMS
ConstructionValuation Breakdown
Construction and industrial firms have characteristics of both cyclical businesses (lumpy project-based revenue) and growth companies (expanding order books). This model blends two approaches 50/50: EV/EBITDA valuation (captures current earning power relative to peers) and FCF-based DCF (captures future cash generation potential). If EV/EBITDA produces a negative value (debt exceeds enterprise value), only DCF is used.
Valuation Track Record
Retroactive intrinsic value vs actual close price — CMS
Earnings Quality
Fiscal year 2025
Financial Forensics
Beneish M-Score · 2025
CMS exhibits several concerning indicators of earnings quality and potential manipulation, as evidenced by a Beneish M-Score of -1.5708, which is close to the manipulation threshold. The earnings quality score of 35.9/100, particularly the zero scores in cash conversion and revenue quality, raises further alarms about the sustainability of reported earnings.
- Beneish M-Score of -1.5708, indicating potential earnings manipulation risk as it is close to the threshold of -1.78.
- Earnings Quality Score of 35.9/100, particularly with an eq_cash_conv score of 0.0/100, suggesting severe issues with cash flow relative to earnings.
- DSRI of 0.7861 indicates a lower risk of revenue manipulation through inventory, which is a positive sign.
- Receivables quality score of 100.0/100 suggests strong management of receivables, indicating potential efficiency in collections.
The ownership structure is concentrated, with the top shareholder holding 24.3%, which may lead to governance risks and potential conflicts of interest. The presence of multiple individual shareholders could also indicate a lack of institutional oversight.
Investors should exercise caution and conduct further due diligence on CMS, particularly focusing on cash flow management and earnings sustainability. Monitoring future earnings reports and cash flow statements will be critical to assess any improvements or deteriorations in financial health.
Generated by AI based on quantitative data. Not financial advice.
Quantitative Scores
Key Ratios
Company Overview
// OWNERSHIP_NETWORK
> mapping common ownership for CMS — hover nodes for intel, click to navigate