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LifeMD (LifeMD) Beneish M-Score : -4.25 (As of May. 05, 2024)


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What is LifeMD 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.

Good Sign:

Beneish M-Score -4.25 no higher than -1.78, which implies that the company is unlikely to be a manipulator.

The historical rank and industry rank for LifeMD's Beneish M-Score or its related term are showing as below:

LFMD' s Beneish M-Score Range Over the Past 10 Years
Min: -19.24   Med: -5.95   Max: -2.19
Current: -4.25

During the past 13 years, the highest Beneish M-Score of LifeMD was -2.19. The lowest was -19.24. And the median was -5.95.


LifeMD Beneish M-Score Historical Data

The historical data trend for LifeMD'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.

* Premium members only.

LifeMD Beneish M-Score Chart

LifeMD Annual Data
Trend Dec14 Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23
Beneish M-Score
Get a 7-Day Free Trial Premium Member Only Premium Member Only -7.65 -15.13 -3.55 -2.19 -4.25

LifeMD Quarterly Data
Mar19 Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23
Beneish M-Score Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only -2.19 -4.45 -5.51 -5.25 -4.25

Competitive Comparison of LifeMD's Beneish M-Score

For the Health Information Services subindustry, LifeMD'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.


LifeMD's Beneish M-Score Distribution in the Healthcare Providers & Services Industry

For the Healthcare Providers & Services industry and Healthcare sector, LifeMD's Beneish M-Score distribution charts can be found below:

* The bar in red indicates where LifeMD's Beneish M-Score falls into.



LifeMD 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 LifeMD for today is based on a combination of the following eight different indices:

M=-4.84+0.92 * DSRI+0.528 * GMI+0.404 * AQI+0.892 * SGI+0.115 * DEPI
=-4.84+0.92 * 1.4524+0.528 * 0.9624+0.404 * 0.5127+0.892 * 1.2816+0.115 * 0.8037
-0.172 * SGAI+4.679 * TATA-0.327 * LVGI
-0.172 * 0.7978+4.679 * -0.497427-0.327 * 0.7251
=-4.25

* 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.

This Year (Dec23) TTM:Last Year (Dec22) TTM:
Total Receivables was $5.3 Mil.
Revenue was 44.86 + 38.614 + 35.947 + 33.126 = $152.5 Mil.
Gross Profit was 39.504 + 33.832 + 31.398 + 28.911 = $133.6 Mil.
Total Current Assets was $42.6 Mil.
Total Assets was $58.5 Mil.
Property, Plant and Equipment(Net PPE) was $1.1 Mil.
Depreciation, Depletion and Amortization(DDA) was $6.6 Mil.
Selling, General, & Admin. Expense(SGA) was $128.1 Mil.
Total Current Liabilities was $34.8 Mil.
Long-Term Debt & Capital Lease Obligation was $18.0 Mil.
Net Income was -3.732 + -6.122 + -6.733 + -4.008 = $-20.6 Mil.
Non Operating Income was 0 + 0 + 0 + -0.325 = $-0.3 Mil.
Cash Flow from Operations was 5.714 + 1.076 + 4.644 + -2.614 = $8.8 Mil.
Total Receivables was $2.8 Mil.
Revenue was 28.12 + 31.412 + 30.458 + 29.043 = $119.0 Mil.
Gross Profit was 24.052 + 26.696 + 25.823 + 23.795 = $100.4 Mil.
Total Current Assets was $11.3 Mil.
Total Assets was $25.7 Mil.
Property, Plant and Equipment(Net PPE) was $1.7 Mil.
Depreciation, Depletion and Amortization(DDA) was $3.8 Mil.
Selling, General, & Admin. Expense(SGA) was $125.3 Mil.
Total Current Liabilities was $31.4 Mil.
Long-Term Debt & Capital Lease Obligation was $0.6 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)
=(5.277 / 152.547) / (2.835 / 119.033)
=0.034593 / 0.023817
=1.4524

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)
=(100.366 / 119.033) / (133.645 / 152.547)
=0.843178 / 0.876091
=0.9624

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 - (42.604 + 1.071) / 58.481) / (1 - (11.311 + 1.682) / 25.666)
=0.253176 / 0.493766
=0.5127

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
=152.547 / 119.033
=1.2816

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))
=(3.771 / (3.771 + 1.682)) / (6.601 / (6.601 + 1.071))
=0.691546 / 0.860401
=0.8037

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)
=(128.145 / 152.547) / (125.331 / 119.033)
=0.840036 / 1.05291
=0.7978

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)
=((18.002 + 34.782) / 58.481) / ((0.574 + 31.374) / 25.666)
=0.902584 / 1.24476
=0.7251

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
=(-20.595 - -0.325 - 8.82) / 58.481
=-0.497427

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.

LifeMD has a M-score of -4.25 suggests that the company is unlikely to be a manipulator.


LifeMD (LifeMD) Business Description

Traded in Other Exchanges
N/A
Address
236 Fifth Avenue, Suite 400, Fourth Floor, New York, NY, USA, 10001
LifeMD Inc is a direct-to-patient telehealth company that provides a smarter, cost-effective, and more convenient way of accessing comprehensive, virtual healthcare. Its telehealth platform seamlessly integrates a clinician-centric electronic medical record (EMR) system, proprietary algorithms for case-load balancing and scheduling, customer relationship management functionality, remote and in-home lab testing, and digital prescription capabilities, patient-provider audio/video interfacing, cloud pharmacy fulfillment, and more. In addition to telehealth offerings, the company sells nutritional supplements and other over-the-counter products. The company has two operating segments: Telehealth and WorkSimpli. The company generates the majority of its revenue from the Telehealth segment.
Executives
Bertrand Velge director BARNHOUSE FARM, BARNHOUSE LANE BROOKLAND, ROMNEY MARSH, KENT X0 TN299TR
William J Febbo director, other: Consultant 600 CALIFORNIA ST., 9TH FLOOR, SAN FRANCISCO CA 94108
Nicholas P Alvarez officer: Chief Acquisition Officer C/O LIFEMD, INC., 236 FIFTH AVENUE, SUITE 400, NEW YORK NY 10001
Eric Harold Yecies officer: CCO and General Counsel C/O LIFEMD, INC., 236 FIFTH AVENUE, SUITE 400, NEW YORK NY 10001
Brad Michael Roberts officer: Chief Operating Officer 300 CHAFFORD COURT, SIMPSONVILLE SC 29681
Justin Schreiber director, 10 percent owner, officer: President, Immudyne PR 236 FIFTH AVENUE, SUITE 400, NEW YORK NY 10001
Stefan Galluppi director, officer: Chief Operating Officer C/O LIFEMD, INC, 236 FIFTH AVENUE, SUITE 400, NEW YORK NY 10001
Joan Larovere director C/O LIFEMD, 236 FIFTH AVENUE, SUITE 400, NEW YORK NY 10001
Jessica Friedeman officer: Chief Marketing Officer C/O LIFEMD, 236 FIFTH AVENUE, SUITE 400, NEW YORK NY 10001
Kathleen E Walsh director C/O LIFEMD, INC., 236 FIFTH AVENUE, SUITE 400, NEW YORK NY 10001
Piyush Jindal director C/O LIFEMD, INC., 236 FIFTH AVENUE, SUITE 400, NEW YORK NY 10001
Joseph Ditrolio director C/O LIFEMD, INC., 236 FIFTH AVENUE, SUITE 400, NEW YORK NY 10001
Maria E. Stan officer: Principal Accounting Officer 236 FIFTH AVENUE, SUITE 400, NEW YORK NY 10001
Dennis Wijnker officer: Chief Technology Officer 536 FIFTH AVENUE, SUITE 400, NEW YORK NY 10001
Naveen Bhatia director 823 GREENTREE RD, PACIFIC PALISADES CA 90272