F

DuPont de Nemours, Inc. — Earnings Quality Grade F

DD · Basic Materials

Major red flags

Revenue
$6.8B
2025
Net Income
-$779M
2025
Gross Margin
34.5%
Free Cash Flow
$172M
01

Screening Summary

12
Passed
2
Watch
3
Failed
-2.32
M-Score
02

Financial Trends

Revenue & Net Income ($B)

Margins (%)

03

18-Point Screening

01

Revenue Quality

A1DSO Change

DSO 48 days, change +6 days YoY

!
A2AR vs Revenue Growth

AR growth 15.3% exceeds revenue growth 1.9%

A3Revenue vs CFFO

Revenue 1.9%, CFFO -26.8%. Cash follows revenue

02

Expense Quality

B1Inventory vs COGS

Inventory 3.7% vs COGS -0.3%. Normal

B2CapEx vs Revenue

CapEx growth -35.9% vs revenue 1.9%. Normal

B3SG&A Ratio

SG&A/Gross Profit = 43.1%. Normal

B4Gross Margin

Gross margin 34.5%, change +1.5pp. Stable

03

Cash Flow Quality

!
C1CFFO vs Net Income

CFFO/NI = -0.72. Below 1.0

C2Free Cash Flow

FCF < 50% of Net Income for 2 years

C3Accruals Ratio

Accruals ratio = -6.2%. Low accruals

C4Cash vs Debt

Cash $0.7B covers only 22% of debt $3.2B

04

Balance Sheet Health

D1Goodwill + Intangibles

Goodwill+Intangibles $10.9B = 78% of equity. Over 50%

D2Leverage

Debt/EBITDA = 2.8x. Healthy

D3Soft Asset Growth

Other assets -4.1% vs revenue 1.9%. Normal

D4Asset Impairment

No write-off data

05

Acquisition Risk

E1Serial Acquirer FCF

FCF after acquisitions positive

E2Goodwill Surge

Goodwill+Intangibles change 1% YoY. Normal

06

Manipulation Score

F1Beneish M-Score

M-Score = -2.32 (< -2.22). Unlikely manipulator

04

Beneish M-Score

Manipulation Probability-2.32
-4.0 Clean-2.22 Grey-1.78 Danger0
1.131
DSRI
AR growing faster than revenue?
0.958
GMI
Gross margin declining?
1.716
AQI
Asset quality deteriorating?
1.019
SGI
Revenue growth rate
0.987
DEPI
Depreciation slowing?
1.024
SGAI
SG&A ratio changing?
-0.0621
TATA
Accruals level
0.853
LVGI
Leverage increasing?
05

Altman Z-Score

-0.56
Distress Zone
0 Distress1.102.605.0+ Safe
0.1516
Liquidity
-1.1253
Cumulative profit
0.0238
Operating efficiency
1.8628
Leverage

Generated from public financial data using forensic accounting frameworks. Not investment advice. Data: Yahoo Finance · 2026-04-10

DuPont de Nemours, Inc. (DD) Earnings Quality Grade F — EarningsGrade