F

Insight Enterprises, Inc. — Earnings Quality Grade F

NSIT · Technology

Major red flags

Revenue
$8.2B
2025
Net Income
$157M
2025
Gross Margin
21.4%
Free Cash Flow
$279M
01

Screening Summary

11
Passed
2
Watch
4
Failed
-2.39
M-Score

Management Signals

No recent CEO, CFO, board, or accounting leadership signals found in SEC 8-K filings.
02

Financial Trends

Revenue & Net Income ($B)

Margins (%)

03

18-Point Screening

01

Revenue Quality

A1DSO Change

DSO surged by 69 days (175 → 244)

A2AR vs Revenue Growth

AR outpaced revenue for 2 consecutive years

A3Revenue vs CFFO

Revenue -5.2%, CFFO -52.0%. Cash follows revenue

02

Expense Quality

!
B1Inventory vs COGS

Inventory growth 31.1% exceeds COGS -6.5%

B2CapEx vs Revenue

CapEx growth -47.6% vs revenue -5.2%. Normal

!
B3SG&A Ratio

SG&A/Gross Profit = 78.7%, exceeds 70%

B4Gross Margin

Gross margin 21.4%, change +1.1pp. Stable

03

Cash Flow Quality

C1CFFO vs Net Income

CFFO/NI = 1.93. Profits backed by cash

C2Free Cash Flow

FCF $0.3B, FCF/NI = 1.78

C3Accruals Ratio

Accruals ratio = -1.6%. Low accruals

C4Cash vs Debt

Cash $0.4B covers only 23% of debt $1.6B

04

Balance Sheet Health

D1Goodwill + Intangibles

Goodwill+Intangibles $1.6B = 97% of equity. Over 50%

D2Leverage

Debt/EBITDA = 3.8x. Healthy

D3Soft Asset Growth

Other assets -8.8% vs revenue -5.2%. Normal

D4Asset Impairment

No write-off data

05

Acquisition Risk

E1Serial Acquirer FCF

FCF after acquisitions positive

E2Goodwill Surge

Goodwill+Intangibles change 21% YoY. Normal

06

Manipulation Score

F1Beneish M-Score

M-Score = -2.39 (< -2.22). Unlikely manipulator

Portfolio monitoring

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04

Beneish M-Score

Manipulation Probability-2.39
-4.0 Clean-2.22 Grey-1.78 Danger0
1.395
DSRI
AR growing faster than revenue?
0.95
GMI
Gross margin declining?
0.871
AQI
Asset quality deteriorating?
0.948
SGI
Revenue growth rate
0.867
DEPI
Depreciation slowing?
1.089
SGAI
SG&A ratio changing?
-0.0161
TATA
Accruals level
1.139
LVGI
Leverage increasing?
05

Altman Z-Score

1.92
Grey Zone
0 Distress1.102.605.0+ Safe
0.1384
Liquidity
0.1673
Cumulative profit
0.0342
Operating efficiency
0.2217
Leverage

Generated from public financial data using forensic accounting frameworks. Not investment advice. Data: Yahoo Finance · 2026-04-25