LendingTree, Inc. — Earnings Quality Grade F
TREE · Financial Services
Major red flags
Screening Summary
Management Signals
Financial Trends
Revenue & Net Income ($B)
Margins (%)
18-Point Screening
Revenue Quality
DSO 36 days, change -4 days YoY
AR growth 13.1% vs revenue growth 24.1%
Revenue 24.1%, CFFO 17.4%. Cash follows revenue
Expense Quality
No material inventory
CapEx growth 10.7% vs revenue 24.1%. Normal
SG&A/Gross Profit = 86.1%, exceeds 70%
Gross margin 96.2%, change +0.2pp. Stable
Cash Flow Quality
CFFO < Net Income for 3 consecutive years
Small-cap context: Small-cap CFFO/NI often diverges from working-capital swings, not necessarily manipulation.
FCF $0.1B, FCF/NI = 0.40
Accruals ratio = 9.1%. Elevated
Cash $0.1B covers only 18% of debt $0.4B
Balance Sheet Health
Goodwill+Intangibles $0.4B = 146% of equity. Over 50%
Debt/EBITDA = 4.2x (>4x). Financial stress
Other assets grew 124.7% vs revenue 24.1%
No write-off data
Acquisition Risk
FCF after acquisitions positive
Goodwill+Intangibles change -1% YoY. Normal
Manipulation Score
M-Score = -1.81 (grey zone)
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Beneish M-Score
Altman Z-Score — Not Applicable
LendingTree, Inc. is a financial company. Z-Score is designed for non-financial companies.
Generated from public financial data using forensic accounting frameworks. Not investment advice. Data: Yahoo Finance · 2026-04-25