Montrose Environmental Group, I — Earnings Quality Grade F
MEG · Industrials
Major red flags
Screening Summary
管理层信号
Financial Trends
Revenue & Net Income ($B)
Margins (%)
18-Point Screening
Revenue Quality
DSO 68 days, change -15 days YoY
AR growth -2.2% vs revenue growth 19.3%
Revenue 19.3%, CFFO 383.4%. Cash follows revenue
Expense Quality
Inventory -6.0% vs COGS 18.7%. Normal
CapEx growth -28.6% vs revenue 19.3%. Normal
SG&A/Gross Profit = 81.0%, exceeds 70%
Gross margin 40.3%, change +0.3pp. 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 = -107.31
Accruals ratio = -11.0%. Low accruals
Cash $0.0B covers only 3% of debt $0.4B
Balance Sheet Health
Goodwill+Intangibles $0.6B = 131% of equity. Over 50%
Debt/EBITDA = 4.4x (>4x). Interest coverage = 0.6x (<2x). Financial stress
Other assets 12.6% vs revenue 19.3%. Normal
No write-off data
Acquisition Risk
FCF after acquisitions negative for 2/3 years
Goodwill+Intangibles change -4% YoY. Normal
Manipulation Score
M-Score = -3.05 (< -2.22). Unlikely manipulator
Beneish M-Score
Altman Z-Score
Generated from public financial data using forensic accounting frameworks. Not investment advice. Data: Yahoo Finance · 2026-04-25