McGraw Hill, Inc. — Earnings Quality Grade F
MH · Consumer Defensive
Major red flags
Screening Summary
管理层信号
Financial Trends
Revenue & Net Income ($B)
Margins (%)
18-Point Screening
Revenue Quality
DSO 59 days, change -5 days YoY
AR growth -0.6% vs revenue growth 7.2%
Revenue 7.2%, CFFO 173.7%. Cash follows revenue
Expense Quality
Inventory -18.6% vs COGS 0.5%. Normal
CapEx growth 2.8% vs revenue 7.2%. Normal
SG&A/Gross Profit = 43.2%. Normal
Gross margin 79.9%, change +1.3pp. Stable
Cash Flow Quality
CFFO < Net Income for 3 consecutive years
FCF $0.5B, FCF/NI = -5.65
Accruals ratio = -12.7%. Low accruals
Cash $0.4B covers only 12% of debt $3.3B
Balance Sheet Health
Goodwill+Intangibles $4.2B = 1511% of equity. Over 50%
Debt/EBITDA = 4.9x (>4x). Financial stress
Other assets 7.4% vs revenue 7.2%. Normal
No write-off data
Acquisition Risk
FCF after acquisitions positive
Goodwill+Intangibles change -5% YoY. Normal
Manipulation Score
M-Score = -3.09 (< -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