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Dominion Energy earnings quality score

How much of the reported profit is backed by cash, and how many markers of managed earnings the filings show

Score47 / 100 · grade D · rank 909 of 1027

Dominion Energy (D) scores 47 of 100 for earnings quality, grade D: rank 909 of 1027 companies and 51 of 55 in utilities. It loses the most points on Montier C-score 5 of 5 checks failed, accruals of -2.2% of assets, higher than 71% of companies (profit backed by cash), discretionary accruals of +3.3% of assets (modified Jones), larger than most. It earns full or near-full marks for Dechow F-score 0.55 (normal), profit about as variable as cash flow (smoothness 0.95).

What earned and lost points

ComponentWhat the filings showPointsOf
Accrualsaccruals of -2.2% of assets, higher than 71% of companies (profit backed by cash)931
Dechow F-scoreDechow F-score 0.55 (normal)2323
Montier C-scoreMontier C-score 5 of 5 checks failed023
Discretionary accrualsdiscretionary accruals of +3.3% of assets (modified Jones), larger than most815
Earnings smoothnessprofit about as variable as cash flow (smoothness 0.95)88
D: share of the available points, by componentD: share of the available points, by componentAccruals29%Discretionary accruals49%Dechow F-score100%Earnings smoothness100%

How the score is built

Eight published measures, each scored against the whole universe or on its own scale and weighted: accruals 20, discretionary accruals 10, Beneish M 15, Dechow F 15, Montier C 15, Piotroski F 10, the non-GAAP gap 10, smoothness 5. A measure that cannot be computed (Beneish for a bank, say) drops out and the rest is rescaled, so every company is scored on what applies to it.

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Computed from the companies’ own XBRL filings (latest fiscal year) by published formulas; a statistical screen, not an audit or an accusation. A low score means the reported profit shows more of the markers of managed or low-quality earnings than its peers. Not investment advice.