OPEN-SOURCE SCRIPT

AuditLens - Profit Quality Analyzer

📊 AuditLens - Profit Quality Analyzer

Ever wonder if a company's profits are real or just accounting tricks?

This indicator helps you spot potential earnings manipulation by analyzing the gap between reported profits and actual cash generation.

━━━━━━━━━━━━━━━━━━━━━━━━
🔍 WHAT IT DOES
━━━━━━━━━━━━━━━━━━━━━━━━

Calculates the "Divergence Ratio":
(Net Income - Operating Cash Flow) / Total Assets

• Positive divergence = Profits NOT backed by cash (risky)
• Negative divergence = Cash exceeds profits (healthy "cash cow")

━━━━━━━━━━━━━━━━━━━━━━━━
🚦 SIGNAL GUIDE
━━━━━━━━━━━━━━━━━━━━━━━━

🔴 RED FLAG (>10%): High risk - possible aggressive revenue recognition
🟠 ORANGE: Divergence trending up for 3+ quarters
🟡 YELLOW: Divergence trending up for 2+ quarters
🟢 GREEN (<-5%): "Cash Cow" - strong cash generation
✅ HEALTHY (0 to -5%): Normal profit quality

━━━━━━━━━━━━━━━━━━━━━━━━
📈 HOW TO USE
━━━━━━━━━━━━━━━━━━━━━━━━

1. Add to any stock chart
2. Check the summary table (top right)
3. Look for RED FLAGS before buying
4. Prefer stocks with negative divergence (cash cows)

━━━━━━━━━━━━━━━━━━━━━━━━
⚠️ FAMOUS EXAMPLES
━━━━━━━━━━━━━━━━━━━━━━━━

• Enron (2001): Showed profits but burned cash → Bankruptcy
• Wirecard (2020): €1.9B "cash" that didn't exist → Fraud
• Luckin Coffee (2020): Fake revenue, no cash backing → Delisted

This indicator would have flagged all of them.

━━━━━━━━━━━━━━━━━━━━━━━━
🔗 FULL VERSION
━━━━━━━━━━━━━━━━━━━━━━━━

Want more detailed analysis with:
• 6 advanced audit rules
• Historical trend analysis
• Receivables & Inventory checks
• Detailed reports for any stock

👉 Try the full version FREE: auditlens-check.netlify.app

━━━━━━━━━━━━━━━━━━━━━━━━
📚 THE LOGIC
━━━━━━━━━━━━━━━━━━━━━━━━

Based on forensic accounting principles:
- Companies can manipulate earnings (accruals)
- But cash flow is harder to fake
- Big gap between the two = potential red flag

This is NOT financial advice. Always do your own research.

━━━━━━━━━━━━━━━━━━━━━━━━

Built by AuditLens team 🔍
Questions? DM or comment below.

Skrip open-source

Dengan semangat TradingView yang sesungguhnya, pembuat skrip ini telah menjadikannya sebagai sumber terbuka, sehingga para trader dapat meninjau dan memverifikasi fungsinya. Salut untuk penulisnya! Meskipun Anda dapat menggunakannya secara gratis, perlu diingat bahwa penerbitan ulang kode ini tunduk pada Tata Tertib kami.

crg900118

Pernyataan Penyangkalan

Informasi dan publikasi ini tidak dimaksudkan, dan bukan merupakan, saran atau rekomendasi keuangan, investasi, trading, atau jenis lainnya yang diberikan atau didukung oleh TradingView. Baca selengkapnya di Ketentuan Penggunaan.

Skrip open-source

crg900118