ADFS (American Defense Systems) Beneish M-Score: 0.00 (As of Jun. 24, 2026)


What is American Defense Systems Beneish M-Score?

American Defense Systems ADFS Beneish M-Score is 0.00 as of Jun. 24, 2026.

The zones of discrimination for M-Score is as such:

An M-Score of equal or less than -1.78 suggests that the company is unlikely to be a manipulator.
An M-Score of greater than -1.78 signals that the company is likely to be a manipulator.

The historical rank and industry rank for American Defense Systems's Beneish M-Score or its related term are showing as below:

During the past 6 years, the highest Beneish M-Score of American Defense Systems was 0.00. The lowest was 0.00. And the median was 0.00.

American Defense Systems Beneish M-Score Historical Data

* Premium members only.

The historical data trend for American Defense Systems's Beneish M-Score can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

American Defense Systems Beneish M-Score Chart

American Defense Systems Annual Data
Trend Dec06 Dec07 Dec08 Dec09 Dec10 Dec11
Beneish M-Score
Get a 7-Day Free Trial 0.00 0.00 -8.58 -8.04 14.86

American Defense Systems Quarterly Data
Dec07 Mar08 Jun08 Sep08 Dec08 Mar09 Jun09 Sep09 Dec09 Mar10 Jun10 Sep10 Dec10 Mar11 Jun11 Sep11 Dec11 Mar12 Jun12 Sep12
Beneish M-Score Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 6.66 14.86 -2.99 -0.93 -1.46

ADFS vs ASDN, MKRS, PSSR: Beneish M-Score Comparison

For the Aerospace & Defense subindustry, American Defense Systems's Beneish M-Score, along with its competitors' market caps and Beneish M-Score data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.

American Defense Systems Beneish M-Score vs Aerospace & Defense Industry

For the Aerospace & Defense industry and Industrials sector, American Defense Systems's Beneish M-Score distribution charts can be found below:

* The bar in red indicates where American Defense Systems's Beneish M-Score falls into.


American Defense Systems Beneish M-Score Calculation

The M-score was created by Professor Messod Beneish. Instead of measuring the bankruptcy risk (Altman Z-Score) or business trend (Piotroski F-Score), M-score can be used to detect the risk of earnings manipulation. This is the original research paper on M-score.

The M-Score Variables:

The M-score of American Defense Systems for today is based on a combination of the following eight different indices:

M=-4.84+0.92 * DSRI+0.528 * GMI+0.404 * AQI+0.892 * SGI+0.115 * DEPI
=-4.84+0.92 * 1.4215+0.528 * 0.6973+0.404 * 1.0576+0.892 * 0.6239+0.115 * 1.2846
-0.172 * SGAI+4.679 * TATA-0.327 * LVGI
-0.172 * 0.3919+4.679 * -7.08234-0.327 * 1.6529
=-35.78

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

This Year (Sep12) TTM:Last Year (Sep11) TTM:
Total Receivables was $1.06 Mil.
Revenue was 1.601 + 1.735 + 1.89 + 1.709 = $6.94 Mil.
Gross Profit was 0.693 + 0.946 + 0.598 + 0.518 = $2.76 Mil.
Total Current Assets was $1.32 Mil.
Total Assets was $1.76 Mil.
Property, Plant and Equipment(Net PPE) was $0.28 Mil.
Depreciation, Depletion and Amortization(DDA) was $0.27 Mil.
Selling, General, & Admin. Expense(SGA) was $2.15 Mil.
Total Current Liabilities was $2.56 Mil.
Long-Term Debt & Capital Lease Obligation was $0.00 Mil.
Net Income was -0.077 + -0.13 + -0.395 + 0.734 = $0.13 Mil.
Non Operating Income was -0.009 + -0.06 + -0.01 + 12.701 = $12.62 Mil.
Cash Flow from Operations was 0.012 + 0.021 + -0.076 + 0.025 = $-0.02 Mil.
 Total Receivables was $1.19 Mil.
Revenue was 2.619 + 1.822 + 2.516 + 4.158 = $11.12 Mil.
Gross Profit was 0.996 + 0.697 + 1.131 + 0.255 = $3.08 Mil.
Total Current Assets was $2.87 Mil.
Total Assets was $3.88 Mil.
Property, Plant and Equipment(Net PPE) was $0.70 Mil.
Depreciation, Depletion and Amortization(DDA) was $1.16 Mil.
Selling, General, & Admin. Expense(SGA) was $8.79 Mil.
Total Current Liabilities was $3.41 Mil.
Long-Term Debt & Capital Lease Obligation was $0.00 Mil.

1. DSRI = Days Sales in Receivables Index

Measured as the ratio of Revenue in Total Receivables in year t to year t-1.

A large increase in DSR could be indicative of revenue inflation.

DSRI=(Receivables_t / Revenue_t) / (Receivables_t-1 / Revenue_t-1)
=(1.059 / 6.935) / (1.194 / 11.115)
=0.152704 / 0.107422
=1.4215

2. GMI = Gross Margin Index

Measured as the ratio of gross margin in year t-1 to gross margin in year t.

Gross margin has deteriorated when this index is above 1. A firm with poorer prospects is more likely to manipulate earnings.

GMI=GrossMargin_t-1 / GrossMargin_t
=(GrossProfit_t-1 / Revenue_t-1) / (GrossProfit_t / Revenue_t)
=(3.079 / 11.115) / (2.755 / 6.935)
=0.277013 / 0.39726
=0.6973

3. AQI = Asset Quality Index

AQI is the ratio of asset quality in year t to year t-1.

Asset quality is measured as the ratio of non-current assets other than Property, Plant and Equipment to Total Assets.

AQI=(1 - (CurrentAssets_t + PPE_t) / TotalAssets_t) / (1 - (CurrentAssets_t-1 + PPE_t-1) / TotalAssets_t-1)
=(1 - (1.324 + 0.284) / 1.761) / (1 - (2.867 + 0.697) / 3.883)
=0.086882 / 0.082153
=1.0576

4. SGI = Sales Growth Index

Ratio of Revenue in year t to sales in year t-1.

Sales growth is not itself a measure of manipulation. However, growth companies are likely to find themselves under pressure to manipulate in order to keep up appearances.

SGI=Sales_t / Sales_t-1
=Revenue_t / Revenue_t-1
=6.935 / 11.115
=0.6239

5. DEPI = Depreciation Index

Measured as the ratio of the rate of Depreciation, Depletion and Amortization in year t-1 to the corresponding rate in year t.

DEPI greater than 1 indicates that assets are being depreciated at a slower rate. This suggests that the firm might be revising useful asset life assumptions upwards, or adopting a new method that is income friendly.

DEPI=(Depreciation_t-1 / (Depreciaton_t-1 + PPE_t-1)) / (Depreciation_t / (Depreciaton_t + PPE_t))
=(1.161 / (1.161 + 0.697)) / (0.269 / (0.269 + 0.284))
=0.624865 / 0.486438
=1.2846

Note: If the Depreciation, Depletion and Amortization data is not available, we assume that the depreciation rate is constant and set the Depreciation Index to 1.

6. SGAI = Sales, General and Administrative expenses Index

The ratio of Selling, General, & Admin. Expense(SGA) to Sales in year t relative to year t-1.

SGA expenses index > 1 means that the company is becoming less efficient in generate sales.

SGAI=(SGA_t / Sales_t) / (SGA_t-1 /Sales_t-1)
=(2.149 / 6.935) / (8.788 / 11.115)
=0.309877 / 0.790643
=0.3919

7. LVGI = Leverage Index

The ratio of total debt to Total Assets in year t relative to yeat t-1.

An LVGI > 1 indicates an increase in leverage

LVGI=((LTD_t + CurrentLiabilities_t) / TotalAssets_t) / ((LTD_t-1 + CurrentLiabilities_t-1) / TotalAssets_t-1)
=((0 + 2.557) / 1.761) / ((0 + 3.411) / 3.883)
=1.452016 / 0.878445
=1.6529

8. TATA = Total Accruals to Total Assets

Total accruals calculated as the change in working capital accounts other than cash less depreciation.

TATA=(IncomefromContinuingOperations_t - CashFlowsfromOperations_t) / TotalAssets_t
=(NetIncome_t - NonOperatingIncome_t - CashFlowsfromOperations_t) / TotalAssets_t
=(0.132 - 12.622 - -0.018) / 1.761
=-7.08234

An M-Score of equal or less than -1.78 suggests that the company is unlikely to be a manipulator. An M-Score of greater than -1.78 signals that the company is likely to be a manipulator.

American Defense Systems has a M-score of -35.78 suggests that the company is unlikely to be a manipulator.

Frequently Asked Questions Learn more about Beneish M-Score →
What does a Beneish M-Score of 0.00 mean?
American Defense Systems (ADFS) has a Beneish M-Score of 0.00 as of Jun. 24, 2026. The Beneish M-score measures the likelihood of earnings manipulation. View historical data on American Defense Systems and its competitors.
Is American Defense Systems' Beneish M-Score too high?
American Defense Systems' current Beneish M-Score is 0.00.
How does American Defense Systems' Beneish M-Score compare to ASDN and MKRS?
American Defense Systems' Beneish M-Score of 0.00 can be compared against companies in the Aerospace & Defense industry. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Beneish M-Score for an Aerospace & Defense company?
A good Beneish M-Score depends on the Aerospace & Defense industry context. However, Beneish M-Score should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high Beneish M-Score mean?
A high Beneish M-Score can signal that a stock is expensive relative to its fundamentals. The Beneish M-score measures the likelihood of earnings manipulation. View historical data on American Defense Systems and its competitors. American Defense Systems's current Beneish M-Score is 0.00. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is American Defense Systems stock overvalued right now?
American Defense Systems (ADFS) has a current Beneish M-Score of 0.00. The current Beneish M-Score is 0.00. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Beneish M-Score calculated?
Beneish M-Score is calculated from a company's financial statements. For American Defense Systems (ADFS), the current Beneish M-Score is 0.00 as of Jun. 24, 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.

American Defense Systems Business Description

Address 3440 Toringdon way, suite 205, Room 218, Charlotte, NC, USA, 28277
American Defense Systems Inc is a defense and security products company engaged in three business areas: customized transparent and opaque armor solutions; architectural hardening and perimeter defense and tactical training products and services. It serves US government agencies, general contractors and other commercial and private entities operating in high-threat locations.