AMBK (American Bank) Beneish M-Score: -2.18 (As of Jun. 24, 2026)


AMBK American Bank Inc AMBK
56 GF Score
Price $18.38
GF Value $22.69
Valuation Modestly Undervalued
! 3 Warning Signs
View Full Analysis

What is American Bank Beneish M-Score?

American Bank AMBK 56 Beneish M-Score is -2.18 as of Jun. 24, 2026. GuruFocus rates AMBK with a GF Score™ of 56/100 and a GF Value™ of $22.69 (Modestly Undervalued). The stock has 3 warning signs investors should review. Among 1,396 Banks companies, American Bank ranks worse than 82.38% on this metric.

Note: Financial institutions were excluded from the sample in Beneish paper when calculating Beneish M-Score. Thus, the prediction might not fit banks and insurance companies.

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.

Good Sign:

Beneish M-Score -2.18 no higher than -1.78, which implies that the company is unlikely to be a manipulator.

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

AMBK' s Beneish M-Score Range Over the Past 10 Years
Min: -2.67   Med: -2.18   Max: -0.14
Current: -2.18

During the past 13 years, the highest Beneish M-Score of American Bank was -0.14. The lowest was -2.67. And the median was -2.18.

AMBK
56GF Score
American Bank Inc AMBK
Beneish M-Score is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

American Bank 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 Bank 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 * 0.9374+0.528 * 1+0.404 * 1.0014+0.892 * 1.2958+0.115 * 0.9246
-0.172 * SGAI+4.679 * TATA-0.327 * LVGI
-0.172 * 1.0978+4.679 * 0.005818-0.327 * 0.7073
=-2.18

* 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 (Dec25) TTM:Last Year (Dec24) TTM:
Total Receivables was $4.01 Mil.
Revenue was $33.35 Mil.
Gross Profit was $33.35 Mil.
Total Current Assets was $0.00 Mil.
Total Assets was $1,077.61 Mil.
Property, Plant and Equipment(Net PPE) was $11.05 Mil.
Depreciation, Depletion and Amortization(DDA) was $0.57 Mil.
Selling, General, & Admin. Expense(SGA) was $0.73 Mil.
Total Current Liabilities was $0.00 Mil.
Long-Term Debt & Capital Lease Obligation was $60.32 Mil.
Net Income was $13.65 Mil.
Gross Profit was $0.00 Mil.
Cash Flow from Operations was $7.38 Mil.
 Total Receivables was $3.30 Mil.
Revenue was $25.74 Mil.
Gross Profit was $25.74 Mil.
Total Current Assets was $0.00 Mil.
Total Assets was $986.67 Mil.
Property, Plant and Equipment(Net PPE) was $11.45 Mil.
Depreciation, Depletion and Amortization(DDA) was $0.54 Mil.
Selling, General, & Admin. Expense(SGA) was $0.52 Mil.
Total Current Liabilities was $0.00 Mil.
Long-Term Debt & Capital Lease Obligation was $78.09 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)
=(4.012 / 33.351) / (3.303 / 25.738)
=0.120296 / 0.128332
=0.9374

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)
=(25.738 / 25.738) / (33.351 / 33.351)
=1 / 1
=1

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 - (0 + 11.051) / 1077.605) / (1 - (0 + 11.45) / 986.667)
=0.989745 / 0.988395
=1.0014

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
=33.351 / 25.738
=1.2958

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))
=(0.543 / (0.543 + 11.45)) / (0.569 / (0.569 + 11.051))
=0.045276 / 0.048967
=0.9246

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)
=(0.734 / 33.351) / (0.516 / 25.738)
=0.022008 / 0.020048
=1.0978

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)
=((60.324 + 0) / 1077.605) / ((78.089 + 0) / 986.667)
=0.05598 / 0.079144
=0.7073

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
=(13.647 - 0 - 7.377) / 1077.605
=0.005818

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 Bank has a M-score of -2.18 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 -2.18 mean?
American Bank (AMBK) has a Beneish M-Score of -2.18 as of Jun. 24, 2026. The Beneish M-score measures the likelihood of earnings manipulation. View historical data on American Bank and its competitors. According to the industry distribution chart, American Bank ranks #1150 out of 1396 companies in the Banks industry, placing it in the top 82.4%.
Is American Bank's Beneish M-Score too high?
American Bank's current Beneish M-Score is -2.18. Based on the distribution chart, American Bank ranks #1150 out of 1396 companies in the Banks industry, which is in the bottom quartile relative to peers. Overall, American Bank has a GF Score™ of 56/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does American Bank's Beneish M-Score compare to RVSB and JFBC?
According to the Banks industry distribution chart, American Bank ranks #1150 out of 1396 companies for Beneish M-Score. This places American Bank in the lower half of its 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 a Banks company?
A good Beneish M-Score depends on the Banks 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 Bank and its competitors. American Bank's current Beneish M-Score is -2.18. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is American Bank stock overvalued right now?
Based on GuruFocus' analysis, American Bank (AMBK) is currently considered Modestly Undervalued. The stock's GF Value™ is $22.69, compared to a current price of $18.38 — trading 19% below its estimated fair value. The current Beneish M-Score is -2.18. American Bank's overall GF Score™ is 56/100 with 3 warning signs to review. 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 Bank (AMBK), the current Beneish M-Score is -2.18 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.

Is American Bank (AMBK) Overvalued in 2026?

Based on GuruFocus' analysis, American Bank stock appears to be undervalued. The current stock price of $18.38 is trading 19% below its estimated GF Value™ of $22.69. GuruFocus considers American Bank to be Modestly Undervalued.

Key valuation signals for AMBK:

  • Beneish M-Score: -2.18
  • GF Value™: $22.69 vs. price of $18.38 (19% below fair value)
  • GF Score™: 56/100 with 3 warning signs

No single metric tells the full story. See the AMBK stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.

American Bank Business Description

Address 615 Waterfront Drive, Suite 501, Allentown, PA, USA, 18102
American Bank Inc is a United States-based holding company for American Bank. The bank offers deposit and loan products for consumers, businesses, public, institutional, and governmental customers, including interest-bearing checking, money market accounts, and retirement accounts. The company generates revenue from interest and dividend income on loans and investments.
56GF Score

Get the complete analysis for AMBK

Beneish M-Score is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

$18.38
Price
$22.69
GF Value