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 -2.53 no higher than -1.78, which implies that the company is unlikely to be a manipulator.
The historical rank and industry rank for Lynas Rare Earths's Beneish M-Score or its related term are showing as below:
ASX:LYC'
s Beneish M-Score Range Over the Past 10 Years
Min: -3.89 Med: -2.61 Max: -0.24
Current: -2.53
During the past 13 years, the highest Beneish M-Score of Lynas Rare Earths was -0.24. The lowest was -3.89. And the median was -2.61.
Lynas Rare Earths Beneish M-Score Related Terms
Lynas Rare Earths Beneish M-Score Historical Data
* Premium members only.
The historical data trend for Lynas Rare Earths'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.
For the Other Industrial Metals & Mining subindustry, Lynas Rare Earths'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.
Lynas Rare Earths Beneish M-Score vs Metals & Mining Industry
For the Metals & Mining industry and Basic Materials sector, Lynas Rare Earths's Beneish M-Score distribution charts can be found below:
* The bar in red indicates where Lynas Rare Earths's Beneish M-Score falls into.
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 Lynas Rare Earths 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 * 0.8447
+
0.528 * 1.2026
+
0.404 * 1.0802
+
0.892 * 1.1684
+
0.115 * 0.7277
-
0.172 * SGAI
+
4.679 * TATA
-
0.327 * LVGI
-
0.172 * 1.1616
+
4.679 * -0.032274
-
0.327 * 0.9535
=
-2.53
* 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.
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.
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))
=
(56.898 / (56.898 + 1994.163))
/
(94.995 / (94.995 + 2396.979))
=
0.027741
/
0.03812
=
0.7277
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
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
=
(7.99 - -1.154
-
104.167)
/
2944.218
=
-0.032274
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.
Lynas Rare Earths has a M-score of -2.53 suggests that the company is unlikely to be a manipulator.
Lynas Rare Earths (ASX:LYC) has a Beneish M-Score of -2.53 as of Jun. 25, 2026. The Beneish M-score measures the likelihood of earnings manipulation. View historical data on Lynas Rare Earths and its competitors. According to the industry distribution chart, Lynas Rare Earths ranks #264 out of 685 companies in the Metals & Mining industry, placing it in the top 38.5%.
Is Lynas Rare Earths' Beneish M-Score too high?
Lynas Rare Earths' current Beneish M-Score is -2.53. Based on the distribution chart, Lynas Rare Earths ranks #264 out of 685 companies in the Metals & Mining industry, which is above the industry midpoint. Overall, Lynas Rare Earths has a GF Score™ of 78/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Lynas Rare Earths' Beneish M-Score compare to competitors?
According to the Metals & Mining industry distribution chart, Lynas Rare Earths ranks #264 out of 685 companies for Beneish M-Score. This puts Lynas Rare Earths in the upper 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 Metals & Mining company?
A good Beneish M-Score depends on the Metals & Mining 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 Lynas Rare Earths and its competitors. Lynas Rare Earths's current Beneish M-Score is -2.53. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Lynas Rare Earths stock overvalued right now?
Based on GuruFocus' analysis, Lynas Rare Earths (ASX:LYC) is currently considered Significantly Overvalued. The stock's GF Value™ is A$13.73, compared to a current price of A$18.70 — trading 36.2% above its estimated fair value. The current Beneish M-Score is -2.53. Lynas Rare Earths' overall GF Score™ is 78/100 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 Lynas Rare Earths (ASX:LYC), the current Beneish M-Score is -2.53 as of Jun. 25, 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 Lynas Rare Earths (ASX:LYC) Overvalued in 2026?
Based on GuruFocus' analysis, Lynas Rare Earths stock appears to be overvalued.
The current stock price of A$18.70 is trading 36.2% above its estimated GF Value™ of A$13.73.
GuruFocus considers Lynas Rare Earths to be Significantly Overvalued.
Key valuation signals for ASX:LYC:
Beneish M-Score: -2.53
GF Value™: A$13.73 vs. price of A$18.70 (36.2% above fair value)
No single metric tells the full story. See the ASX:LYC stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Lynas is the largest rare-earth producer outside China. It owns the high-grade Mount Weld deposit in Western Australia and rare-earth processing facilities in Kalgoorlie and Malaysia. We estimate that Mount Weld is the world's lowest-cost producer of separated neodymium and praseodymium, light rare-earth materials, which are sold to customers in the form of neodymium-praseodymium oxide with a mine life exceeding 20 years. As of December 2025, Lynas is also the only producer of separated heavy rare-earth dysprosium and terbium outside China. The company is further expanding NdPr capacity while diversifying into producing additional separated rare-earth materials, including samarium. It also intends to move downstream into rare-earth metal and magnet production.
78GF Score
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