BCO Estado do Rio Grande do Sul (BSP:BRSR3) Beneish M-Score: -2.79 (As of Jul. 01, 2026)


BSP:BRSR3 BCO Estado do Rio Grande do Sul SA BSP:BRSR3
73 GF Score
Price R$18.11
GF Value R$14.93
Valuation Modestly Overvalued
! 3 Warning Signs
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What is BCO Estado do Rio Grande do Sul Beneish M-Score?

BCO Estado do Rio Grande do Sul BSP:BRSR3 +1.57% 73 Beneish M-Score is -2.79 as of Jul. 01, 2026. GuruFocus rates BSP:BRSR3 with a GF Score™ of 73/100 and a GF Value™ of R$14.93 (Modestly Overvalued). The stock has 3 warning signs investors should review. Among 1,397 Banks companies, BCO Estado do Rio Grande do Sul ranks better than 89.19% 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 -2.79 no higher than -1.78, which implies that the company is unlikely to be a manipulator.

The historical rank and industry rank for BCO Estado do Rio Grande do Sul's Beneish M-Score or its related term are showing as below:

BSP:BRSR3' s Beneish M-Score Range Over the Past 10 Years
Min: -3.11   Med: -2.55   Max: -2.28
Current: -2.79

During the past 13 years, the highest Beneish M-Score of BCO Estado do Rio Grande do Sul was -2.28. The lowest was -3.11. And the median was -2.55.

BSP:BRSR3
73GF Score
BCO Estado do Rio Grande do Sul SA BSP:BRSR3
Beneish M-Score is just one metric. See GF Score™, valuation, warning signs, and more.
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BCO Estado do Rio Grande do Sul 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 BCO Estado do Rio Grande do Sul 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+0.528 * 1+0.404 * 1.0005+0.892 * 1.039+0.115 * 0.9921
-0.172 * SGAI+4.679 * TATA-0.327 * LVGI
-0.172 * 1.0038+4.679 * -0.066196-0.327 * 1.103
=-2.79

* 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 (Mar26) TTM:Last Year (Mar25) TTM:
Total Receivables was R$0 Mil.
Revenue was 2418.233 + 1960.642 + 2273.567 + 2328.337 = R$8,981 Mil.
Gross Profit was 2418.233 + 1960.642 + 2273.567 + 2328.337 = R$8,981 Mil.
Total Current Assets was R$0 Mil.
Total Assets was R$163,539 Mil.
Property, Plant and Equipment(Net PPE) was R$915 Mil.
Depreciation, Depletion and Amortization(DDA) was R$409 Mil.
Selling, General, & Admin. Expense(SGA) was R$1,742 Mil.
Total Current Liabilities was R$0 Mil.
Long-Term Debt & Capital Lease Obligation was R$9,503 Mil.
Net Income was 269.665 + 718.435 + 365.601 + 407.087 = R$1,761 Mil.
Non Operating Income was 0 + 0 + 0 + 0 = R$0 Mil.
Cash Flow from Operations was 4361.071 + 3249.739 + 57.65 + 4917.998 = R$12,586 Mil.
 Total Receivables was R$0 Mil.
Revenue was 2279.149 + 2102.177 + 2098.12 + 2164.275 = R$8,644 Mil.
Gross Profit was 2279.149 + 2102.177 + 2098.12 + 2164.275 = R$8,644 Mil.
Total Current Assets was R$0 Mil.
Total Assets was R$151,511 Mil.
Property, Plant and Equipment(Net PPE) was R$926 Mil.
Depreciation, Depletion and Amortization(DDA) was R$409 Mil.
Selling, General, & Admin. Expense(SGA) was R$1,670 Mil.
Total Current Liabilities was R$0 Mil.
Long-Term Debt & Capital Lease Obligation was R$7,982 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)
=(0 / 8980.779) / (0 / 8643.721)
=0 / 0
=1

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)
=(8643.721 / 8643.721) / (8980.779 / 8980.779)
=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 + 915.346) / 163538.979) / (1 - (0 + 926.426) / 151511.198)
=0.994403 / 0.993885
=1.0005

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
=8980.779 / 8643.721
=1.039

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))
=(409.238 / (409.238 + 926.426)) / (409.029 / (409.029 + 915.346))
=0.306393 / 0.308847
=0.9921

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)
=(1741.769 / 8980.779) / (1670.009 / 8643.721)
=0.193944 / 0.193205
=1.0038

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)
=((9503.272 + 0) / 163538.979) / ((7982.071 + 0) / 151511.198)
=0.05811 / 0.052683
=1.103

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
=(1760.788 - 0 - 12586.458) / 163538.979
=-0.066196

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.

BCO Estado do Rio Grande do Sul has a M-score of -2.79 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 -2.79 mean?
BCO Estado do Rio Grande do Sul (BSP:BRSR3) has a Beneish M-Score of -2.79 as of Jul. 01, 2026. The Beneish M-score measures the likelihood of earnings manipulation. View historical data on BCO Estado do Rio Grande do Sul and its competitors. According to the industry distribution chart, BCO Estado do Rio Grande do Sul ranks #151 out of 1397 companies in the Banks industry, placing it in the top 10.8%.
Is BCO Estado do Rio Grande do Sul's Beneish M-Score too high?
BCO Estado do Rio Grande do Sul's current Beneish M-Score is -2.79. Based on the distribution chart, BCO Estado do Rio Grande do Sul ranks #151 out of 1397 companies in the Banks industry, which is in the top quartile — a strong position relative to peers. Overall, BCO Estado do Rio Grande do Sul has a GF Score™ of 73/100 and is considered Modestly Overvalued, reflecting its overall financial health beyond just this single metric.
How does BCO Estado do Rio Grande do Sul's Beneish M-Score compare to competitors?
According to the Banks industry distribution chart, BCO Estado do Rio Grande do Sul ranks #151 out of 1397 companies for Beneish M-Score. This places BCO Estado do Rio Grande do Sul in the top 11% of its industry — outperforming the majority of peers. 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 BCO Estado do Rio Grande do Sul and its competitors. BCO Estado do Rio Grande do Sul's current Beneish M-Score is -2.79. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is BCO Estado do Rio Grande do Sul stock overvalued right now?
Based on GuruFocus' analysis, BCO Estado do Rio Grande do Sul (BSP:BRSR3) is currently considered Modestly Overvalued. The stock's GF Value™ is R$14.93, compared to a current price of R$18.11 — trading 21.3% above its estimated fair value. The current Beneish M-Score is -2.79. BCO Estado do Rio Grande do Sul's overall GF Score™ is 73/100 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 BCO Estado do Rio Grande do Sul (BSP:BRSR3), the current Beneish M-Score is -2.79 as of Jul. 01, 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 BCO Estado do Rio Grande do Sul (BSP:BRSR3) Overvalued in 2026?

Based on GuruFocus' analysis, BCO Estado do Rio Grande do Sul stock appears to be overvalued. The current stock price of R$18.11 is trading 21.3% above its estimated GF Value™ of R$14.93. GuruFocus considers BCO Estado do Rio Grande do Sul to be Modestly Overvalued.

Key valuation signals for BSP:BRSR3:

  • Beneish M-Score: -2.79
  • GF Value™: R$14.93 vs. price of R$18.11 (21.3% above fair value)
  • GF Score™: 73/100 with 3 warning signs

No single metric tells the full story. See the BSP:BRSR3 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.

BCO Estado do Rio Grande do Sul Business Description

Other Exchanges BRSR6:BrazilBRSR5:Brazil
Address Rua Capitao Montanha, nº 177 - Centro Porto Alegre, Porto Alegre, RS, BRA, 90010-040
BCO Estado do Rio Grande do Sul SA is a Brazil-based commercial bank that provides personal and corporate banking services. It provides financial services such as multiple banks, providing brokering services, consortia, card management, and warehouses. The company with its subsidiaries and affiliates operates commercial, lending, financing and investment, mortgage loan, development, leasing, and investment portfolios, including foreign exchange transactions, securities brokerage, and credit card and consortium management.
73GF Score

Get the complete analysis for BSP:BRSR3

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

R$18.11
Price
R$14.93
GF Value