Itau Unibanco Holding (BUE:ITUB) Beneish M-Score: -2.21 (As of Jun. 25, 2026)


BUE:ITUB Itau Unibanco Holding SA BUE:ITUB
62 GF Score
Price ARS12,240.00
GF Value ARS9,124.67
Valuation Significantly Overvalued
! 9 Warning Signs
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What is Itau Unibanco Holding Beneish M-Score?

Itau Unibanco Holding BUE:ITUB -0.73% 62 Beneish M-Score is -2.21 as of Jun. 25, 2026. GuruFocus rates BUE:ITUB with a GF Score™ of 62/100 and a GF Value™ of ARS9,124.67 (Significantly Overvalued). The stock has 9 warning signs investors should review. Among 1,396 Banks companies, Itau Unibanco Holding ranks worse than 79.44% 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 -2.21 no higher than -1.78, which implies that the company is unlikely to be a manipulator.

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

BUE:ITUB' s Beneish M-Score Range Over the Past 10 Years
Min: -3.47   Med: -2.31   Max: 22.13
Current: -2.21

During the past 13 years, the highest Beneish M-Score of Itau Unibanco Holding was 22.13. The lowest was -3.47. And the median was -2.31.

BUE:ITUB
62GF Score
Itau Unibanco Holding SA BUE:ITUB
Beneish M-Score is just one metric. See GF Score™, valuation, warning signs, and more.
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Itau Unibanco Holding 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 Itau Unibanco Holding 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 * 1.3393+0.528 * 1+0.404 * 1.0007+0.892 * 1.4813+0.115 * 0.8752
-0.172 * SGAI+4.679 * TATA-0.327 * LVGI
-0.172 * 0.9572+4.679 * -0.01643-0.327 * 0.9174
=-1.80

* 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 ARS36,161,171 Mil.
Revenue was 10997517.623 + 11205759.229 + 10677224.131 + 8213740.428 = ARS41,094,241 Mil.
Gross Profit was 10997517.623 + 11205759.229 + 10677224.131 + 8213740.428 = ARS41,094,241 Mil.
Total Current Assets was ARS0 Mil.
Total Assets was ARS847,888,235 Mil.
Property, Plant and Equipment(Net PPE) was ARS3,328,773 Mil.
Depreciation, Depletion and Amortization(DDA) was ARS1,910,075 Mil.
Selling, General, & Admin. Expense(SGA) was ARS14,066,802 Mil.
Total Current Liabilities was ARS0 Mil.
Long-Term Debt & Capital Lease Obligation was ARS90,007,885 Mil.
Net Income was 3111132.818 + 3167857.146 + 2862891.809 + 2384185.445 = ARS11,526,067 Mil.
Non Operating Income was 0 + 0 + 0 + 0 = ARS0 Mil.
Cash Flow from Operations was 14864241.824 + -11552422.357 + 19169676.413 + 2975254.495 = ARS25,456,750 Mil.
 Total Receivables was ARS18,226,546 Mil.
Revenue was 7885352.349 + 6624845.107 + 6517287.641 + 6713797.646 = ARS27,741,283 Mil.
Gross Profit was 7885352.349 + 6624845.107 + 6517287.641 + 6713797.646 = ARS27,741,283 Mil.
Total Current Assets was ARS0 Mil.
Total Assets was ARS518,904,024 Mil.
Property, Plant and Equipment(Net PPE) was ARS2,409,002 Mil.
Depreciation, Depletion and Amortization(DDA) was ARS1,128,963 Mil.
Selling, General, & Admin. Expense(SGA) was ARS9,920,469 Mil.
Total Current Liabilities was ARS0 Mil.
Long-Term Debt & Capital Lease Obligation was ARS60,042,315 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)
=(36161170.523 / 41094241.411) / (18226546.146 / 27741282.743)
=0.879957 / 0.657019
=1.3393

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)
=(27741282.743 / 27741282.743) / (41094241.411 / 41094241.411)
=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 + 3328773.082) / 847888235.023) / (1 - (0 + 2409001.802) / 518904023.975)
=0.996074 / 0.995358
=1.0007

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
=41094241.411 / 27741282.743
=1.4813

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))
=(1128963.043 / (1128963.043 + 2409001.802)) / (1910074.612 / (1910074.612 + 3328773.082))
=0.3191 / 0.364598
=0.8752

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)
=(14066801.611 / 41094241.411) / (9920469.333 / 27741282.743)
=0.342306 / 0.357607
=0.9572

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)
=((90007885.163 + 0) / 847888235.023) / ((60042314.906 + 0) / 518904023.975)
=0.106155 / 0.11571
=0.9174

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
=(11526067.218 - 0 - 25456750.375) / 847888235.023
=-0.01643

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.

Itau Unibanco Holding has a M-score of -1.80 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 -2.21 mean?
Itau Unibanco Holding (BUE:ITUB) has a Beneish M-Score of -2.21 as of Jun. 25, 2026. The Beneish M-score measures the likelihood of earnings manipulation. View historical data on Itau Unibanco Holding and its competitors. According to the industry distribution chart, Itau Unibanco Holding ranks #1109 out of 1396 companies in the Banks industry, placing it in the top 79.4%.
Is Itau Unibanco Holding's Beneish M-Score too high?
Itau Unibanco Holding's current Beneish M-Score is -2.21. Based on the distribution chart, Itau Unibanco Holding ranks #1109 out of 1396 companies in the Banks industry, which is in the bottom quartile relative to peers. Overall, Itau Unibanco Holding has a GF Score™ of 62/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Itau Unibanco Holding's Beneish M-Score compare to competitors?
According to the Banks industry distribution chart, Itau Unibanco Holding ranks #1109 out of 1396 companies for Beneish M-Score. This places Itau Unibanco Holding 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 Itau Unibanco Holding and its competitors. Itau Unibanco Holding's current Beneish M-Score is -2.21. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Itau Unibanco Holding stock overvalued right now?
Based on GuruFocus' analysis, Itau Unibanco Holding (BUE:ITUB) is currently considered Significantly Overvalued. The stock's GF Value™ is ARS9,124.67, compared to a current price of ARS12,240.00 — trading 34.1% above its estimated fair value. The current Beneish M-Score is -2.21. Itau Unibanco Holding's overall GF Score™ is 62/100 with 9 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 Itau Unibanco Holding (BUE:ITUB), the current Beneish M-Score is -2.21 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 Itau Unibanco Holding (BUE:ITUB) Overvalued in 2026?

Based on GuruFocus' analysis, Itau Unibanco Holding stock appears to be overvalued. The current stock price of ARS12,240.00 is trading 34.1% above its estimated GF Value™ of ARS9,124.67. GuruFocus considers Itau Unibanco Holding to be Significantly Overvalued.

Key valuation signals for BUE:ITUB:

  • Beneish M-Score: -2.21
  • GF Value™: ARS9,124.67 vs. price of ARS12,240.00 (34.1% above fair value)
  • GF Score™: 62/100 with 9 warning signs

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

Itau Unibanco Holding Business Description

Address Praca Alfredo Egydio de Souza Aranha, 100, Torre Olavo Setubal, Parque Jabaquara, Sao Paulo, SP, BRA, 04344-902
Itaú Unibanco is the largest privately held bank in Brazil, the result of the 2008 merger between Banco Itaú and Unibanco. In addition to Brazil, the bank has significant operations in Chile, Colombia, Argentina, Uruguay, and Paraguay. Itaú's commercial and consumer loans account for 35% and 43% of the bank's total loans, respectively, while foreign loans account for 22% of its portfolio as of the end of 2025. The bank also operates the fifth-largest insurer in Brazil and is the second-largest asset manager in the country, giving it broad reach over the Brazilian financial system.
62GF Score

Get the complete analysis for BUE:ITUB

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

ARS12,240.00
Price
ARS9,124.67
GF Value