DBH Finance (DHA:DBH) Beneish M-Score: -2.25 (As of Jun. 24, 2026)


DHA:DBH DBH Finance PLC DHA:DBH
67 GF Score
Price BDT40.00
GF Value BDT41.60
Valuation Fairly Valued
! 5 Warning Signs
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What is DBH Finance Beneish M-Score?

DBH Finance DHA:DBH 67 Beneish M-Score is -2.25 as of Jun. 24, 2026. GuruFocus rates DHA:DBH with a GF Score™ of 67/100 and a GF Value™ of BDT41.60 (Fairly Valued). The stock has 5 warning signs investors should review. Among 483 Credit Services companies, DBH Finance ranks better than 53.62% 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 -2.25 no higher than -1.78, which implies that the company is unlikely to be a manipulator.

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

DHA:DBH' s Beneish M-Score Range Over the Past 10 Years
Min: -6.7   Med: -2.46   Max: -1.7
Current: -2.25

During the past 13 years, the highest Beneish M-Score of DBH Finance was -1.70. The lowest was -6.70. And the median was -2.46.

DHA:DBH
67GF Score
DBH Finance PLC DHA:DBH
Beneish M-Score is just one metric. See GF Score™, valuation, warning signs, and more.
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DBH Finance 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 DBH Finance 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 * 0.9979+0.892 * 0.9958+0.115 * 1.2359
-0.172 * SGAI+4.679 * TATA-0.327 * LVGI
-0.172 * 1.0415+4.679 * 0.013861-0.327 * 0.5458
=-2.25

* 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 BDT0 Mil.
Revenue was 715.706 + 444.333 + 766.04 + 640.038 = BDT2,566 Mil.
Gross Profit was 715.706 + 444.333 + 766.04 + 640.038 = BDT2,566 Mil.
Total Current Assets was BDT0 Mil.
Total Assets was BDT65,986 Mil.
Property, Plant and Equipment(Net PPE) was BDT392 Mil.
Depreciation, Depletion and Amortization(DDA) was BDT74 Mil.
Selling, General, & Admin. Expense(SGA) was BDT36 Mil.
Total Current Liabilities was BDT0 Mil.
Long-Term Debt & Capital Lease Obligation was BDT5,630 Mil.
Net Income was 196.167 + 207.759 + 323.538 + 264.164 = BDT992 Mil.
Non Operating Income was 0 + 0 + 0 + 0 = BDT0 Mil.
Cash Flow from Operations was -300.06 + -2006.862 + -147.721 + 2531.661 = BDT77 Mil.
 Total Receivables was BDT0 Mil.
Revenue was 642.443 + 624.5 + 715.949 + 594.039 = BDT2,577 Mil.
Gross Profit was 642.443 + 624.5 + 715.949 + 594.039 = BDT2,577 Mil.
Total Current Assets was BDT0 Mil.
Total Assets was BDT71,520 Mil.
Property, Plant and Equipment(Net PPE) was BDT276 Mil.
Depreciation, Depletion and Amortization(DDA) was BDT68 Mil.
Selling, General, & Admin. Expense(SGA) was BDT35 Mil.
Total Current Liabilities was BDT0 Mil.
Long-Term Debt & Capital Lease Obligation was BDT11,181 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 / 2566.117) / (0 / 2576.931)
=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)
=(2576.931 / 2576.931) / (2566.117 / 2566.117)
=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 + 391.679) / 65986.381) / (1 - (0 + 276.094) / 71520.246)
=0.994064 / 0.99614
=0.9979

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
=2566.117 / 2576.931
=0.9958

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))
=(67.669 / (67.669 + 276.094)) / (74.201 / (74.201 + 391.679))
=0.196848 / 0.159271
=1.2359

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)
=(36.298 / 2566.117) / (34.997 / 2576.931)
=0.014145 / 0.013581
=1.0415

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)
=((5629.992 + 0) / 65986.381) / ((11180.574 + 0) / 71520.246)
=0.085321 / 0.156327
=0.5458

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
=(991.628 - 0 - 77.018) / 65986.381
=0.013861

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.

DBH Finance has a M-score of -2.25 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 -2.25 mean?
DBH Finance (DHA:DBH) has a Beneish M-Score of -2.25 as of Jun. 24, 2026. The Beneish M-score measures the likelihood of earnings manipulation. View historical data on DBH Finance and its competitors. According to the industry distribution chart, DBH Finance ranks #224 out of 483 companies in the Credit Services industry, placing it in the top 46.4%.
Is DBH Finance's Beneish M-Score too high?
DBH Finance's current Beneish M-Score is -2.25. Based on the distribution chart, DBH Finance ranks #224 out of 483 companies in the Credit Services industry, which is above the industry midpoint. Overall, DBH Finance has a GF Score™ of 67/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does DBH Finance's Beneish M-Score compare to V and MA?
According to the Credit Services industry distribution chart, DBH Finance ranks #224 out of 483 companies for Beneish M-Score. This puts DBH Finance 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 Credit Services company?
A good Beneish M-Score depends on the Credit Services 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 DBH Finance and its competitors. DBH Finance's current Beneish M-Score is -2.25. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is DBH Finance stock overvalued right now?
Based on GuruFocus' analysis, DBH Finance (DHA:DBH) is currently considered Fairly Valued. The stock's GF Value™ is BDT41.60, compared to a current price of BDT40.00 — trading 3.8% below its estimated fair value. The current Beneish M-Score is -2.25. DBH Finance's overall GF Score™ is 67/100 with 5 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 DBH Finance (DHA:DBH), the current Beneish M-Score is -2.25 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 DBH Finance (DHA:DBH) Overvalued in 2026?

Based on GuruFocus' analysis, DBH Finance stock appears to be undervalued. The current stock price of BDT40.00 is trading 3.8% below its estimated GF Value™ of BDT41.60. GuruFocus considers DBH Finance to be Fairly Valued.

Key valuation signals for DHA:DBH:

  • Beneish M-Score: -2.25
  • GF Value™: BDT41.60 vs. price of BDT40.00 (3.8% below fair value)
  • GF Score™: 67/100 with 5 warning signs

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

DBH Finance Business Description

Address 12-14 Gulshan C/A, Landmark Building, (9th floor, Gulshan-2, Dhaka, BGD, 1212
DBH Finance PLC is engaged in providing loans for construction of houses, purchases of flats or houses, extensions and improvements of existing houses or flats and purchase of housing plots. It has also various investment and financing products like term deposit scheme, cumulative deposit, triple money deposit, double money deposit, annual income deposit, quarterly income deposit, monthly income deposit, easy way deposit etc. for its individual and corporate clients. Its segments consist of Conventional Products & Services that offers a diverse array of conventional financial solutions developed to meet both housing and personal financial needs; and Islamic Products and services. The majority of revenue is derived from Conventional Products & Services segment.
67GF Score

Get the complete analysis for DHA:DBH

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

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Price
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GF Value