Islami Bank Bangladesh (DHA:IBBLPBOND) Beneish M-Score: -3.05 (As of Jun. 26, 2026)


DHA:IBBLPBOND Islami Bank Bangladesh PLC DHA:IBBLPBOND
60 GF Score
Price BDT756.00
GF Value BDT447.52
! 1 Warning Sign
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What is Islami Bank Bangladesh Beneish M-Score?

Islami Bank Bangladesh DHA:IBBLPBOND 60 Beneish M-Score is -3.05 as of Jun. 26, 2026. GuruFocus rates DHA:IBBLPBOND with a GF Score™ of 60/100 and a GF Value™ of BDT447.52. The stock has 1 warning sign investors should review. Among 1,397 Banks companies, Islami Bank Bangladesh ranks better than 94.13% 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 -3.05 no higher than -1.78, which implies that the company is unlikely to be a manipulator.

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

DHA:IBBLPBOND' s Beneish M-Score Range Over the Past 10 Years
Min: -3.22   Med: -2.68   Max: -1.74
Current: -3.05

During the past 13 years, the highest Beneish M-Score of Islami Bank Bangladesh was -1.74. The lowest was -3.22. And the median was -2.68.

DHA:IBBLPBOND
60GF Score
Islami Bank Bangladesh PLC DHA:IBBLPBOND
Beneish M-Score is just one metric. See GF Score™, valuation, warning signs, and more.
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Islami Bank Bangladesh 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 Islami Bank Bangladesh 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 * 0.56+0.115 * 1.0509
-0.172 * SGAI+4.679 * TATA-0.327 * LVGI
-0.172 * 1.5786+4.679 * -0.030332-0.327 * 0.836
=-3.05

* 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 6306.912 + 5222.484 + 9323.145 + 10547.895 = BDT31,400 Mil.
Gross Profit was 6306.912 + 5222.484 + 9323.145 + 10547.895 = BDT31,400 Mil.
Total Current Assets was BDT0 Mil.
Total Assets was BDT2,379,175 Mil.
Property, Plant and Equipment(Net PPE) was BDT17,186 Mil.
Depreciation, Depletion and Amortization(DDA) was BDT2,138 Mil.
Selling, General, & Admin. Expense(SGA) was BDT345 Mil.
Total Current Liabilities was BDT0 Mil.
Long-Term Debt & Capital Lease Obligation was BDT30,934 Mil.
Net Income was -2882.188 + 365.725 + 323.671 + 376.315 = BDT-1,816 Mil.
Non Operating Income was 0 + 0 + 0 + 0 = BDT0 Mil.
Cash Flow from Operations was 2173.986 + 22128.205 + -8438.017 + 54484.252 = BDT70,348 Mil.
 Total Receivables was BDT0 Mil.
Revenue was 10571.11 + 8799.279 + 16569.353 + 20136.871 = BDT56,077 Mil.
Gross Profit was 10571.11 + 8799.279 + 16569.353 + 20136.871 = BDT56,077 Mil.
Total Current Assets was BDT0 Mil.
Total Assets was BDT2,227,366 Mil.
Property, Plant and Equipment(Net PPE) was BDT17,290 Mil.
Depreciation, Depletion and Amortization(DDA) was BDT2,274 Mil.
Selling, General, & Admin. Expense(SGA) was BDT390 Mil.
Total Current Liabilities was BDT0 Mil.
Long-Term Debt & Capital Lease Obligation was BDT34,640 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 / 31400.436) / (0 / 56076.613)
=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)
=(56076.613 / 56076.613) / (31400.436 / 31400.436)
=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 + 17185.672) / 2379174.828) / (1 - (0 + 17290.184) / 2227365.792)
=0.992777 / 0.992237
=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
=31400.436 / 56076.613
=0.56

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))
=(2274.327 / (2274.327 + 17290.184)) / (2137.57 / (2137.57 + 17185.672))
=0.116248 / 0.110622
=1.0509

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)
=(344.981 / 31400.436) / (390.299 / 56076.613)
=0.010987 / 0.00696
=1.5786

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)
=((30934.071 + 0) / 2379174.828) / ((34640.092 + 0) / 2227365.792)
=0.013002 / 0.015552
=0.836

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
=(-1816.477 - 0 - 70348.426) / 2379174.828
=-0.030332

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.

Islami Bank Bangladesh has a M-score of -3.05 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 -3.05 mean?
Islami Bank Bangladesh (DHA:IBBLPBOND) has a Beneish M-Score of -3.05 as of Jun. 26, 2026. The Beneish M-score measures the likelihood of earnings manipulation. View historical data on Islami Bank Bangladesh and its competitors. According to the industry distribution chart, Islami Bank Bangladesh ranks #82 out of 1397 companies in the Banks industry, placing it in the top 5.9%.
Is Islami Bank Bangladesh's Beneish M-Score too high?
Islami Bank Bangladesh's current Beneish M-Score is -3.05. Based on the distribution chart, Islami Bank Bangladesh ranks #82 out of 1397 companies in the Banks industry, which is in the top quartile — a strong position relative to peers. Overall, Islami Bank Bangladesh has a GF Score™ of 60/100, reflecting its overall financial health beyond just this single metric.
How does Islami Bank Bangladesh's Beneish M-Score compare to competitors?
According to the Banks industry distribution chart, Islami Bank Bangladesh ranks #82 out of 1397 companies for Beneish M-Score. This places Islami Bank Bangladesh in the top 6% 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 Islami Bank Bangladesh and its competitors. Islami Bank Bangladesh's current Beneish M-Score is -3.05. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Islami Bank Bangladesh stock overvalued right now?
Islami Bank Bangladesh (DHA:IBBLPBOND) has a current Beneish M-Score of -3.05. The stock's GF Value™ is BDT447.52, compared to a current price of BDT756.00 — trading 68.9% above its estimated fair value. The current Beneish M-Score is -3.05. Islami Bank Bangladesh's overall GF Score™ is 60/100 with 1 warning sign 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 Islami Bank Bangladesh (DHA:IBBLPBOND), the current Beneish M-Score is -3.05 as of Jun. 26, 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 Islami Bank Bangladesh (DHA:IBBLPBOND) Overvalued in 2026?

Based on GuruFocus' analysis, Islami Bank Bangladesh stock appears to be overvalued. The current stock price of BDT756.00 is trading 68.9% above its estimated GF Value™ of BDT447.52.

Key valuation signals for DHA:IBBLPBOND:

  • Beneish M-Score: -3.05
  • GF Value™: BDT447.52 vs. price of BDT756.00 (68.9% above fair value)
  • GF Score™: 60/100 with 1 warning sign

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

Islami Bank Bangladesh Business Description

Other Exchanges ISLAMIBANK:Bangladesh
Address Islami Bank Tower, 40, Dilkusha Commercial Area, Dhaka, BGD, 1000
Islami Bank Bangladesh PLC is a commercial bank in South East Asia operating under Islamic Shari'ah principles. It offers a variety of Shari'ah-compliant banking services, including Mudaraba, Musharaka, Bai-Murabaha, and Ujarah. The bank promotes Islamic micro-finance aimed at improving living standards through rural and urban development schemes. It provides mobile financial services through the mCash platform and digital banking services via the CellFin app, which includes account opening, fund transfers, international remittances, payments, donations, and savings. Islami Bank also operates an Offshore Banking Unit and offers corporate banking, inter-bank fund transfers, utility bill and e-Hajj payments, locker services, and electronic government procurement (e-GP) payment solutions.
60GF Score

Get the complete analysis for DHA:IBBLPBOND

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

BDT756.00
Price
BDT447.52
GF Value