FMY (First Trust Mortgageome Fund) Beneish M-Score: 0.00 (As of Sep. 07, 2026)

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FMY First Trust Mortgage Income Fund FMY
54 GF Score
Price $11.43
GF Value $11.71
Valuation Fairly Valued
! 5 Warning Signs
View Full Analysis

What is First Trust Mortgageome Fund Beneish M-Score?

First Trust Mortgageome Fund FMY -3.46% 54 Beneish M-Score is 0.00 as of Sep. 07, 2026. GuruFocus rates FMY with a GF Score™ of 54/100 and a GF Value™ of $11.71 (Fairly Valued). The stock has 5 warning signs investors should review. Among 948 Asset Management companies, First Trust Mortgageome Fund ranks worse than 105485.13% 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.

The historical rank and industry rank for First Trust Mortgageome Fund's Beneish M-Score or its related term are showing as below:

During the past 9 years, the highest Beneish M-Score of First Trust Mortgageome Fund was 0.00. The lowest was 0.00. And the median was 0.00.

FMY
54GF Score
First Trust Mortgage Income Fund FMY
Beneish M-Score is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

First Trust Mortgageome Fund 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 First Trust Mortgageome Fund 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 * +0.528 * +0.404 * +0.892 * +0.115 *
-0.172 * SGAI+4.679 * TATA-0.327 * LVGI
-0.172 * +4.679 * -0.327 *
=

* 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 (Oct25) TTM:Last Year (Oct24) TTM:
Total Receivables was $3.87 Mil.
Revenue was $4.85 Mil.
Gross Profit was $4.85 Mil.
Total Current Assets was $0.00 Mil.
Total Assets was $57.84 Mil.
Property, Plant and Equipment(Net PPE) was $0.00 Mil.
Depreciation, Depletion and Amortization(DDA) was $0.00 Mil.
Selling, General, & Admin. Expense(SGA) was $0.27 Mil.
Total Current Liabilities was $0.00 Mil.
Long-Term Debt & Capital Lease Obligation was $0.00 Mil.
Net Income was $4.55 Mil.
Gross Profit was $0.00 Mil.
Cash Flow from Operations was $0.00 Mil.
 Total Receivables was $0.46 Mil.
Revenue was $8.32 Mil.
Gross Profit was $8.32 Mil.
Total Current Assets was $0.00 Mil.
Total Assets was $54.50 Mil.
Property, Plant and Equipment(Net PPE) was $0.00 Mil.
Depreciation, Depletion and Amortization(DDA) was $0.00 Mil.
Selling, General, & Admin. Expense(SGA) was $0.28 Mil.
Total Current Liabilities was $0.00 Mil.
Long-Term Debt & Capital Lease Obligation was $0.00 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)
=(3.872 / 4.847) / (0.455 / 8.324)
=0.798845 / 0.054661
=

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)
=(8.324 / 8.324) / (4.847 / 4.847)
=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 + 0) / 57.843) / (1 - (0 + 0) / 54.504)
=1 / 1
=

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
=4.847 / 8.324
=

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))
=(0 / (0 + 0)) / (0 / (0 + 0))
= /
=

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)
=(0.269 / 4.847) / (0.284 / 8.324)
=0.055498 / 0.034118
=

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)
=((0 + 0) / 57.843) / ((0 + 0) / 54.504)
=0 / 0
=

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
=(4.554 - 0 - 0) / 57.843
=0.07873

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.

Frequently Asked Questions Learn more about Beneish M-Score →
What does a Beneish M-Score of 0.00 mean?
First Trust Mortgageome Fund (FMY) has a Beneish M-Score of 0.00 as of Sep. 07, 2026. The Beneish M-score measures the likelihood of earnings manipulation. View historical data on First Trust Mortgageome Fund and its competitors. According to the industry distribution chart, First Trust Mortgageome Fund ranks #999999 out of 948 companies in the Asset Management industry.
Is First Trust Mortgageome Fund's Beneish M-Score too high?
First Trust Mortgageome Fund's current Beneish M-Score is 0.00. Based on the distribution chart, First Trust Mortgageome Fund ranks #999999 out of 948 companies in the Asset Management industry, which is in the bottom quartile relative to peers. Overall, First Trust Mortgageome Fund has a GF Score™ of 54/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does First Trust Mortgageome Fund's Beneish M-Score compare to OFS and SDEV?
According to the Asset Management industry distribution chart, First Trust Mortgageome Fund ranks #999999 out of 948 companies for Beneish M-Score. This places First Trust Mortgageome Fund 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 an Asset Management company?
A good Beneish M-Score depends on the Asset Management 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 First Trust Mortgageome Fund and its competitors. First Trust Mortgageome Fund's current Beneish M-Score is 0.00. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is First Trust Mortgageome Fund stock overvalued right now?
Based on GuruFocus' analysis, First Trust Mortgageome Fund (FMY) is currently considered Fairly Valued. The stock's GF Value™ is $11.71, compared to a current price of $11.43 — trading 2.4% below its estimated fair value. The current Beneish M-Score is 0.00. First Trust Mortgageome Fund's overall GF Score™ is 54/100 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 First Trust Mortgageome Fund (FMY), the current Beneish M-Score is 0.00 as of Sep. 07, 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 First Trust Mortgageome Fund (FMY) Overvalued in 2026?

Based on GuruFocus' analysis, First Trust Mortgageome Fund stock appears to be undervalued. The current stock price of $11.43 is trading 2.4% below its estimated GF Value™ of $11.71. GuruFocus considers First Trust Mortgageome Fund to be Fairly Valued.

Key valuation signals for FMY:

  • Beneish M-Score: 0.00
  • GF Value™: $11.71 vs. price of $11.43 (2.4% below fair value)
  • GF Score™: 54/100 with 5 warning signs

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

First Trust Mortgageome Fund Business Description

Address 120 East Liberty Drive, Suite 400, Wheaton, IL, USA, 60187
First Trust Mortgage Income Fund is a United States-based diversified, closed-end management investment company. The fund's primary investment objective is to seek a high level of current income. Its secondary investment objective is to preserve capital. The fund pursues its objectives by investing predominantly in mortgage-backed securities representing part ownership in a pool of either residential or commercial mortgage loans that, in the opinion of the Fund's investment advisor, offer an attractive combination of credit quality, yield, and maturity.
54GF Score

Get the complete analysis for FMY

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

$11.43
Price
$11.71
GF Value