Advanced Flower Capital (FRA:0FG) Beneish M-Score: -3.14 (As of Jun. 26, 2026)


FRA:0FG Advanced Flower Capital Inc FRA:0FG
52 GF Score
Price €2.75
GF Value €3.82
Valuation Modestly Undervalued
! 3 Warning Signs
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What is Advanced Flower Capital Beneish M-Score?

Advanced Flower Capital FRA:0FG -0.72% 52 Beneish M-Score is -3.14 as of Jun. 26, 2026. GuruFocus rates FRA:0FG with a GF Score™ of 52/100 and a GF Value™ of €3.82 (Modestly Undervalued). The stock has 3 warning signs investors should review. Among 954 Asset Management companies, Advanced Flower Capital ranks better than 85.32% 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 -3.14 no higher than -1.78, which implies that the company is unlikely to be a manipulator.

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

FRA:0FG' s Beneish M-Score Range Over the Past 10 Years
Min: -4.09   Med: -2.96   Max: -0.13
Current: -3.14

During the past 6 years, the highest Beneish M-Score of Advanced Flower Capital was -0.13. The lowest was -4.09. And the median was -2.96.

FRA:0FG
52GF Score
Advanced Flower Capital Inc FRA:0FG
Beneish M-Score is just one metric. See GF Score™, valuation, warning signs, and more.
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Advanced Flower Capital 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 Advanced Flower Capital 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 * 0.8141+0.528 * 1+0.404 * 1+0.892 * 0.8168+0.115 * 1
-0.172 * SGAI+4.679 * TATA-0.327 * LVGI
-0.172 * 2.2752+4.679 * 0.026443-0.327 * 1.8579
=-3.19

* 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 €1.12 Mil.
Revenue was 11.597 + 6.824 + -3.32 + 3.873 = €18.97 Mil.
Gross Profit was 11.597 + 6.824 + -3.32 + 3.873 = €18.97 Mil.
Total Current Assets was €0.00 Mil.
Total Assets was €341.57 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 €8.72 Mil.
Total Current Liabilities was €0.00 Mil.
Long-Term Debt & Capital Lease Obligation was €175.12 Mil.
Net Income was 9.884 + 0.781 + -10.642 + -11.414 = €-11.39 Mil.
Non Operating Income was 0 + 0 + 0 + 0 = €0.00 Mil.
Cash Flow from Operations was -26.68 + -0.479 + 5.21 + 1.526 = €-20.42 Mil.
 Total Receivables was €1.68 Mil.
Revenue was 4.755 + 5.303 + 2.954 + 10.219 = €23.23 Mil.
Gross Profit was 4.755 + 5.303 + 2.954 + 10.219 = €23.23 Mil.
Total Current Assets was €0.00 Mil.
Total Assets was €297.53 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 €4.69 Mil.
Total Current Liabilities was €0.00 Mil.
Long-Term Debt & Capital Lease Obligation was €82.10 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)
=(1.117 / 18.974) / (1.68 / 23.231)
=0.05887 / 0.072317
=0.8141

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)
=(23.231 / 23.231) / (18.974 / 18.974)
=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 + 0) / 341.569) / (1 - (0 + 0) / 297.531)
=1 / 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
=18.974 / 23.231
=0.8168

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))
= /
=1

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)
=(8.717 / 18.974) / (4.691 / 23.231)
=0.459418 / 0.201928
=2.2752

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)
=((175.118 + 0) / 341.569) / ((82.102 + 0) / 297.531)
=0.512687 / 0.275944
=1.8579

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
=(-11.391 - 0 - -20.423) / 341.569
=0.026443

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.

Advanced Flower Capital has a M-score of -3.19 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 -3.14 mean?
Advanced Flower Capital (FRA:0FG) has a Beneish M-Score of -3.14 as of Jun. 26, 2026. The Beneish M-score measures the likelihood of earnings manipulation. View historical data on Advanced Flower Capital and its competitors. According to the industry distribution chart, Advanced Flower Capital ranks #140 out of 954 companies in the Asset Management industry, placing it in the top 14.7%.
Is Advanced Flower Capital's Beneish M-Score too high?
Advanced Flower Capital's current Beneish M-Score is -3.14. Based on the distribution chart, Advanced Flower Capital ranks #140 out of 954 companies in the Asset Management industry, which is in the top quartile — a strong position relative to peers. Overall, Advanced Flower Capital has a GF Score™ of 52/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Advanced Flower Capital's Beneish M-Score compare to FMN and SAMG?
According to the Asset Management industry distribution chart, Advanced Flower Capital ranks #140 out of 954 companies for Beneish M-Score. This places Advanced Flower Capital in the top 15% 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 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 Advanced Flower Capital and its competitors. Advanced Flower Capital's current Beneish M-Score is -3.14. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Advanced Flower Capital stock overvalued right now?
Based on GuruFocus' analysis, Advanced Flower Capital (FRA:0FG) is currently considered Modestly Undervalued. The stock's GF Value™ is €3.82, compared to a current price of €2.75 — trading 28.1% below its estimated fair value. The current Beneish M-Score is -3.14. Advanced Flower Capital's overall GF Score™ is 52/100 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 Advanced Flower Capital (FRA:0FG), the current Beneish M-Score is -3.14 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 Advanced Flower Capital (FRA:0FG) Overvalued in 2026?

Based on GuruFocus' analysis, Advanced Flower Capital stock appears to be undervalued. The current stock price of €2.75 is trading 28.1% below its estimated GF Value™ of €3.82. GuruFocus considers Advanced Flower Capital to be Modestly Undervalued.

Key valuation signals for FRA:0FG:

  • Beneish M-Score: -3.14
  • GF Value™: €3.82 vs. price of €2.75 (28.1% below fair value)
  • GF Score™: 52/100 with 3 warning signs

No single metric tells the full story. See the FRA:0FG stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.

Advanced Flower Capital Business Description

Other Exchanges AFCG:USA
Address 477 S. Rosemary Avenue, Suite 301, West Palm Beach, FL, USA, 33401
Advanced Flower Capital Inc is an externally managed Maryland corporation that operates as a Business Development Company (BDC). The firm's primary operations involve originating, structuring, underwriting, and managing senior secured loans and other debt securities. Its investment portfolio includes loans to state law-compliant cannabis operators, ancillary cannabis businesses, and middle-market companies in other industries. These loans are typically secured by collateral such as real estate, equipment, cash flows, and license values.
52GF Score

Get the complete analysis for FRA:0FG

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

€2.75
Price
€3.82
GF Value