Fukuoka Financial Group (FRA:4FK) Beneish M-Score: -2.10 (As of Jul. 11, 2026)


FRA:4FK Fukuoka Financial Group Inc FRA:4FK
66 GF Score
Price €39.60
GF Value €29.40
! 4 Warning Signs
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What is Fukuoka Financial Group Beneish M-Score?

Fukuoka Financial Group FRA:4FK +0.51% 66 Beneish M-Score is -2.10 as of Jul. 11, 2026. GuruFocus rates FRA:4FK with a GF Score™ of 66/100 and a GF Value™ of €29.40. The stock has 4 warning signs investors should review. Among 1,395 Banks companies, Fukuoka Financial Group ranks worse than 87.03% 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 -2.1 no higher than -1.78, which implies that the company is unlikely to be a manipulator.

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

FRA:4FK' s Beneish M-Score Range Over the Past 10 Years
Min: -3.06   Med: -2.5   Max: -2
Current: -2.1

During the past 13 years, the highest Beneish M-Score of Fukuoka Financial Group was -2.00. The lowest was -3.06. And the median was -2.50.

FRA:4FK
66GF Score
Fukuoka Financial Group Inc FRA:4FK
Beneish M-Score is just one metric. See GF Score™, valuation, warning signs, and more.
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Fukuoka Financial Group 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 Fukuoka Financial Group 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 * 1.0002+0.892 * 1.2128+0.115 * 0.9821
-0.172 * SGAI+4.679 * TATA-0.327 * LVGI
-0.172 * 0.7899+4.679 * 0.009561-0.327 * 1.1259
=-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 €0 Mil.
Revenue was €2,229 Mil.
Gross Profit was €2,229 Mil.
Total Current Assets was €0 Mil.
Total Assets was €182,937 Mil.
Property, Plant and Equipment(Net PPE) was €1,182 Mil.
Depreciation, Depletion and Amortization(DDA) was €76 Mil.
Selling, General, & Admin. Expense(SGA) was €945 Mil.
Total Current Liabilities was €0 Mil.
Long-Term Debt & Capital Lease Obligation was €40,284 Mil.
Net Income was €466 Mil.
Gross Profit was €0 Mil.
Cash Flow from Operations was €-1,283 Mil.
 Total Receivables was €0 Mil.
Revenue was €1,838 Mil.
Gross Profit was €1,838 Mil.
Total Current Assets was €0 Mil.
Total Assets was €200,211 Mil.
Property, Plant and Equipment(Net PPE) was €1,331 Mil.
Depreciation, Depletion and Amortization(DDA) was €84 Mil.
Selling, General, & Admin. Expense(SGA) was €986 Mil.
Total Current Liabilities was €0 Mil.
Long-Term Debt & Capital Lease Obligation was €39,158 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 / 2228.814) / (0 / 1837.749)
=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)
=(1837.749 / 1837.749) / (2228.814 / 2228.814)
=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 + 1182.481) / 182937.115) / (1 - (0 + 1330.511) / 200210.699)
=0.993536 / 0.993354
=1.0002

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
=2228.814 / 1837.749
=1.2128

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))
=(84.391 / (84.391 + 1330.511)) / (76.458 / (76.458 + 1182.481))
=0.059644 / 0.060732
=0.9821

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)
=(944.643 / 2228.814) / (986.116 / 1837.749)
=0.423832 / 0.536589
=0.7899

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)
=((40283.893 + 0) / 182937.115) / ((39157.892 + 0) / 200210.699)
=0.220206 / 0.195583
=1.1259

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
=(465.679 - 0 - -1283.31) / 182937.115
=0.009561

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.

Fukuoka Financial Group 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 -2.10 mean?
Fukuoka Financial Group (FRA:4FK) has a Beneish M-Score of -2.10 as of Jul. 11, 2026. The Beneish M-score measures the likelihood of earnings manipulation. View historical data on Fukuoka Financial Group and its competitors. According to the industry distribution chart, Fukuoka Financial Group ranks #1214 out of 1395 companies in the Banks industry, placing it in the top 87%.
Is Fukuoka Financial Group's Beneish M-Score too high?
Fukuoka Financial Group's current Beneish M-Score is -2.10. Based on the distribution chart, Fukuoka Financial Group ranks #1214 out of 1395 companies in the Banks industry, which is in the bottom quartile relative to peers. Overall, Fukuoka Financial Group has a GF Score™ of 66/100, reflecting its overall financial health beyond just this single metric.
How does Fukuoka Financial Group's Beneish M-Score compare to competitors?
According to the Banks industry distribution chart, Fukuoka Financial Group ranks #1214 out of 1395 companies for Beneish M-Score. This places Fukuoka Financial Group 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 Fukuoka Financial Group and its competitors. Fukuoka Financial Group's current Beneish M-Score is -2.10. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Fukuoka Financial Group stock overvalued right now?
Fukuoka Financial Group (FRA:4FK) has a current Beneish M-Score of -2.10. The stock's GF Value™ is €29.40, compared to a current price of €39.60 — trading 34.7% above its estimated fair value. The current Beneish M-Score is -2.10. Fukuoka Financial Group's overall GF Score™ is 66/100 with 4 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 Fukuoka Financial Group (FRA:4FK), the current Beneish M-Score is -2.10 as of Jul. 11, 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 Fukuoka Financial Group (FRA:4FK) Overvalued in 2026?

Based on GuruFocus' analysis, Fukuoka Financial Group stock appears to be overvalued. The current stock price of €39.60 is trading 34.7% above its estimated GF Value™ of €29.40.

Key valuation signals for FRA:4FK:

  • Beneish M-Score: -2.10
  • GF Value™: €29.40 vs. price of €39.60 (34.7% above fair value)
  • GF Score™: 66/100 with 4 warning signs

No single metric tells the full story. See the FRA:4FK stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.

Fukuoka Financial Group Business Description

Other Exchanges FKKFY:USA8354:Japan
Address 1-8-3 Otemon, Chuo-ku, Fukuoka, JPN, 810-8693
Fukuoka Financial Group Inc is a Japan-based financial holding company that is principally engaged in the banking business through its subsidiaries, including the Bank of Fukuoka, the Kumamoto Bank, and the Shinwa Bank. The company conducts its core business (banking) through a branch network in Japan and overseas markets, including China, Thailand, Singapore, and the United States. The company also conducts other businesses, such as a securities business, an office work agent business, a loan guarantee business, a credit card business, a collateral valuation business, a consulting business, investments and loans, and others. The company generates the majority of its operating income from Japan.
66GF Score

Get the complete analysis for FRA:4FK

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

€39.60
Price
€29.40
GF Value