Carter Bankshares (FRA:6NH) Beneish M-Score: -2.70 (As of Jul. 12, 2026)


FRA:6NH Carter Bankshares Inc FRA:6NH
65 GF Score
Price €26.60
GF Value €25.72
Valuation Fairly Valued
! 5 Warning Signs
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What is Carter Bankshares Beneish M-Score?

Carter Bankshares FRA:6NH +0.76% 65 Beneish M-Score is -2.70 as of Jul. 12, 2026. GuruFocus rates FRA:6NH with a GF Score™ of 65/100 and a GF Value™ of €25.72 (Fairly Valued). The stock has 5 warning signs investors should review. Among 1,399 Banks companies, Carter Bankshares ranks better than 87.06% 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 -2.7 no higher than -1.78, which implies that the company is unlikely to be a manipulator.

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

FRA:6NH' s Beneish M-Score Range Over the Past 10 Years
Min: -10.27   Med: -2.56   Max: -2.12
Current: -2.7

During the past 13 years, the highest Beneish M-Score of Carter Bankshares was -2.12. The lowest was -10.27. And the median was -2.56.

FRA:6NH
65GF Score
Carter Bankshares Inc FRA:6NH
Beneish M-Score is just one metric. See GF Score™, valuation, warning signs, and more.
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Carter Bankshares 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 Carter Bankshares 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+0.528 * 1+0.404 * 1.001+0.892 * 1.4972+0.115 * 0.8857
-0.172 * SGAI+4.679 * TATA-0.327 * LVGI
-0.172 * 0.6342+4.679 * -0.047735-0.327 * 0
=-2.80

* 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 €0.0 Mil.
Revenue was 91.61 + 32.946 + 32.487 + 31.451 = €188.5 Mil.
Gross Profit was 91.61 + 32.946 + 32.487 + 31.451 = €188.5 Mil.
Total Current Assets was €0.0 Mil.
Total Assets was €4,151.4 Mil.
Property, Plant and Equipment(Net PPE) was €61.4 Mil.
Depreciation, Depletion and Amortization(DDA) was €6.9 Mil.
Selling, General, & Admin. Expense(SGA) was €58.8 Mil.
Total Current Liabilities was €0.0 Mil.
Long-Term Debt & Capital Lease Obligation was €0.0 Mil.
Net Income was 74.18 + 7.242 + 4.617 + 7.378 = €93.4 Mil.
Non Operating Income was 0 + 0 + 0 + 0 = €0.0 Mil.
Cash Flow from Operations was 262.886 + 10.309 + 10.066 + 8.322 = €291.6 Mil.
 Total Receivables was €59.0 Mil.
Revenue was 33.343 + 32.036 + 30.031 + 30.487 = €125.9 Mil.
Gross Profit was 33.343 + 32.036 + 30.031 + 30.487 = €125.9 Mil.
Total Current Assets was €0.0 Mil.
Total Assets was €4,347.8 Mil.
Property, Plant and Equipment(Net PPE) was €68.4 Mil.
Depreciation, Depletion and Amortization(DDA) was €6.8 Mil.
Selling, General, & Admin. Expense(SGA) was €61.9 Mil.
Total Current Liabilities was €0.0 Mil.
Long-Term Debt & Capital Lease Obligation was €50.9 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 / 188.494) / (58.99 / 125.897)
=0 / 0.468558
=0

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)
=(125.897 / 125.897) / (188.494 / 188.494)
=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 + 61.387) / 4151.369) / (1 - (0 + 68.398) / 4347.765)
=0.985213 / 0.984268
=1.001

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
=188.494 / 125.897
=1.4972

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))
=(6.766 / (6.766 + 68.398)) / (6.945 / (6.945 + 61.387))
=0.090016 / 0.101636
=0.8857

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)
=(58.802 / 188.494) / (61.925 / 125.897)
=0.311957 / 0.49187
=0.6342

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) / 4151.369) / ((50.875 + 0) / 4347.765)
=0 / 0.011701
=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
=(93.417 - 0 - 291.583) / 4151.369
=-0.047735

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.

Carter Bankshares has a M-score of -2.80 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 -2.70 mean?
Carter Bankshares (FRA:6NH) has a Beneish M-Score of -2.70 as of Jul. 12, 2026. The Beneish M-score measures the likelihood of earnings manipulation. View historical data on Carter Bankshares and its competitors. According to the industry distribution chart, Carter Bankshares ranks #181 out of 1399 companies in the Banks industry, placing it in the top 12.9%.
Is Carter Bankshares' Beneish M-Score too high?
Carter Bankshares' current Beneish M-Score is -2.70. Based on the distribution chart, Carter Bankshares ranks #181 out of 1399 companies in the Banks industry, which is in the top quartile — a strong position relative to peers. Overall, Carter Bankshares has a GF Score™ of 65/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does Carter Bankshares' Beneish M-Score compare to IBCP and CWBC?
According to the Banks industry distribution chart, Carter Bankshares ranks #181 out of 1399 companies for Beneish M-Score. This places Carter Bankshares in the top 13% 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 Carter Bankshares and its competitors. Carter Bankshares's current Beneish M-Score is -2.70. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Carter Bankshares stock overvalued right now?
Based on GuruFocus' analysis, Carter Bankshares (FRA:6NH) is currently considered Fairly Valued. The stock's GF Value™ is €25.72, compared to a current price of €26.60 — trading 3.4% above its estimated fair value. The current Beneish M-Score is -2.70. Carter Bankshares' overall GF Score™ is 65/100 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 Carter Bankshares (FRA:6NH), the current Beneish M-Score is -2.70 as of Jul. 12, 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 Carter Bankshares (FRA:6NH) Overvalued in 2026?

Based on GuruFocus' analysis, Carter Bankshares stock appears to be overvalued. The current stock price of €26.60 is trading 3.4% above its estimated GF Value™ of €25.72. GuruFocus considers Carter Bankshares to be Fairly Valued.

Key valuation signals for FRA:6NH:

  • Beneish M-Score: -2.70
  • GF Value™: €25.72 vs. price of €26.60 (3.4% above fair value)
  • GF Score™: 65/100 with 5 warning signs

No single metric tells the full story. See the FRA:6NH stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.

Carter Bankshares Business Description

Other Exchanges CARE:USA
Address 1300 Kings Mountain Road, Martinsville, VA, USA, 24112
Carter Bankshares Inc is a bank holding company that conducts its business solely through the bank. The Bank earns revenue from interest on loans and securities and fees charged for financial services provided to customers. It offers a full range of deposit services including Lifetime Free Checking, interest checking accounts, savings accounts, retirement accounts and other deposit accounts of various types, ranging from money market accounts to longer-term CDs. The Bank offers a full range of commercial and consumer loans. The Bank also originates and holds fixed and variable-rate mortgage loans and offers home equity lines of credit to its customers.
65GF Score

Get the complete analysis for FRA:6NH

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

€26.60
Price
€25.72
GF Value