Oaktree Specialty Lending (FRA:FFC) Beneish M-Score: -2.28 (As of Aug. 09, 2026)

Author: Vera Yuan Vera Yuan
Vera Yuan
Vera Yuan
Director of Data and Quant Analytics at GuruFocus
Focused on building reliable datasets, financial models, and research tools for value-minded investors. Committed to turning complex data into practical guidance for value-investing and long-term wealth.
Reviewed by: Charlie Tian Charlie Tian
Charlie Tian
Charlie Tian
Founder & CEO of GuruFocus
Dr. Charlie Tian is the founder and CEO of GuruFocus.com, a leading global investment research platform established in 2004. With a Ph.D. in physics, Dr. Tian transitioned from science to finance, applying a data-driven, disciplined approach to value investing.

FRA:FFC Oaktree Specialty Lending Corp FRA:FFC
52 GF Score
Price €10.98
GF Value €10.91
Valuation Fairly Valued
! 5 Warning Signs
View Full Analysis

What is Oaktree Specialty Lending Beneish M-Score?

Oaktree Specialty Lending FRA:FFC +5.78% 52 Beneish M-Score is -2.28 as of Aug. 09, 2026. GuruFocus rates FRA:FFC with a GF Score™ of 52/100 and a GF Value™ of €10.91 (Fairly Valued). The stock has 5 warning signs investors should review. Among 951 Asset Management companies, Oaktree Specialty Lending ranks better than 51% 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 -2.28 no higher than -1.78, which implies that the company is unlikely to be a manipulator.

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

FRA:FFC' s Beneish M-Score Range Over the Past 10 Years
Min: -3.28   Med: -1.62   Max: 25.04
Current: -2.28

During the past 13 years, the highest Beneish M-Score of Oaktree Specialty Lending was 25.04. The lowest was -3.28. And the median was -1.62.

FRA:FFC
52GF Score
Oaktree Specialty Lending Corp FRA:FFC
Beneish M-Score is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

Oaktree Specialty Lending 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 Oaktree Specialty Lending 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 * 0.8073+0.528 * 1+0.404 * 1+0.892 * 1.5228+0.115 * 1
-0.172 * SGAI+4.679 * TATA-0.327 * LVGI
-0.172 * 0.7061+4.679 * -0.022826-0.327 * 1.0309
=-2.26

* 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 (Jun26) TTM:Last Year (Jun25) TTM:
Total Receivables was €53.45 Mil.
Revenue was 29.986 + -13.231 + 7.369 + 21.852 = €45.98 Mil.
Gross Profit was 29.986 + -13.231 + 7.369 + 21.852 = €45.98 Mil.
Total Current Assets was €0.00 Mil.
Total Assets was €2,480.91 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 €10.34 Mil.
Total Current Liabilities was €0.00 Mil.
Long-Term Debt & Capital Lease Obligation was €1,248.92 Mil.
Net Income was 26.856 + -16.339 + 4.789 + 20.94 = €36.25 Mil.
Non Operating Income was 0 + 0 + 0 + 0 = €0.00 Mil.
Cash Flow from Operations was 49.963 + 113.043 + -71.268 + 1.137 = €92.88 Mil.
 Total Receivables was €43.48 Mil.
Revenue was 31.548 + -37.175 + 2.964 + 32.855 = €30.19 Mil.
Gross Profit was 31.548 + -37.175 + 2.964 + 32.855 = €30.19 Mil.
Total Current Assets was €0.00 Mil.
Total Assets was €2,569.97 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 €9.62 Mil.
Total Current Liabilities was €0.00 Mil.
Long-Term Debt & Capital Lease Obligation was €1,255.03 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)
=(53.451 / 45.976) / (43.477 / 30.192)
=1.162585 / 1.440017
=0.8073

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)
=(30.192 / 30.192) / (45.976 / 45.976)
=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) / 2480.911) / (1 - (0 + 0) / 2569.972)
=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
=45.976 / 30.192
=1.5228

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)
=(10.342 / 45.976) / (9.618 / 30.192)
=0.224943 / 0.318561
=0.7061

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)
=((1248.915 + 0) / 2480.911) / ((1255.027 + 0) / 2569.972)
=0.50341 / 0.488343
=1.0309

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
=(36.246 - 0 - 92.875) / 2480.911
=-0.022826

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.

Oaktree Specialty Lending has a M-score of -2.26 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 -2.28 mean?
Oaktree Specialty Lending (FRA:FFC) has a Beneish M-Score of -2.28 as of Aug. 09, 2026. The Beneish M-score measures the likelihood of earnings manipulation. View historical data on Oaktree Specialty Lending and its competitors. According to the industry distribution chart, Oaktree Specialty Lending ranks #466 out of 951 companies in the Asset Management industry, placing it in the top 49%.
Is Oaktree Specialty Lending's Beneish M-Score too high?
Oaktree Specialty Lending's current Beneish M-Score is -2.28. Based on the distribution chart, Oaktree Specialty Lending ranks #466 out of 951 companies in the Asset Management industry, which is above the industry midpoint. Overall, Oaktree Specialty Lending has a GF Score™ of 52/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does Oaktree Specialty Lending's Beneish M-Score compare to CHY and ETW?
According to the Asset Management industry distribution chart, Oaktree Specialty Lending ranks #466 out of 951 companies for Beneish M-Score. This puts Oaktree Specialty Lending in the upper 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 Oaktree Specialty Lending and its competitors. Oaktree Specialty Lending's current Beneish M-Score is -2.28. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Oaktree Specialty Lending stock overvalued right now?
Based on GuruFocus' analysis, Oaktree Specialty Lending (FRA:FFC) is currently considered Fairly Valued. The stock's GF Value™ is €10.91, compared to a current price of €10.98 — trading 0.6% above its estimated fair value. The current Beneish M-Score is -2.28. Oaktree Specialty Lending's overall GF Score™ is 52/100 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 Oaktree Specialty Lending (FRA:FFC), the current Beneish M-Score is -2.28 as of Aug. 09, 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 Oaktree Specialty Lending (FRA:FFC) Overvalued in 2026?

Based on GuruFocus' analysis, Oaktree Specialty Lending stock appears to be overvalued. The current stock price of €10.98 is trading 0.6% above its estimated GF Value™ of €10.91. GuruFocus considers Oaktree Specialty Lending to be Fairly Valued.

Key valuation signals for FRA:FFC:

  • Beneish M-Score: -2.28
  • GF Value™: €10.91 vs. price of €10.98 (0.6% above fair value)
  • GF Score™: 52/100 with 5 warning signs

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

Oaktree Specialty Lending Business Description

Other Exchanges OCSL:USA
Address 333 South Grand Avenue, 28th Floor, Los Angeles, CA, USA, 90071
Oaktree Specialty Lending Corp is a specialty finance company. The company provides lending services and invests in small and mid-sized companies. The company's investment objective is to maximize its portfolio's total return by generating current income from debt investments, and to a lesser extent, capital appreciation from equity investments. The company provides customized, one-stop credit solutions to companies with limited access to public or syndicated capital markets. The company operates as a single reportable segment and derives revenues from investing in originated loans and other securities, including broadly syndicated loans, of U.S. private companies and manages the business on a consolidated basis.
52GF Score

Get the complete analysis for FRA:FFC

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

€10.98
Price
€10.91
GF Value