Kinsale Capital Group (FRA:KCH) Beneish M-Score: -2.74 (As of Jul. 12, 2026)


FRA:KCH Kinsale Capital Group Inc FRA:KCH
75 GF Score
Price €291.80
GF Value €490.12
Valuation Significantly Undervalued
! 1 Warning Sign
View Full Analysis

What is Kinsale Capital Group Beneish M-Score?

Kinsale Capital Group FRA:KCH -2.54% 75 Beneish M-Score is -2.74 as of Jul. 12, 2026. GuruFocus rates FRA:KCH with a GF Score™ of 75/100 and a GF Value™ of €490.12 (Significantly Undervalued). The stock has 1 warning sign investors should review. Among 399 Insurance companies, Kinsale Capital Group ranks better than 74.19% 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 -2.74 no higher than -1.78, which implies that the company is unlikely to be a manipulator.

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

FRA:KCH' s Beneish M-Score Range Over the Past 10 Years
Min: -3.41   Med: -2.75   Max: -2.35
Current: -2.74

During the past 13 years, the highest Beneish M-Score of Kinsale Capital Group was -2.35. The lowest was -3.41. And the median was -2.75.

FRA:KCH
75GF Score
Kinsale Capital Group Inc FRA:KCH
Beneish M-Score is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

Kinsale Capital 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 Kinsale Capital 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 * 0.9198+0.528 * 1+0.404 * 1.0022+0.892 * 1.0556+0.115 * 1.0679
-0.172 * SGAI+4.679 * TATA-0.327 * LVGI
-0.172 * 1+4.679 * -0.089705-0.327 * 0.8099
=-2.85

* 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 (Dec25) TTM:Last Year (Dec24) TTM:
Total Receivables was €443 Mil.
Revenue was €1,600 Mil.
Gross Profit was €1,600 Mil.
Total Current Assets was €0 Mil.
Total Assets was €5,161 Mil.
Property, Plant and Equipment(Net PPE) was €76 Mil.
Depreciation, Depletion and Amortization(DDA) was €5 Mil.
Selling, General, & Admin. Expense(SGA) was €0 Mil.
Total Current Liabilities was €0 Mil.
Long-Term Debt & Capital Lease Obligation was €148 Mil.
Net Income was €430 Mil.
Gross Profit was €2 Mil.
Cash Flow from Operations was €891 Mil.
 Total Receivables was €456 Mil.
Revenue was €1,516 Mil.
Gross Profit was €1,516 Mil.
Total Current Assets was €0 Mil.
Total Assets was €4,667 Mil.
Property, Plant and Equipment(Net PPE) was €79 Mil.
Depreciation, Depletion and Amortization(DDA) was €6 Mil.
Selling, General, & Admin. Expense(SGA) was €0 Mil.
Total Current Liabilities was €0 Mil.
Long-Term Debt & Capital Lease Obligation was €165 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)
=(443.159 / 1600.385) / (456.412 / 1516.086)
=0.276908 / 0.301046
=0.9198

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)
=(1516.086 / 1516.086) / (1600.385 / 1600.385)
=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 + 76.374) / 5161.201) / (1 - (0 + 79.192) / 4666.802)
=0.985202 / 0.983031
=1.0022

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
=1600.385 / 1516.086
=1.0556

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))
=(5.541 / (5.541 + 79.192)) / (4.982 / (4.982 + 76.374))
=0.065394 / 0.061237
=1.0679

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 / 1600.385) / (0 / 1516.086)
=0 / 0
=1

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)
=((148.081 + 0) / 5161.201) / ((165.332 + 0) / 4666.802)
=0.028691 / 0.035427
=0.8099

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
=(430.086 - 1.721 - 891.352) / 5161.201
=-0.089705

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.

Kinsale Capital Group has a M-score of -2.85 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 -2.74 mean?
Kinsale Capital Group (FRA:KCH) has a Beneish M-Score of -2.74 as of Jul. 12, 2026. The Beneish M-score measures the likelihood of earnings manipulation. View historical data on Kinsale Capital Group and its competitors. According to the industry distribution chart, Kinsale Capital Group ranks #103 out of 399 companies in the Insurance industry, placing it in the top 25.8%.
Is Kinsale Capital Group's Beneish M-Score too high?
Kinsale Capital Group's current Beneish M-Score is -2.74. Based on the distribution chart, Kinsale Capital Group ranks #103 out of 399 companies in the Insurance industry, which is above the industry midpoint. Overall, Kinsale Capital Group has a GF Score™ of 75/100 and is considered Significantly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Kinsale Capital Group's Beneish M-Score compare to THG and MCY?
According to the Insurance industry distribution chart, Kinsale Capital Group ranks #103 out of 399 companies for Beneish M-Score. This puts Kinsale Capital Group 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 Insurance company?
A good Beneish M-Score depends on the Insurance 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 Kinsale Capital Group and its competitors. Kinsale Capital Group's current Beneish M-Score is -2.74. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Kinsale Capital Group stock overvalued right now?
Based on GuruFocus' analysis, Kinsale Capital Group (FRA:KCH) is currently considered Significantly Undervalued. The stock's GF Value™ is €490.12, compared to a current price of €291.80 — trading 40.5% below its estimated fair value. The current Beneish M-Score is -2.74. Kinsale Capital Group's overall GF Score™ is 75/100 with 1 warning sign 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 Kinsale Capital Group (FRA:KCH), the current Beneish M-Score is -2.74 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 Kinsale Capital Group (FRA:KCH) Overvalued in 2026?

Based on GuruFocus' analysis, Kinsale Capital Group stock appears to be undervalued. The current stock price of €291.80 is trading 40.5% below its estimated GF Value™ of €490.12. GuruFocus considers Kinsale Capital Group to be Significantly Undervalued.

Key valuation signals for FRA:KCH:

  • Beneish M-Score: -2.74
  • GF Value™: €490.12 vs. price of €291.80 (40.5% below fair value)
  • GF Score™: 75/100 with 1 warning sign

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

Kinsale Capital Group Business Description

Other Exchanges KNSL:USA
Address 2025 Staples Mill Road, Richmond, VA, USA, 23230
Kinsale Capital Group Inc is an insurance holding company. The company is engaged in offering property, casualty, and specialty insurance products. It offers specialty insurance products for allied health, healthcare, life sciences, professional, and a public entity. The company operates in only one reportable segment which is the Excess and Surplus Lines Insurance segment, which includes commercial excess and surplus lines liability and property insurance products through its underwriting divisions. The company generates revenues in the form of premiums and investment income.
75GF Score

Get the complete analysis for FRA:KCH

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

€291.80
Price
€490.12
GF Value