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 -2.94 no higher than -1.78, which implies that the company is unlikely to be a manipulator.
The historical rank and industry rank for Telefonica Brasil's Beneish M-Score or its related term are showing as below:
FRA:TSPA'
s Beneish M-Score Range Over the Past 10 Years
Min: -3.39 Med: -2.94 Max: -2.46
Current: -2.94
During the past 13 years, the highest Beneish M-Score of Telefonica Brasil was -2.46. The lowest was -3.39. And the median was -2.94.
Telefonica Brasil Beneish M-Score Related Terms
Telefonica Brasil Beneish M-Score Historical Data
* Premium members only.
The historical data trend for Telefonica Brasil's Beneish M-Score can be seen below:
* 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.
FRA:TSPA vs TMUS, VZ, T: Beneish M-Score Comparison
For the Telecom Services subindustry, Telefonica Brasil's Beneish M-Score, along with its competitors' market caps and Beneish M-Score data, can be viewed below:
* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.
Telefonica Brasil Beneish M-Score vs Telecommunication Services Industry
For the Telecommunication Services industry and Communication Services sector, Telefonica Brasil's Beneish M-Score distribution charts can be found below:
* The bar in red indicates where Telefonica Brasil's Beneish M-Score falls into.
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 Telefonica Brasil 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 * 1.0486
+
0.528 * 0.9748
+
0.404 * 0.9777
+
0.892 * 1.0462
+
0.115 * 1.0205
-
0.172 * SGAI
+
4.679 * TATA
-
0.327 * LVGI
-
0.172 * 1.0005
+
4.679 * -0.103552
-
0.327 * 0.9707
=
-2.89
* 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.
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.
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))
=
(2369.988 / (2369.988 + 7350.467))
/
(2408.123 / (2408.123 + 7671.524))
=
0.243815
/
0.238909
=
1.0205
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
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
=
(1012.566 - -84.361
-
3331.874)
/
21582.814
=
-0.103552
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.
Telefonica Brasil has a M-score of -2.89 suggests that the company is unlikely to be a manipulator.
Telefonica Brasil (FRA:TSPA) has a Beneish M-Score of -2.94 as of Jun. 24, 2026. The Beneish M-score measures the likelihood of earnings manipulation. View historical data on Telefonica Brasil and its competitors. According to the industry distribution chart, Telefonica Brasil ranks #131 out of 355 companies in the Telecommunication Services industry, placing it in the top 36.9%.
Is Telefonica Brasil's Beneish M-Score too high?
Telefonica Brasil's current Beneish M-Score is -2.94. Based on the distribution chart, Telefonica Brasil ranks #131 out of 355 companies in the Telecommunication Services industry, which is above the industry midpoint. Overall, Telefonica Brasil has a GF Score™ of 80/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does Telefonica Brasil's Beneish M-Score compare to TMUS and VZ?
According to the Telecommunication Services industry distribution chart, Telefonica Brasil ranks #131 out of 355 companies for Beneish M-Score. This puts Telefonica Brasil 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 a Telecommunication Services company?
A good Beneish M-Score depends on the Telecommunication Services 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 Telefonica Brasil and its competitors. Telefonica Brasil's current Beneish M-Score is -2.94. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Telefonica Brasil stock overvalued right now?
Based on GuruFocus' analysis, Telefonica Brasil (FRA:TSPA) is currently considered Fairly Valued. The stock's GF Value™ is €10.27, compared to a current price of €11.20 — trading 9.1% above its estimated fair value. The current Beneish M-Score is -2.94. Telefonica Brasil's overall GF Score™ is 80/100 with 2 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 Telefonica Brasil (FRA:TSPA), the current Beneish M-Score is -2.94 as of Jun. 24, 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 Telefonica Brasil (FRA:TSPA) Overvalued in 2026?
Based on GuruFocus' analysis, Telefonica Brasil stock appears to be overvalued.
The current stock price of €11.20 is trading 9.1% above its estimated GF Value™ of €10.27.
GuruFocus considers Telefonica Brasil to be Fairly Valued.
Key valuation signals for FRA:TSPA:
Beneish M-Score: -2.94
GF Value™: €10.27 vs. price of €11.20 (9.1% above fair value)
No single metric tells the full story. See the FRA:TSPA stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Telefonica Brasil, known as Vivo, is the largest wireless carrier in Brazil with 103 million customers, which is equal to about 38% market share. The firm is strongest in the postpaid business, where it has 72 million customers, or about 40% share of this market. Wireless services and equipment contribute about 70% of total revenue. Vivo is the incumbent fixed-line telephone operator in Sao Paulo state and also owns an extensive fiber network across the country. The firm provides internet access to 8 million households on this network. The firm also sells pay-TV and phone services to its fixed-line customers. Finally, corporate data and IT services, including cloud computing support, contribute about 10% of total revenue.
80GF Score
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