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.
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.
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 -3.08 no higher than -1.78, which implies that the company is unlikely to be a manipulator.
The historical rank and industry rank for China Foods's Beneish M-Score or its related term are showing as below:
HKSE:00506'
s Beneish M-Score Range Over the Past 10 Years
Min: -3.46 Med: -2.79 Max: -1.84
Current: -3.08
During the past 13 years, the highest Beneish M-Score of China Foods was -1.84. The lowest was -3.46. And the median was -2.79.
The historical data trend for China Foods'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.
HKSE:00506 vs KO, PEP, MNST: Beneish M-Score Comparison
For the Beverages - Non-Alcoholic subindustry, China Foods'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.
China Foods Beneish M-Score vs Beverages - Non-Alcoholic Industry
For the Beverages - Non-Alcoholic industry and Consumer Defensive sector, China Foods's Beneish M-Score distribution charts can be found below:
* The bar in red indicates where China Foods'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 China Foods 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 * 0.9664
+
0.528 * 1.0191
+
0.404 * 0.9201
+
0.892 * 1.0625
+
0.115 * 0.9849
-
0.172 * SGAI
+
4.679 * TATA
-
0.327 * LVGI
-
0.172 * 0.9757
+
4.679 * -0.128762
-
0.327 * 1.0126
=
-3.08
* 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))
=
(914.498 / (914.498 + 5911.923))
/
(987.144 / (987.144 + 6270.299))
=
0.133964
/
0.136018
=
0.9849
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
=
(952.238 - 0
-
3567.498)
/
20310.767
=
-0.128762
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.
China Foods has a M-score of -3.08 suggests that the company is unlikely to be a manipulator.
China Foods (HKSE:00506) has a Beneish M-Score of -3.08 as of Aug. 22, 2026. The Beneish M-score measures the likelihood of earnings manipulation. View historical data on China Foods and its competitors. According to the industry distribution chart, China Foods ranks #15 out of 111 companies in the Beverages - Non-Alcoholic industry, placing it in the top 13.5%.
Is China Foods' Beneish M-Score too high?
China Foods' current Beneish M-Score is -3.08. Based on the distribution chart, China Foods ranks #15 out of 111 companies in the Beverages - Non-Alcoholic industry, which is in the top quartile — a strong position relative to peers. Overall, China Foods has a GF Score™ of 90/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does China Foods' Beneish M-Score compare to KO and PEP?
According to the Beverages - Non-Alcoholic industry distribution chart, China Foods ranks #15 out of 111 companies for Beneish M-Score. This places China Foods in the top 14% 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 Beverages - Non-Alcoholic company?
A good Beneish M-Score depends on the Beverages - Non-Alcoholic 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 China Foods and its competitors. China Foods's current Beneish M-Score is -3.08. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is China Foods stock overvalued right now?
Based on GuruFocus' analysis, China Foods (HKSE:00506) is currently considered Fairly Valued. The stock's GF Value™ is HK$3.20, compared to a current price of HK$3.33 — trading 4.1% above its estimated fair value. The current Beneish M-Score is -3.08. China Foods' overall GF Score™ is 90/100 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 China Foods (HKSE:00506), the current Beneish M-Score is -3.08 as of Aug. 22, 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 China Foods (HKSE:00506) Overvalued in 2026?
Based on GuruFocus' analysis, China Foods stock appears to be overvalued.
The current stock price of HK$3.33 is trading 4.1% above its estimated GF Value™ of HK$3.20.
GuruFocus considers China Foods to be Fairly Valued.
Key valuation signals for HKSE:00506:
Beneish M-Score: -3.08
GF Value™: HK$3.20 vs. price of HK$3.33 (4.1% above fair value)
No single metric tells the full story. See the HKSE:00506 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
China Foods Ltd is an investment holding company that operates in the beverage business. It offers twenty-four brands of products in ten types of beverages which include sparkling drink, juice, water, milk drink, energy drink, tea, coffee, functional nutrition drink, sports drink, plant-based protein drink, and alcoholic drink.
90GF Score
Get the complete analysis for HKSE:00506
Beneish M-Score is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.
Quick Browse
Personalize
Premium Gurus 
Create New Portfolio
HKSE:00506 has been successfully added to your 
