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Chuan HoldingsHKSE:01420 62 Beneish M-Score is -2.33 as of Sep. 06, 2026. GuruFocus rates HKSE:01420 with a GF Score™ of 62/100 and a GF Value™ of HK$0.22 (Significantly Overvalued). The stock has 5 warning signs investors should review. Among 1,709 Construction companies, Chuan Holdings ranks worse than 58.86% on this metric.
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 -2.33 no higher than -1.78, which implies that the company is unlikely to be a manipulator.
The historical rank and industry rank for Chuan Holdings's Beneish M-Score or its related term are showing as below:
HKSE:01420'
s Beneish M-Score Range Over the Past 10 Years
Min: -4.35 Med: -2.49 Max: -1.46
Current: -2.33
During the past 13 years, the highest Beneish M-Score of Chuan Holdings was -1.46. The lowest was -4.35. And the median was -2.49.
The historical data trend for Chuan Holdings'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:01420 vs PWR, FIX, EME: Beneish M-Score Comparison
For the Engineering & Construction subindustry, Chuan Holdings'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.
Chuan Holdings Beneish M-Score vs Construction Industry
For the Construction industry and Industrials sector, Chuan Holdings's Beneish M-Score distribution charts can be found below:
* The bar in red indicates where Chuan Holdings'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 Chuan Holdings 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 * 1.3229
+
0.528 * 0.6193
+
0.404 * 0.886
+
0.892 * 1.2385
+
0.115 * 0.8115
-
0.172 * SGAI
+
4.679 * TATA
-
0.327 * LVGI
-
0.172 * 1.2542
+
4.679 * -0.014897
-
0.327 * 0.9374
=
-2.33
* 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))
=
(48.1 / (48.1 + 465.817))
/
(66.909 / (66.909 + 513.212))
=
0.093595
/
0.115336
=
0.8115
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
=
(114.322 - 0
-
133.649)
/
1297.333
=
-0.014897
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.
Chuan Holdings has a M-score of -2.33 suggests that the company is unlikely to be a manipulator.
Chuan Holdings (HKSE:01420) has a Beneish M-Score of -2.33 as of Sep. 06, 2026. The Beneish M-score measures the likelihood of earnings manipulation. View historical data on Chuan Holdings and its competitors. According to the industry distribution chart, Chuan Holdings ranks #1006 out of 1709 companies in the Construction industry, placing it in the top 58.9%.
Is Chuan Holdings' Beneish M-Score too high?
Chuan Holdings' current Beneish M-Score is -2.33. Based on the distribution chart, Chuan Holdings ranks #1006 out of 1709 companies in the Construction industry, which is below the industry midpoint. Overall, Chuan Holdings has a GF Score™ of 62/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Chuan Holdings' Beneish M-Score compare to PWR and FIX?
According to the Construction industry distribution chart, Chuan Holdings ranks #1006 out of 1709 companies for Beneish M-Score. This places Chuan Holdings in the lower 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 Construction company?
A good Beneish M-Score depends on the Construction 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 Chuan Holdings and its competitors. Chuan Holdings's current Beneish M-Score is -2.33. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Chuan Holdings stock overvalued right now?
Based on GuruFocus' analysis, Chuan Holdings (HKSE:01420) is currently considered Significantly Overvalued. The stock's GF Value™ is HK$0.22, compared to a current price of HK$0.30 — trading 36.4% above its estimated fair value. The current Beneish M-Score is -2.33. Chuan Holdings' overall GF Score™ is 62/100 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 Chuan Holdings (HKSE:01420), the current Beneish M-Score is -2.33 as of Sep. 06, 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 Chuan Holdings (HKSE:01420) Overvalued in 2026?
Based on GuruFocus' analysis, Chuan Holdings stock appears to be overvalued.
The current stock price of HK$0.30 is trading 36.4% above its estimated GF Value™ of HK$0.22.
GuruFocus considers Chuan Holdings to be Significantly Overvalued.
Key valuation signals for HKSE:01420:
Beneish M-Score: -2.33
GF Value™: HK$0.22 vs. price of HK$0.30 (36.4% above fair value)
No single metric tells the full story. See the HKSE:01420 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Chuan Holdings Ltd is an earthwork contractor. The company's business segments are Earthworks and ancillary services; general construction works; and Property investment. The earthworks and related services include excavation, earth disposal, demolition, and various earthwork ancillary services; General construction works, including construction of new buildings, alternation, and addition works; and Property investment, includes Property leasing and management operations. It generates a majority of its revenue from the Earthworks ancillary services segment.
62GF Score
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