Precision Tsugami (China) (HKSE:01651) Beneish M-Score: -2.26 (As of Jul. 05, 2026)


HKSE:01651 Precision Tsugami (China) Corp Ltd HKSE:01651
84 GF Score
Price HK$72.70
GF Value HK$19.80
Valuation Significantly Overvalued
! 5 Warning Signs
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What is Precision Tsugami (China) Beneish M-Score?

Precision Tsugami (China) HKSE:01651 +7.86% 84 Beneish M-Score is -2.26 as of Jul. 05, 2026. GuruFocus rates HKSE:01651 with a GF Score™ of 84/100 and a GF Value™ of HK$19.80 (Significantly Overvalued). The stock has 5 warning signs investors should review. Among 2,917 Industrial Products companies, Precision Tsugami (China) ranks worse than 65.58% 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 -2.26 no higher than -1.78, which implies that the company is unlikely to be a manipulator.

The historical rank and industry rank for Precision Tsugami (China)'s Beneish M-Score or its related term are showing as below:

HKSE:01651' s Beneish M-Score Range Over the Past 10 Years
Min: -2.84   Med: -2.12   Max: -1.34
Current: -2.26

During the past 12 years, the highest Beneish M-Score of Precision Tsugami (China) was -1.34. The lowest was -2.84. And the median was -2.12.

Precision Tsugami (China) Beneish M-Score Historical Data

* Premium members only.

The historical data trend for Precision Tsugami (China)'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.

Precision Tsugami (China) Beneish M-Score Chart

Precision Tsugami (China) Annual Data
Trend Mar17 Mar18 Mar19 Mar20 Mar21 Mar22 Mar23 Mar24 Mar25 Mar26
Beneish M-Score
Get a 7-Day Free Trial Premium Member Only Premium Member Only -1.98 -2.84 -2.34 -1.60 -2.26

Precision Tsugami (China) Semi-Annual Data
Sep16 Mar17 Sep17 Mar18 Sep18 Mar19 Sep19 Mar20 Sep20 Mar21 Sep21 Mar22 Sep22 Mar23 Sep23 Mar24 Sep24 Mar25 Sep25 Mar26
Beneish M-Score Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only -2.34 0.00 -1.60 0.00 -2.26

HKSE:01651 vs SNA, RBC, LECO: Beneish M-Score Comparison

For the Tools & Accessories subindustry, Precision Tsugami (China)'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.

Precision Tsugami (China) Beneish M-Score vs Industrial Products Industry

For the Industrial Products industry and Industrials sector, Precision Tsugami (China)'s Beneish M-Score distribution charts can be found below:

* The bar in red indicates where Precision Tsugami (China)'s Beneish M-Score falls into.


HKSE:01651
84GF Score
Precision Tsugami (China) Corp Ltd HKSE:01651
Beneish M-Score is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

Precision Tsugami (China) 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 Precision Tsugami (China) 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 * 1.0328+0.528 * 0.949+0.404 * 0.7983+0.892 * 1.2884+0.115 * 0.9724
-0.172 * SGAI+4.679 * TATA-0.327 * LVGI
-0.172 * 0.8348+4.679 * 0.005974-0.327 * 1.0341
=-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 (Mar26) TTM:Last Year (Mar25) TTM:
Total Receivables was HK$2,242 Mil.
Revenue was HK$5,887 Mil.
Gross Profit was HK$2,053 Mil.
Total Current Assets was HK$4,926 Mil.
Total Assets was HK$5,666 Mil.
Property, Plant and Equipment(Net PPE) was HK$700 Mil.
Depreciation, Depletion and Amortization(DDA) was HK$71 Mil.
Selling, General, & Admin. Expense(SGA) was HK$395 Mil.
Total Current Liabilities was HK$1,341 Mil.
Long-Term Debt & Capital Lease Obligation was HK$1 Mil.
Net Income was HK$1,243 Mil.
Gross Profit was HK$0 Mil.
Cash Flow from Operations was HK$1,209 Mil.
 Total Receivables was HK$1,685 Mil.
Revenue was HK$4,569 Mil.
Gross Profit was HK$1,512 Mil.
Total Current Assets was HK$3,855 Mil.
Total Assets was HK$4,562 Mil.
Property, Plant and Equipment(Net PPE) was HK$667 Mil.
Depreciation, Depletion and Amortization(DDA) was HK$65 Mil.
Selling, General, & Admin. Expense(SGA) was HK$367 Mil.
Total Current Liabilities was HK$1,044 Mil.
Long-Term Debt & Capital Lease Obligation was HK$1 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)
=(2242.163 / 5887.134) / (1684.955 / 4569.301)
=0.380858 / 0.368756
=1.0328

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)
=(1512.286 / 4569.301) / (2053.078 / 5887.134)
=0.330967 / 0.34874
=0.949

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 - (4926.231 + 699.666) / 5665.612) / (1 - (3854.581 + 667.081) / 4561.719)
=0.00701 / 0.008781
=0.7983

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
=5887.134 / 4569.301
=1.2884

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))
=(65.322 / (65.322 + 667.081)) / (70.658 / (70.658 + 699.666))
=0.089189 / 0.091725
=0.9724

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)
=(395.066 / 5887.134) / (367.315 / 4569.301)
=0.067107 / 0.080388
=0.8348

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)
=((1.348 + 1341.286) / 5665.612) / ((1.078 + 1044.277) / 4561.719)
=0.23698 / 0.229158
=1.0341

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
=(1242.778 - 0 - 1208.929) / 5665.612
=0.005974

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.

Precision Tsugami (China) 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 -2.26 mean?
Precision Tsugami (China) (HKSE:01651) has a Beneish M-Score of -2.26 as of Jul. 05, 2026. The Beneish M-score measures the likelihood of earnings manipulation. View historical data on Precision Tsugami (China) and its competitors. According to the industry distribution chart, Precision Tsugami (China) ranks #1913 out of 2917 companies in the Industrial Products industry, placing it in the top 65.6%.
Is Precision Tsugami (China)'s Beneish M-Score too high?
Precision Tsugami (China)'s current Beneish M-Score is -2.26. Based on the distribution chart, Precision Tsugami (China) ranks #1913 out of 2917 companies in the Industrial Products industry, which is below the industry midpoint. Overall, Precision Tsugami (China) has a GF Score™ of 84/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Precision Tsugami (China)'s Beneish M-Score compare to SNA and RBC?
According to the Industrial Products industry distribution chart, Precision Tsugami (China) ranks #1913 out of 2917 companies for Beneish M-Score. This places Precision Tsugami (China) 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 an Industrial Products company?
A good Beneish M-Score depends on the Industrial Products 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 Precision Tsugami (China) and its competitors. Precision Tsugami (China)'s current Beneish M-Score is -2.26. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Precision Tsugami (China) stock overvalued right now?
Based on GuruFocus' analysis, Precision Tsugami (China) (HKSE:01651) is currently considered Significantly Overvalued. The stock's GF Value™ is HK$19.80, compared to a current price of HK$72.70 — trading 267.2% above its estimated fair value. The current Beneish M-Score is -2.26. Precision Tsugami (China)'s overall GF Score™ is 84/100 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 Precision Tsugami (China) (HKSE:01651), the current Beneish M-Score is -2.26 as of Jul. 05, 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 Precision Tsugami (China) (HKSE:01651) Overvalued in 2026?

Based on GuruFocus' analysis, Precision Tsugami (China) stock appears to be overvalued. The current stock price of HK$72.70 is trading 267.2% above its estimated GF Value™ of HK$19.80. GuruFocus considers Precision Tsugami (China) to be Significantly Overvalued.

Key valuation signals for HKSE:01651:

  • Beneish M-Score: -2.26
  • GF Value™: HK$19.80 vs. price of HK$72.70 (267.2% above fair value)
  • GF Score™: 84/100 with 5 warning signs

No single metric tells the full story. See the HKSE:01651 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.

Precision Tsugami (China) Business Description

Address No. 2001 Pingcheng Road, Pinghu Economic-Technological Development Zone, Zhejiang Province, Pinghu, CHN, 314200
Precision Tsugami (China) Corp Ltd is engaged in the manufacturing and distribution of computer numerical control (CNC) high precision machine tools; and the provision of commercial consultation services. It manufactures and sells CNC machine tools including Precision lathes, Precision machining centers, Precision thread and form rolling machines and Precision grinding machines under the TSUGAMI brand. The company only has one reportable operating segment which is the manufacture and sale of high precision CNC machine tools. Its products are mainly for the Chinese market and are also sold to Japan, Europe, the USA, Southeast Asia and other countries.
84GF Score

Get the complete analysis for HKSE:01651

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

HK$72.70
Price
HK$19.80
GF Value