Al Ahli Bank Of Kuwait (KUW:ABK) Beneish M-Score: -2.20 (As of Jun. 28, 2026)


KUW:ABK Al Ahli Bank Of Kuwait KUW:ABK
26 GF Score
Price KWD0.26
GF Value KWD0.28
Valuation Fairly Valued
! 3 Warning Signs
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What is Al Ahli Bank Of Kuwait Beneish M-Score?

Al Ahli Bank Of Kuwait KUW:ABK -0.75% 26 Beneish M-Score is -2.20 as of Jun. 28, 2026. GuruFocus rates KUW:ABK with a GF Score™ of 26/100 and a GF Value™ of KWD0.28 (Fairly Valued). The stock has 3 warning signs investors should review. Among 1,397 Banks companies, Al Ahli Bank Of Kuwait ranks worse than 80.46% 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 -2.2 no higher than -1.78, which implies that the company is unlikely to be a manipulator.

The historical rank and industry rank for Al Ahli Bank Of Kuwait's Beneish M-Score or its related term are showing as below:

KUW:ABK' s Beneish M-Score Range Over the Past 10 Years
Min: -2.86   Med: -2.65   Max: -2.19
Current: -2.2

During the past 13 years, the highest Beneish M-Score of Al Ahli Bank Of Kuwait was -2.19. The lowest was -2.86. And the median was -2.65.

KUW:ABK
26GF Score
Al Ahli Bank Of Kuwait KUW:ABK
Beneish M-Score is just one metric. See GF Score™, valuation, warning signs, and more.
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Al Ahli Bank Of Kuwait 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 Al Ahli Bank Of Kuwait 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+0.528 * 1+0.404 * 0.9984+0.892 * 1.1071+0.115 * 0.9644
-0.172 * SGAI+4.679 * TATA-0.327 * LVGI
-0.172 * 1+4.679 * 0.058498-0.327 * 1.2512
=-2.20

* 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 KWD0.0 Mil.
Revenue was KWD218.2 Mil.
Gross Profit was KWD218.2 Mil.
Total Current Assets was KWD0.0 Mil.
Total Assets was KWD6,925.1 Mil.
Property, Plant and Equipment(Net PPE) was KWD112.0 Mil.
Depreciation, Depletion and Amortization(DDA) was KWD6.0 Mil.
Selling, General, & Admin. Expense(SGA) was KWD0.0 Mil.
Total Current Liabilities was KWD0.0 Mil.
Long-Term Debt & Capital Lease Obligation was KWD632.8 Mil.
Net Income was KWD62.6 Mil.
Gross Profit was KWD0.0 Mil.
Cash Flow from Operations was KWD-342.5 Mil.
 Total Receivables was KWD0.0 Mil.
Revenue was KWD197.1 Mil.
Gross Profit was KWD197.1 Mil.
Total Current Assets was KWD0.0 Mil.
Total Assets was KWD7,373.5 Mil.
Property, Plant and Equipment(Net PPE) was KWD107.5 Mil.
Depreciation, Depletion and Amortization(DDA) was KWD5.5 Mil.
Selling, General, & Admin. Expense(SGA) was KWD0.0 Mil.
Total Current Liabilities was KWD0.0 Mil.
Long-Term Debt & Capital Lease Obligation was KWD538.5 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)
=(0 / 218.246) / (0 / 197.14)
=0 / 0
=1

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)
=(197.14 / 197.14) / (218.246 / 218.246)
=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 + 111.987) / 6925.107) / (1 - (0 + 107.519) / 7373.513)
=0.983829 / 0.985418
=0.9984

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
=218.246 / 197.14
=1.1071

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))
=(5.521 / (5.521 + 107.519)) / (5.974 / (5.974 + 111.987))
=0.048841 / 0.050644
=0.9644

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 / 218.246) / (0 / 197.14)
=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)
=((632.772 + 0) / 6925.107) / ((538.463 + 0) / 7373.513)
=0.091374 / 0.073027
=1.2512

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
=(62.591 - 0 - -342.514) / 6925.107
=0.058498

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.

Al Ahli Bank Of Kuwait has a M-score of -2.20 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 -2.20 mean?
Al Ahli Bank Of Kuwait (KUW:ABK) has a Beneish M-Score of -2.20 as of Jun. 28, 2026. The Beneish M-score measures the likelihood of earnings manipulation. View historical data on Al Ahli Bank Of Kuwait and its competitors. According to the industry distribution chart, Al Ahli Bank Of Kuwait ranks #1124 out of 1397 companies in the Banks industry, placing it in the top 80.5%.
Is Al Ahli Bank Of Kuwait's Beneish M-Score too high?
Al Ahli Bank Of Kuwait's current Beneish M-Score is -2.20. Based on the distribution chart, Al Ahli Bank Of Kuwait ranks #1124 out of 1397 companies in the Banks industry, which is in the bottom quartile relative to peers. Overall, Al Ahli Bank Of Kuwait has a GF Score™ of 26/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does Al Ahli Bank Of Kuwait's Beneish M-Score compare to PNC?
According to the Banks industry distribution chart, Al Ahli Bank Of Kuwait ranks #1124 out of 1397 companies for Beneish M-Score. This places Al Ahli Bank Of Kuwait 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 Banks company?
A good Beneish M-Score depends on the Banks 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 Al Ahli Bank Of Kuwait and its competitors. Al Ahli Bank Of Kuwait's current Beneish M-Score is -2.20. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Al Ahli Bank Of Kuwait stock overvalued right now?
Based on GuruFocus' analysis, Al Ahli Bank Of Kuwait (KUW:ABK) is currently considered Fairly Valued. The stock's GF Value™ is KWD0.28, compared to a current price of KWD0.26 — trading 5.7% below its estimated fair value. The current Beneish M-Score is -2.20. Al Ahli Bank Of Kuwait's overall GF Score™ is 26/100 with 3 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 Al Ahli Bank Of Kuwait (KUW:ABK), the current Beneish M-Score is -2.20 as of Jun. 28, 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 Al Ahli Bank Of Kuwait (KUW:ABK) Overvalued in 2026?

Based on GuruFocus' analysis, Al Ahli Bank Of Kuwait stock appears to be undervalued. The current stock price of KWD0.26 is trading 5.7% below its estimated GF Value™ of KWD0.28. GuruFocus considers Al Ahli Bank Of Kuwait to be Fairly Valued.

Key valuation signals for KUW:ABK:

  • Beneish M-Score: -2.20
  • GF Value™: KWD0.28 vs. price of KWD0.26 (5.7% below fair value)
  • GF Score™: 26/100 with 3 warning signs

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

Al Ahli Bank Of Kuwait Business Description

Address Al Safat Square, Ahmed Al Jaber Street, P.O. Box 1387, Safat, Kuwait City, KWT, 13014
Al Ahli Bank Of Kuwait is a company engaged in the banking sector in Kuwait, the United Arab Emirates, and Egypt. The group is organized into three business segments. The commercial Banking segment comprises a full range of credit, deposit, and related banking services provided to its corporate and institutional customers. Treasury and Investments segment comprises treasury services provided to customers and balance sheet management activities including money market, derivatives, propriety investment activities, assets management and the residual impact of inter-segment fund transfer pricing, and the Retail and private banking segment comprising products and services to customers which includes loans, credit cards, and wealth management.
26GF Score

Get the complete analysis for KUW:ABK

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

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