Al-Safat Investment Co KSCC (KUW:ALSAFAT) Beneish M-Score: -1.66 (As of Jun. 27, 2026)


KUW:ALSAFAT Al-Safat Investment Co KSCC KUW:ALSAFAT
38 GF Score
Price KWD0.18
GF Value KWD0.37
Valuation Possible Value Trap
! 3 Warning Signs
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What is Al-Safat Investment Co KSCC Beneish M-Score?

Al-Safat Investment Co KSCC KUW:ALSAFAT -1.69% 38 Beneish M-Score is -1.66 as of Jun. 27, 2026. GuruFocus rates KUW:ALSAFAT with a GF Score™ of 38/100 and a GF Value™ of KWD0.37 (Possible Value Trap). The stock has 3 warning signs investors should review. Among 954 Asset Management companies, Al-Safat Investment Co KSCC ranks worse than 69.08% 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.

Warning Sign:

Beneish M-Score -1.66 higher than -1.78, which implies that the company might have manipulated its financial results.

The historical rank and industry rank for Al-Safat Investment Co KSCC's Beneish M-Score or its related term are showing as below:

KUW:ALSAFAT' s Beneish M-Score Range Over the Past 10 Years
Min: -3.82   Med: -2.35   Max: -0.38
Current: -1.66

During the past 13 years, the highest Beneish M-Score of Al-Safat Investment Co KSCC was -0.38. The lowest was -3.82. And the median was -2.35.

KUW:ALSAFAT
38GF Score
Al-Safat Investment Co KSCC KUW:ALSAFAT
Beneish M-Score is just one metric. See GF Score™, valuation, warning signs, and more.
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Al-Safat Investment Co KSCC 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-Safat Investment Co KSCC 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 * 1.0067+0.892 * 1.7931+0.115 * 1.1517
-0.172 * SGAI+4.679 * TATA-0.327 * LVGI
-0.172 * 0.6312+4.679 * -0.001197-0.327 * 0.9045
=-1.66

* 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 KWD0.00 Mil.
Revenue was 0.938 + 6.765 + 1.76 + 1.005 = KWD10.47 Mil.
Gross Profit was 0.938 + 6.765 + 1.76 + 1.005 = KWD10.47 Mil.
Total Current Assets was KWD0.00 Mil.
Total Assets was KWD48.47 Mil.
Property, Plant and Equipment(Net PPE) was KWD4.80 Mil.
Depreciation, Depletion and Amortization(DDA) was KWD0.45 Mil.
Selling, General, & Admin. Expense(SGA) was KWD0.38 Mil.
Total Current Liabilities was KWD0.00 Mil.
Long-Term Debt & Capital Lease Obligation was KWD3.72 Mil.
Net Income was 1.134 + 0.285 + 0.671 + 0.009 = KWD2.10 Mil.
Non Operating Income was 0 + 0 + 0 + 0 = KWD0.00 Mil.
Cash Flow from Operations was 1.614 + 0.781 + 0.739 + -0.977 = KWD2.16 Mil.
 Total Receivables was KWD0.00 Mil.
Revenue was 1.445 + 1.954 + 1.288 + 1.151 = KWD5.84 Mil.
Gross Profit was 1.445 + 1.954 + 1.288 + 1.151 = KWD5.84 Mil.
Total Current Assets was KWD0.00 Mil.
Total Assets was KWD48.80 Mil.
Property, Plant and Equipment(Net PPE) was KWD5.13 Mil.
Depreciation, Depletion and Amortization(DDA) was KWD0.56 Mil.
Selling, General, & Admin. Expense(SGA) was KWD0.33 Mil.
Total Current Liabilities was KWD0.00 Mil.
Long-Term Debt & Capital Lease Obligation was KWD4.14 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 / 10.468) / (0 / 5.838)
=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)
=(5.838 / 5.838) / (10.468 / 10.468)
=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 + 4.804) / 48.468) / (1 - (0 + 5.131) / 48.802)
=0.900883 / 0.894861
=1.0067

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
=10.468 / 5.838
=1.7931

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))
=(0.559 / (0.559 + 5.131)) / (0.448 / (0.448 + 4.804))
=0.098243 / 0.085301
=1.1517

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)
=(0.378 / 10.468) / (0.334 / 5.838)
=0.03611 / 0.057211
=0.6312

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)
=((3.719 + 0) / 48.468) / ((4.14 + 0) / 48.802)
=0.076731 / 0.084833
=0.9045

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
=(2.099 - 0 - 2.157) / 48.468
=-0.001197

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-Safat Investment Co KSCC has a M-score of -1.66 signals that the company is likely to be a manipulator.

Frequently Asked Questions Learn more about Beneish M-Score →
What does a Beneish M-Score of -1.66 mean?
Al-Safat Investment Co KSCC (KUW:ALSAFAT) has a Beneish M-Score of -1.66 as of Jun. 27, 2026. The Beneish M-score measures the likelihood of earnings manipulation. View historical data on Al-Safat Investment Co KSCC and its competitors. According to the industry distribution chart, Al-Safat Investment Co KSCC ranks #659 out of 954 companies in the Asset Management industry, placing it in the top 69.1%.
Is Al-Safat Investment Co KSCC's Beneish M-Score too high?
Al-Safat Investment Co KSCC's current Beneish M-Score is -1.66. Based on the distribution chart, Al-Safat Investment Co KSCC ranks #659 out of 954 companies in the Asset Management industry, which is below the industry midpoint. Overall, Al-Safat Investment Co KSCC has a GF Score™ of 38/100 and is considered Possible Value Trap, reflecting its overall financial health beyond just this single metric.
How does Al-Safat Investment Co KSCC's Beneish M-Score compare to BLK and BX?
According to the Asset Management industry distribution chart, Al-Safat Investment Co KSCC ranks #659 out of 954 companies for Beneish M-Score. This places Al-Safat Investment Co KSCC 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 Asset Management company?
A good Beneish M-Score depends on the Asset Management 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-Safat Investment Co KSCC and its competitors. Al-Safat Investment Co KSCC's current Beneish M-Score is -1.66. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Al-Safat Investment Co KSCC stock overvalued right now?
Based on GuruFocus' analysis, Al-Safat Investment Co KSCC (KUW:ALSAFAT) is currently considered Possible Value Trap. The stock's GF Value™ is KWD0.37, compared to a current price of KWD0.18 — trading 52.7% below its estimated fair value. The current Beneish M-Score is -1.66. Al-Safat Investment Co KSCC's overall GF Score™ is 38/100 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-Safat Investment Co KSCC (KUW:ALSAFAT), the current Beneish M-Score is -1.66 as of Jun. 27, 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-Safat Investment Co KSCC (KUW:ALSAFAT) Overvalued in 2026?

Based on GuruFocus' analysis, Al-Safat Investment Co KSCC stock appears to be undervalued. The current stock price of KWD0.18 is trading 52.7% below its estimated GF Value™ of KWD0.37. GuruFocus considers Al-Safat Investment Co KSCC to be Possible Value Trap.

Key valuation signals for KUW:ALSAFAT:

  • Beneish M-Score: -1.66
  • GF Value™: KWD0.37 vs. price of KWD0.18 (52.7% below fair value)
  • GF Score™: 38/100 with 3 warning signs

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

Al-Safat Investment Co KSCC Business Description

Address Beirut Street, P.O.Box : 20133, Al-Safat Tower, 14th Floor, Hawalli, KWT, 13062
Al-Safat Investment Co KSCC focuses on acquiring strategic investments in selective enterprises, industries, and investment vehicles seeking growth and capital appreciation. The Group is organized into four business segments: Financial, Real estate, Industries, and Others: The group generates the majority of its reveneu from Financial segment which includes Managing funds of private and public institutions, acquiring companies in various sectors, mediation in lending and borrowing operations, acting as bond issuance managers, trading in securities, including buying and selling of stocks and bonds of local companies and international governmental agencies. The Group's investment properties are located in Kuwait and Other countries.
38GF Score

Get the complete analysis for KUW:ALSAFAT

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

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KWD0.37
GF Value