Gemfields (LSE:GEMA) Beneish M-Score: -2.67 (As of Jun. 26, 2026)


What is Gemfields Beneish M-Score?

Gemfields LSE:GEMA Beneish M-Score is -2.67 as of Jun. 26, 2026. The stock has 4 warning signs investors should review.

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.

The historical rank and industry rank for Gemfields's Beneish M-Score or its related term are showing as below:

LSE:GEMA' s Beneish M-Score Range Over the Past 10 Years
Min: -2.67   Med: -0.82   Max: 2.13
Current: -2.67

During the past 13 years, the highest Beneish M-Score of Gemfields was 2.13. The lowest was -2.67. And the median was -0.82.

Gemfields Beneish M-Score Historical Data

* Premium members only.

The historical data trend for Gemfields'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.

Gemfields Beneish M-Score Chart

Gemfields Annual Data
Trend Jun07 Jun08 Jun09 Jun10 Jun11 Jun12 Jun13 Jun14 Jun15 Jun16
Beneish M-Score
Get a 7-Day Free Trial Premium Member Only Premium Member Only 0.39 2.13 0.99 -2.39 -2.67

Gemfields Semi-Annual Data
Jun07 Dec07 Jun08 Dec08 Jun09 Dec09 Jun10 Dec10 Jun11 Dec11 Jun12 Dec12 Jun13 Dec13 Jun14 Dec14 Jun15 Dec15 Jun16 Dec16
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 0.00 -2.39 0.00 -2.67 0.00

Gemfields Beneish M-Score Competitor Comparison

For the Other Precious Metals & Mining subindustry, Gemfields'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.

Gemfields Beneish M-Score vs Metals & Mining Industry

For the Metals & Mining industry and Basic Materials sector, Gemfields's Beneish M-Score distribution charts can be found below:

* The bar in red indicates where Gemfields's Beneish M-Score falls into.


Gemfields 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 Gemfields 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 * 0.8985+0.528 * 1.0149+0.404 * 1.0362+0.892 * 1.2353+0.115 * 1.069
-0.172 * SGAI+4.679 * TATA-0.327 * LVGI
-0.172 * 0.8803+4.679 * -0.061662-0.327 * 1.0693
=-2.62

* 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 (Jun16) TTM:Last Year (Jun15) TTM:
Total Receivables was £21.53 Mil.
Revenue was £135.97 Mil.
Gross Profit was £66.40 Mil.
Total Current Assets was £132.47 Mil.
Total Assets was £335.07 Mil.
Property, Plant and Equipment(Net PPE) was £158.91 Mil.
Depreciation, Depletion and Amortization(DDA) was £20.77 Mil.
Selling, General, & Admin. Expense(SGA) was £38.61 Mil.
Total Current Liabilities was £56.94 Mil.
Long-Term Debt & Capital Lease Obligation was £17.60 Mil.
Net Income was £8.38 Mil.
Gross Profit was £-0.53 Mil.
Cash Flow from Operations was £29.57 Mil.
 Total Receivables was £19.40 Mil.
Revenue was £110.07 Mil.
Gross Profit was £54.55 Mil.
Total Current Assets was £107.63 Mil.
Total Assets was £299.97 Mil.
Property, Plant and Equipment(Net PPE) was £154.59 Mil.
Depreciation, Depletion and Amortization(DDA) was £21.80 Mil.
Selling, General, & Admin. Expense(SGA) was £35.51 Mil.
Total Current Liabilities was £49.57 Mil.
Long-Term Debt & Capital Lease Obligation was £12.84 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)
=(21.527 / 135.971) / (19.395 / 110.07)
=0.158321 / 0.176206
=0.8985

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)
=(54.548 / 110.07) / (66.396 / 135.971)
=0.495576 / 0.48831
=1.0149

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 - (132.472 + 158.905) / 335.067) / (1 - (107.629 + 154.591) / 299.967)
=0.130392 / 0.125837
=1.0362

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
=135.971 / 110.07
=1.2353

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))
=(21.797 / (21.797 + 154.591)) / (20.769 / (20.769 + 158.905))
=0.123574 / 0.115593
=1.069

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)
=(38.613 / 135.971) / (35.508 / 110.07)
=0.28398 / 0.322595
=0.8803

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)
=((17.6 + 56.944) / 335.067) / ((12.84 + 49.569) / 299.967)
=0.222475 / 0.208053
=1.0693

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
=(8.377 - -0.534 - 29.572) / 335.067
=-0.061662

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.

Gemfields has a M-score of -2.62 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 -2.67 mean?
Gemfields (LSE:GEMA) has a Beneish M-Score of -2.67 as of Jun. 26, 2026. The Beneish M-score measures the likelihood of earnings manipulation. View historical data on Gemfields and its competitors.
Is Gemfields' Beneish M-Score too high?
Gemfields' current Beneish M-Score is -2.67.
How does Gemfields' Beneish M-Score compare to competitors?
Gemfields' Beneish M-Score of -2.67 can be compared against companies in the Metals & Mining 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 Metals & Mining company?
A good Beneish M-Score depends on the Metals & Mining 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 Gemfields and its competitors. Gemfields's current Beneish M-Score is -2.67. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Gemfields stock overvalued right now?
Gemfields (LSE:GEMA) has a current Beneish M-Score of -2.67. The current Beneish M-Score is -2.67. 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 Gemfields (LSE:GEMA), the current Beneish M-Score is -2.67 as of Jun. 26, 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.

Gemfields Business Description

Address St Julian’s Avenue, Royal Chambers, PO Box 186, Saint Peter Port, GGY, W1S 2HR
Gemfields PLC is a supplier of colored gemstones specializing in emeralds and amethysts from Zambia and rubies from Mozambique. The company's assets include Kagem emerald mine, Montepuez ruby mine, Kariba amethyst mine, Faberge, and it also has emerald, sapphire and ruby exploration projects at Colombia, Ethiopia, Sri Lanka, and Madagascar. Its segments consist of Zambia, Mozambique, United Kingdom, Faberge, and others. The company earns the majority of the revenue from the sale of rough and cut and polished gemstones as well as wholesale and retail sales of the gemstones and jewelry in the Faberge business.