Shawbrook Group (LSE:SHAA) Beneish M-Score: -2.49 (As of Jun. 26, 2026)


What is Shawbrook Group Beneish M-Score?

Shawbrook Group LSE:SHAA 40 Beneish M-Score is -2.49 as of Jun. 26, 2026. GuruFocus rates LSE:SHAA with a GF Score™ of 40/100. The stock has 2 warning signs investors should review. Among 1,397 Banks companies, Shawbrook Group ranks better than 68.07% 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 -2.49 no higher than -1.78, which implies that the company is unlikely to be a manipulator.

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

LSE:SHAA' s Beneish M-Score Range Over the Past 10 Years
Min: -2.58   Med: -2.13   Max: -1.9
Current: -2.49

During the past 9 years, the highest Beneish M-Score of Shawbrook Group was -1.90. The lowest was -2.58. And the median was -2.13.

Shawbrook Group 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 Shawbrook Group 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 * 1.0438+0.528 * 1+0.404 * 1.0009+0.892 * 1.1152+0.115 * 0.7623
-0.172 * SGAI+4.679 * TATA-0.327 * LVGI
-0.172 * 0.9557+4.679 * -0.038827-0.327 * 0.7162
=-2.45

* 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 £22.00 Mil.
Revenue was £688.30 Mil.
Gross Profit was £688.30 Mil.
Total Current Assets was £0.00 Mil.
Total Assets was £22,468.90 Mil.
Property, Plant and Equipment(Net PPE) was £54.60 Mil.
Depreciation, Depletion and Amortization(DDA) was £26.60 Mil.
Selling, General, & Admin. Expense(SGA) was £93.90 Mil.
Total Current Liabilities was £0.00 Mil.
Long-Term Debt & Capital Lease Obligation was £608.60 Mil.
Net Income was £195.50 Mil.
Gross Profit was £0.00 Mil.
Cash Flow from Operations was £1,067.90 Mil.
 Total Receivables was £18.90 Mil.
Revenue was £617.20 Mil.
Gross Profit was £617.20 Mil.
Total Current Assets was £0.00 Mil.
Total Assets was £19,722.70 Mil.
Property, Plant and Equipment(Net PPE) was £65.50 Mil.
Depreciation, Depletion and Amortization(DDA) was £21.80 Mil.
Selling, General, & Admin. Expense(SGA) was £88.10 Mil.
Total Current Liabilities was £0.00 Mil.
Long-Term Debt & Capital Lease Obligation was £745.90 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)
=(22 / 688.3) / (18.9 / 617.2)
=0.031963 / 0.030622
=1.0438

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)
=(617.2 / 617.2) / (688.3 / 688.3)
=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 + 54.6) / 22468.9) / (1 - (0 + 65.5) / 19722.7)
=0.99757 / 0.996679
=1.0009

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
=688.3 / 617.2
=1.1152

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))
=(21.8 / (21.8 + 65.5)) / (26.6 / (26.6 + 54.6))
=0.249714 / 0.327586
=0.7623

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)
=(93.9 / 688.3) / (88.1 / 617.2)
=0.136423 / 0.142741
=0.9557

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)
=((608.6 + 0) / 22468.9) / ((745.9 + 0) / 19722.7)
=0.027086 / 0.037819
=0.7162

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
=(195.5 - 0 - 1067.9) / 22468.9
=-0.038827

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.

Shawbrook Group has a M-score of -2.45 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 -2.49 mean?
Shawbrook Group (LSE:SHAA) has a Beneish M-Score of -2.49 as of Jun. 26, 2026. The Beneish M-score measures the likelihood of earnings manipulation. View historical data on Shawbrook Group and its competitors. According to the industry distribution chart, Shawbrook Group ranks #446 out of 1397 companies in the Banks industry, placing it in the top 31.9%.
Is Shawbrook Group's Beneish M-Score too high?
Shawbrook Group's current Beneish M-Score is -2.49. Based on the distribution chart, Shawbrook Group ranks #446 out of 1397 companies in the Banks industry, which is above the industry midpoint. Overall, Shawbrook Group has a GF Score™ of 40/100, reflecting its overall financial health beyond just this single metric.
How does Shawbrook Group's Beneish M-Score compare to competitors?
According to the Banks industry distribution chart, Shawbrook Group ranks #446 out of 1397 companies for Beneish M-Score. This puts Shawbrook Group in the upper 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 Shawbrook Group and its competitors. Shawbrook Group's current Beneish M-Score is -2.49. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Shawbrook Group stock overvalued right now?
Shawbrook Group (LSE:SHAA) has a current Beneish M-Score of -2.49. The current Beneish M-Score is -2.49. Shawbrook Group's overall GF Score™ is 40/100 with 2 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 Shawbrook Group (LSE:SHAA), the current Beneish M-Score is -2.49 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.

Shawbrook Group Business Description

Other Exchanges SHAWl:UKSHAW:UKZ9W:Germany
Address The Drive, Great Warley, Lutea House, Warley Hill Business Park, Brentwood, Essex, GBR, CM13 3BE
Shawbrook Group PLC is a specialist savings and lending bank operating in the United Kingdom. It focuses mostly on poorly served customer segments across the small to medium-size enterprise and retail market of the island nation. Shawbrook's primary markets include property, business, and consumer finance. The company has grown since its founding through mostly acquisitions. Net operating income mostly derives from asset finance, commercial mortgages, and secured lending. Shawbrook emphasizes customer service, and reputation. The company operates in four segments Real Estate, SME, Consumer Finance and Retail Mortgage Brands.