Prudential Financial (MEX:PRU) Beneish M-Score: -2.62 (As of Aug. 10, 2026)

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MEX:PRU Prudential Financial Inc MEX:PRU
60 GF Score
Price MXN2,110.00
GF Value MXN1,891.05
Valuation Modestly Overvalued
! 7 Warning Signs
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What is Prudential Financial Beneish M-Score?

Prudential Financial MEX:PRU 60 Beneish M-Score is -2.62 as of Aug. 10, 2026. GuruFocus rates MEX:PRU with a GF Score™ of 60/100 and a GF Value™ of MXN1,891.05 (Modestly Overvalued). The stock has 7 warning signs investors should review. Among 401 Insurance companies, Prudential Financial ranks better than 65.09% 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 -2.62 no higher than -1.78, which implies that the company is unlikely to be a manipulator.

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

MEX:PRU' s Beneish M-Score Range Over the Past 10 Years
Min: -3.28   Med: -2.46   Max: 30.34
Current: -2.62

During the past 13 years, the highest Beneish M-Score of Prudential Financial was 30.34. The lowest was -3.28. And the median was -2.46.

MEX:PRU
60GF Score
Prudential Financial Inc MEX:PRU
Beneish M-Score is just one metric. See GF Score™, valuation, warning signs, and more.
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Prudential Financial 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 Prudential Financial 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 * 0.9785+0.528 * 1+0.404 * 1+0.892 * 0.9315+0.115 * 1
-0.172 * SGAI+4.679 * TATA-0.327 * LVGI
-0.172 * 1.0166+4.679 * -0.016008-0.327 * 1.1381
=-2.68

* 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 (Jun26) TTM:Last Year (Jun25) TTM:
Total Receivables was MXN772,205 Mil.
Revenue was 234322.621 + 258192.199 + 282257.353 + 329278.39 = MXN1,104,051 Mil.
Gross Profit was 234322.621 + 258192.199 + 282257.353 + 329278.39 = MXN1,104,051 Mil.
Total Current Assets was MXN0 Mil.
Total Assets was MXN13,672,234 Mil.
Property, Plant and Equipment(Net PPE) was MXN0 Mil.
Depreciation, Depletion and Amortization(DDA) was MXN-2,865 Mil.
Selling, General, & Admin. Expense(SGA) was MXN243,485 Mil.
Total Current Liabilities was MXN0 Mil.
Long-Term Debt & Capital Lease Obligation was MXN413,192 Mil.
Net Income was 17187.265 + 10765.522 + 16295.159 + 26250.55 = MXN70,498 Mil.
Non Operating Income was 41336.681 + 540.981 + 18257.78 + 31552.024 = MXN91,687 Mil.
Cash Flow from Operations was 40935.354 + 18176.962 + 59760.918 + 78806.683 = MXN197,680 Mil.
 Total Receivables was MXN847,145 Mil.
Revenue was 259918.277 + 276942.654 + 263511.769 + 384807.533 = MXN1,185,180 Mil.
Gross Profit was 259918.277 + 276942.654 + 263511.769 + 384807.533 = MXN1,185,180 Mil.
Total Current Assets was MXN0 Mil.
Total Assets was MXN14,290,459 Mil.
Property, Plant and Equipment(Net PPE) was MXN0 Mil.
Depreciation, Depletion and Amortization(DDA) was MXN6,080 Mil.
Selling, General, & Admin. Expense(SGA) was MXN257,101 Mil.
Total Current Liabilities was MXN0 Mil.
Long-Term Debt & Capital Lease Obligation was MXN379,484 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)
=(772205.495 / 1104050.563) / (847144.537 / 1185180.233)
=0.699429 / 0.714781
=0.9785

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)
=(1185180.233 / 1185180.233) / (1104050.563 / 1104050.563)
=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 + 0) / 13672233.744) / (1 - (0 + 0) / 14290459.002)
=1 / 1
=1

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
=1104050.563 / 1185180.233
=0.9315

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))
=(6079.954 / (6079.954 + 0)) / (-2864.558 / (-2864.558 + 0))
=1 / 1
=1

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)
=(243484.505 / 1104050.563) / (257101.12 / 1185180.233)
=0.220537 / 0.21693
=1.0166

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)
=((413192.32 + 0) / 13672233.744) / ((379483.697 + 0) / 14290459.002)
=0.030221 / 0.026555
=1.1381

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
=(70498.496 - 91687.466 - 197679.917) / 13672233.744
=-0.016008

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.

Prudential Financial has a M-score of -2.68 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 -2.62 mean?
Prudential Financial (MEX:PRU) has a Beneish M-Score of -2.62 as of Aug. 10, 2026. The Beneish M-score measures the likelihood of earnings manipulation. View historical data on Prudential Financial and its competitors. According to the industry distribution chart, Prudential Financial ranks #140 out of 401 companies in the Insurance industry, placing it in the top 34.9%.
Is Prudential Financial's Beneish M-Score too high?
Prudential Financial's current Beneish M-Score is -2.62. Based on the distribution chart, Prudential Financial ranks #140 out of 401 companies in the Insurance industry, which is above the industry midpoint. Overall, Prudential Financial has a GF Score™ of 60/100 and is considered Modestly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Prudential Financial's Beneish M-Score compare to MET and AFL?
According to the Insurance industry distribution chart, Prudential Financial ranks #140 out of 401 companies for Beneish M-Score. This puts Prudential Financial 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 an Insurance company?
A good Beneish M-Score depends on the Insurance 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 Prudential Financial and its competitors. Prudential Financial's current Beneish M-Score is -2.62. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Prudential Financial stock overvalued right now?
Based on GuruFocus' analysis, Prudential Financial (MEX:PRU) is currently considered Modestly Overvalued. The stock's GF Value™ is MXN1,891.05, compared to a current price of MXN2,110.00 — trading 11.6% above its estimated fair value. The current Beneish M-Score is -2.62. Prudential Financial's overall GF Score™ is 60/100 with 7 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 Prudential Financial (MEX:PRU), the current Beneish M-Score is -2.62 as of Aug. 10, 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 Prudential Financial (MEX:PRU) Overvalued in 2026?

Based on GuruFocus' analysis, Prudential Financial stock appears to be overvalued. The current stock price of MXN2,110.00 is trading 11.6% above its estimated GF Value™ of MXN1,891.05. GuruFocus considers Prudential Financial to be Modestly Overvalued.

Key valuation signals for MEX:PRU:

  • Beneish M-Score: -2.62
  • GF Value™: MXN1,891.05 vs. price of MXN2,110.00 (11.6% above fair value)
  • GF Score™: 60/100 with 7 warning signs

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

Prudential Financial Business Description

Address 751 Broad Street, Newark, NJ, USA, 07102
Prudential Financial is one of the largest US life insurers, offering annuities, life insurance, and asset-management products. The United States and Japan are its two largest markets. Its US business contributed about 50% of adjusted 2025 earnings and includes institutional retirement (mostly pension risk transfer), individual retirement (annuities), group insurance, and individual life insurance. Its international business represented about 39% of adjusted earnings, with a strong market position in Japan, and the firm also has a presence in emerging markets like Brazil. The company's investment management business, PGIM, contributed approximately 11% of its 2025 adjusted earnings. PGIM had around $1.47 trillion in assets under management at the end of fourth-quarter 2025.
60GF Score

Get the complete analysis for MEX:PRU

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

MXN2,110.00
Price
MXN1,891.05
GF Value