Rocket (MEX:RKT) Beneish M-Score: -3.05 (As of Jul. 10, 2026)


MEX:RKT Rocket Companies Inc MEX:RKT
62 GF Score
Price MXN243.27
GF Value MXN242.77
Valuation Fairly Valued
! 3 Warning Signs
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What is Rocket Beneish M-Score?

Rocket MEX:RKT 62 Beneish M-Score is -3.05 as of Jul. 10, 2026. GuruFocus rates MEX:RKT with a GF Score™ of 62/100 and a GF Value™ of MXN242.77 (Fairly Valued). The stock has 3 warning signs investors should review. Among 1,395 Banks companies, Rocket ranks better than 94.34% 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 -3.05 no higher than -1.78, which implies that the company is unlikely to be a manipulator.

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

MEX:RKT' s Beneish M-Score Range Over the Past 10 Years
Min: -6.77   Med: -2.31   Max: 13.56
Current: -3.05

During the past 9 years, the highest Beneish M-Score of Rocket was 13.56. The lowest was -6.77. And the median was -2.31.

MEX:RKT
62GF Score
Rocket Companies Inc MEX:RKT
Beneish M-Score is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

Rocket 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 Rocket 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+0.528 * 1+0.404 * 1.0146+0.892 * 1.568+0.115 * 0.3108
-0.172 * SGAI+4.679 * TATA-0.327 * LVGI
-0.172 * 0.8891+4.679 * 0.026781-0.327 * 2.0856
=-3.18

* 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 MXN0 Mil.
Revenue was 46740.758 + 44787.396 + 26930.918 + 24525.654 = MXN142,985 Mil.
Gross Profit was 46740.758 + 44787.396 + 26930.918 + 24525.654 = MXN142,985 Mil.
Total Current Assets was MXN0 Mil.
Total Assets was MXN1,071,846 Mil.
Property, Plant and Equipment(Net PPE) was MXN4,923 Mil.
Depreciation, Depletion and Amortization(DDA) was MXN7,417 Mil.
Selling, General, & Admin. Expense(SGA) was MXN114,567 Mil.
Total Current Liabilities was MXN0 Mil.
Long-Term Debt & Capital Lease Obligation was MXN474,476 Mil.
Net Income was 5355.712 + 1224.784 + -2272.003 + -33.61 = MXN4,275 Mil.
Non Operating Income was 0 + 0 + 0 + 0 = MXN0 Mil.
Cash Flow from Operations was 33486.724 + -22139.809 + -922.163 + -34855.297 = MXN-24,431 Mil.
 Total Receivables was MXN303 Mil.
Revenue was 20294.534 + 35787.61 + 11978.161 + 23126.529 = MXN91,187 Mil.
Gross Profit was 20294.534 + 35787.61 + 11978.161 + 23126.529 = MXN91,187 Mil.
Total Current Assets was MXN0 Mil.
Total Assets was MXN516,587 Mil.
Property, Plant and Equipment(Net PPE) was MXN9,757 Mil.
Depreciation, Depletion and Amortization(DDA) was MXN2,241 Mil.
Selling, General, & Admin. Expense(SGA) was MXN82,178 Mil.
Total Current Liabilities was MXN0 Mil.
Long-Term Debt & Capital Lease Obligation was MXN109,649 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 / 142984.726) / (302.843 / 91186.834)
=0 / 0.003321
=0

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)
=(91186.834 / 91186.834) / (142984.726 / 142984.726)
=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 + 4922.927) / 1071845.656) / (1 - (0 + 9756.597) / 516587.492)
=0.995407 / 0.981113
=1.0146

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
=142984.726 / 91186.834
=1.568

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))
=(2241.248 / (2241.248 + 9756.597)) / (7417.385 / (7417.385 + 4922.927))
=0.186804 / 0.601069
=0.3108

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)
=(114567.475 / 142984.726) / (82178.213 / 91186.834)
=0.801257 / 0.901207
=0.8891

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)
=((474476.403 + 0) / 1071845.656) / ((109649.037 + 0) / 516587.492)
=0.442672 / 0.212256
=2.0856

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
=(4274.883 - 0 - -24430.545) / 1071845.656
=0.026781

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.

Rocket has a M-score of -3.18 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 -3.05 mean?
Rocket (MEX:RKT) has a Beneish M-Score of -3.05 as of Jul. 10, 2026. The Beneish M-score measures the likelihood of earnings manipulation. View historical data on Rocket and its competitors. According to the industry distribution chart, Rocket ranks #79 out of 1395 companies in the Banks industry, placing it in the top 5.7%.
Is Rocket's Beneish M-Score too high?
Rocket's current Beneish M-Score is -3.05. Based on the distribution chart, Rocket ranks #79 out of 1395 companies in the Banks industry, which is in the top quartile — a strong position relative to peers. Overall, Rocket has a GF Score™ of 62/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does Rocket's Beneish M-Score compare to FNMA and PFSI?
According to the Banks industry distribution chart, Rocket ranks #79 out of 1395 companies for Beneish M-Score. This places Rocket in the top 6% of its industry — outperforming the majority of peers. 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 Rocket and its competitors. Rocket's current Beneish M-Score is -3.05. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Rocket stock overvalued right now?
Based on GuruFocus' analysis, Rocket (MEX:RKT) is currently considered Fairly Valued. The stock's GF Value™ is MXN242.77, compared to a current price of MXN243.27 — trading 0.2% above its estimated fair value. The current Beneish M-Score is -3.05. Rocket's overall GF Score™ is 62/100 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 Rocket (MEX:RKT), the current Beneish M-Score is -3.05 as of Jul. 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 Rocket (MEX:RKT) Overvalued in 2026?

Based on GuruFocus' analysis, Rocket stock appears to be overvalued. The current stock price of MXN243.27 is trading 0.2% above its estimated GF Value™ of MXN242.77. GuruFocus considers Rocket to be Fairly Valued.

Key valuation signals for MEX:RKT:

  • Beneish M-Score: -3.05
  • GF Value™: MXN242.77 vs. price of MXN243.27 (0.2% above fair value)
  • GF Score™: 62/100 with 3 warning signs

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

Rocket Business Description

Other Exchanges RKT:USA
Address 1050 Woodward Avenue, Detroit, MI, USA, 48226
Rocket Companies is a financial services company that was originally founded as Rock Financial in 1985 and is currently based in Detroit. Rocket Companies offers a wide array of services and products but is best known for its Rocket Mortgage business. The company's mortgage lending operations are split between its direct-to-consumer lending, which sees borrowers accessing the company's lending arm directly through either its mobile app or website, and its partner network where mortgage brokers and other firms use Rocket's origination process to offer loans to their customers. The company has rapidly gained market share in recent years and will also be the largest mortgage servicer in the US following its acquisition of the Mr. Cooper Group.
62GF Score

Get the complete analysis for MEX:RKT

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

MXN243.27
Price
MXN242.77
GF Value