MLSPF (Melrose Industries) Beneish M-Score: -2.43 (As of Jun. 25, 2026)

What is Melrose Industries Beneish M-Score?

Melrose Industries MLSPF -3.02% 69 Beneish M-Score is -2.43 as of Jun. 25, 2026. GuruFocus rates MLSPF with a GF Score™ of 69/100 and a GF Value™ of $8.74 (Modestly Undervalued). The stock has 6 warning signs investors should review. Among 2,926 Industrial Products companies, Melrose Industries ranks worse than 52.56% on this metric.

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 -2.43 no higher than -1.78, which implies that the company is unlikely to be a manipulator.

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

MLSPF' s Beneish M-Score Range Over the Past 10 Years
Min: -3.54 Med: -2.44 Max: 1.06
Current: -2.43

During the past 13 years, the highest Beneish M-Score of Melrose Industries was 1.06. The lowest was -3.54. And the median was -2.44.

Melrose Industries Beneish M-Score Related Terms

Melrose Industries Beneish M-Score Historical Data

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The historical data trend for Melrose Industries'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.

Melrose Industries Beneish M-Score Chart

Melrose Industries Annual Data

Trend

Dec16

Dec17

Dec18

Dec19

Dec20

Dec21

Dec22

Dec23

Dec24

Dec25

Beneish M-Score

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-2.66

-1.45

-3.54

-2.49

-2.43

Melrose Industries Semi-Annual Data
	Jun16	Dec16	Jun17	Dec17	Jun18	Dec18	Jun19	Dec19	Jun20	Dec20	Jun21	Dec21	Jun22	Dec22	Jun23	Dec23	Jun24	Dec24	Jun25	Dec25
Beneish M-Score	Get a 7-Day Free Trial															-3.54	0.00	-2.49	0.00	-2.43

MLSPF vs GEV, ETN, PH: Beneish M-Score Comparison

For the Specialty Industrial Machinery subindustry, Melrose Industries'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.

Melrose Industries Beneish M-Score vs Industrial Products Industry

For the Industrial Products industry and Industrials sector, Melrose Industries's Beneish M-Score distribution charts can be found below:

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

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69GF Score

Melrose Industries PLC MLSPF

Beneish M-Score is just one metric. See GF Score™, valuation, warning signs, and more.

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Melrose Industries 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 Melrose Industries for today is based on a combination of the following eight different indices:

-4.84

0.92 * DSRI

0.528 * GMI

0.404 * AQI

0.892 * SGI

0.115 * DEPI

-4.84

0.92 * 0.9906

0.528 * 0.8917

0.404 * 0.9766

0.892 * 1.0958

0.115 * 1.048

0.172 * SGAI

4.679 * TATA

0.327 * LVGI

0.172 * 1

4.679 * 0.020537

0.327 * 1.0352

-2.38

This Year (Dec25) TTM:

Last Year (Dec24) TTM:

Total Receivables was $1,257 Mil.
Revenue was $4,805 Mil.
Gross Profit was $1,277 Mil.
Total Current Assets was $2,288 Mil.
Total Assets was $10,169 Mil.
Property, Plant and Equipment(Net PPE) was $1,157 Mil.
Depreciation, Depletion and Amortization(DDA) was $522 Mil.
Selling, General, & Admin. Expense(SGA) was $0 Mil.
Total Current Liabilities was $2,325 Mil.
Long-Term Debt & Capital Lease Obligation was $2,426 Mil.
Net Income was $495 Mil.
Gross Profit was $0 Mil.
Cash Flow from Operations was $286 Mil.

Total Receivables was $1,158 Mil.
Revenue was $4,384 Mil.
Gross Profit was $1,039 Mil.
Total Current Assets was $1,997 Mil.
Total Assets was $9,401 Mil.
Property, Plant and Equipment(Net PPE) was $1,038 Mil.
Depreciation, Depletion and Amortization(DDA) was $502 Mil.
Selling, General, & Admin. Expense(SGA) was $0 Mil.
Total Current Liabilities was $2,214 Mil.
Long-Term Debt & Capital Lease Obligation was $2,029 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)
	=	(1257.028 / 4804.552)	/	(1158.028 / 4384.324)
	=	0.261633	/	0.264129
	=	0.9906

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)
	=	(1039.191 / 4384.324)	/	(1277.108 / 4804.552)
	=	0.237024	/	0.265812
	=	0.8917

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 - (2287.818 + 1156.627) / 10168.675)	/	(1 - (1997.472 + 1037.927) / 9400.759)
	=	0.661269	/	0.677111
	=	0.9766

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
	=	4804.552	/	4384.324
	=	1.0958

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))
	=	(501.896 / (501.896 + 1037.927))	/	(522.088 / (522.088 + 1156.627))
	=	0.325944	/	0.311005
	=	1.048

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 / 4804.552)	/	(0 / 4384.324)
	=	0	/	0
	=	1

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)
	=	((2425.703 + 2325.301) / 10168.675)	/	((2029.077 + 2213.654) / 9400.759)
	=	0.46722	/	0.451318
	=	1.0352

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
	=	(495.315 - 0	-	286.479)	/	10168.675
	=	0.020537

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.

Melrose Industries has a M-score of -2.38 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 -2.43 mean?

Melrose Industries (MLSPF) has a Beneish M-Score of -2.43 as of Jun. 25, 2026. The Beneish M-score measures the likelihood of earnings manipulation. View historical data on Melrose Industries and its competitors. According to the industry distribution chart, Melrose Industries ranks #1538 out of 2926 companies in the Industrial Products industry, placing it in the top 52.6%.

Is Melrose Industries' Beneish M-Score too high?

Melrose Industries' current Beneish M-Score is -2.43. Based on the distribution chart, Melrose Industries ranks #1538 out of 2926 companies in the Industrial Products industry, which is below the industry midpoint. Overall, Melrose Industries has a GF Score™ of 69/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.

How does Melrose Industries' Beneish M-Score compare to GEV and ETN?

According to the Industrial Products industry distribution chart, Melrose Industries ranks #1538 out of 2926 companies for Beneish M-Score. This places Melrose Industries 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 Industrial Products company?

A good Beneish M-Score depends on the Industrial Products 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 Melrose Industries and its competitors. Melrose Industries's current Beneish M-Score is -2.43. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.

Is Melrose Industries stock overvalued right now?

Based on GuruFocus' analysis, Melrose Industries (MLSPF) is currently considered Modestly Undervalued. The stock's GF Value™ is $8.74, compared to a current price of $6.18 — trading 29.3% below its estimated fair value. The current Beneish M-Score is -2.43. Melrose Industries' overall GF Score™ is 69/100 with 6 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 Melrose Industries (MLSPF), the current Beneish M-Score is -2.43 as of Jun. 25, 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 Melrose Industries (MLSPF) Overvalued in 2026?

Based on GuruFocus' analysis, Melrose Industries stock appears to be undervalued. The current stock price of $6.18 is trading 29.3% below its estimated GF Value™ of $8.74. GuruFocus considers Melrose Industries to be Modestly Undervalued.

Key valuation signals for MLSPF:

Beneish M-Score: -2.43
GF Value™: $8.74 vs. price of $6.18 (29.3% below fair value)
GF Score™: 69/100 with 6 warning signs

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

Melrose Industries Business Description

Industry Industrials Industrial Products

Comparable Companies LSE:WEIR LSE:SPX LSE:IMI LSE:SMIN LSE:ROR LSE:BOY LSE:ITM LSE:GDWN LSE:MGAM LSE:AVG GEV XTER:SIE XPAR:SU XTER:ENR ETN PH OSTO:ATCO A CMI EMR TSE:7011

Other Exchanges MROl:UK MRO:UK 27M:Germany

Address 5 Stratton Street, Stratton House, 1st Floor, London, GBR, W1J 8LA

Website https://www.melroseplc.net

Melrose Industries is a UK-based company that manufactures engines and structures products for all major OEMs across civil and defense markets. The company employs 13,032 people and generates approximately 75% of its revenue from the civil market, manufacturing engines and structures for major OEMs in both civil and defense sectors.In the civil market, the company operates in 90% of existing fleets in service and is a demonstrator partner in the GTF and CFM RISE next-generation engines for narrow-body aircraft.

69GF Score

Get the complete analysis for MLSPF

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

$6.18

Price

$8.74

GF Value

View MLSPF Analysis

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