National Bank Of Malawi (MSW:NBM) Beneish M-Score: -2.87 (As of Jun. 29, 2026)


MSW:NBM National Bank Of Malawi PLC MSW:NBM
100 GF Score
Price MWK9,998.89
GF Value MWK7,675.67
Valuation Modestly Overvalued
! 1 Warning Sign
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What is National Bank Of Malawi Beneish M-Score?

National Bank Of Malawi MSW:NBM -0.01% 100 Beneish M-Score is -2.87 as of Jun. 29, 2026. GuruFocus rates MSW:NBM with a GF Score™ of 100/100 and a GF Value™ of MWK7,675.67 (Modestly Overvalued). The stock has 1 warning sign investors should review. Among 1,399 Banks companies, National Bank Of Malawi ranks better than 90.99% 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 -2.87 no higher than -1.78, which implies that the company is unlikely to be a manipulator.

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

MSW:NBM' s Beneish M-Score Range Over the Past 10 Years
Min: -3.79   Med: -2.87   Max: -2.24
Current: -2.87

During the past 11 years, the highest Beneish M-Score of National Bank Of Malawi was -2.24. The lowest was -3.79. And the median was -2.87.

MSW:NBM
100GF Score
National Bank Of Malawi PLC MSW:NBM
Beneish M-Score is just one metric. See GF Score™, valuation, warning signs, and more.
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National Bank Of Malawi 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 National Bank Of Malawi 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+0.528 * 1+0.404 * 1.0096+0.892 * 1.6185+0.115 * 0.9444
-0.172 * SGAI+4.679 * TATA-0.327 * LVGI
-0.172 * 0+4.679 * -0.257669-0.327 * 0.7015
=-2.87

* 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 MWK0 Mil.
Revenue was MWK508,611 Mil.
Gross Profit was MWK508,611 Mil.
Total Current Assets was MWK0 Mil.
Total Assets was MWK2,494,799 Mil.
Property, Plant and Equipment(Net PPE) was MWK85,606 Mil.
Depreciation, Depletion and Amortization(DDA) was MWK12,418 Mil.
Selling, General, & Admin. Expense(SGA) was MWK0 Mil.
Total Current Liabilities was MWK0 Mil.
Long-Term Debt & Capital Lease Obligation was MWK20,794 Mil.
Net Income was MWK194,556 Mil.
Gross Profit was MWK0 Mil.
Cash Flow from Operations was MWK837,389 Mil.
 Total Receivables was MWK0 Mil.
Revenue was MWK314,247 Mil.
Gross Profit was MWK314,247 Mil.
Total Current Assets was MWK0 Mil.
Total Assets was MWK1,730,205 Mil.
Property, Plant and Equipment(Net PPE) was MWK75,258 Mil.
Depreciation, Depletion and Amortization(DDA) was MWK10,227 Mil.
Selling, General, & Admin. Expense(SGA) was MWK6,261 Mil.
Total Current Liabilities was MWK0 Mil.
Long-Term Debt & Capital Lease Obligation was MWK20,558 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 / 508611) / (0 / 314247)
=0 / 0
=1

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)
=(314247 / 314247) / (508611 / 508611)
=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 + 85606) / 2494799) / (1 - (0 + 75258) / 1730205)
=0.965686 / 0.956503
=1.0096

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
=508611 / 314247
=1.6185

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))
=(10227 / (10227 + 75258)) / (12418 / (12418 + 85606))
=0.119635 / 0.126683
=0.9444

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 / 508611) / (6261 / 314247)
=0 / 0.019924
=0

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)
=((20794 + 0) / 2494799) / ((20558 + 0) / 1730205)
=0.008335 / 0.011882
=0.7015

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
=(194556 - 0 - 837389) / 2494799
=-0.257669

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.

National Bank Of Malawi has a M-score of -2.87 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 -2.87 mean?
National Bank Of Malawi (MSW:NBM) has a Beneish M-Score of -2.87 as of Jun. 29, 2026. The Beneish M-score measures the likelihood of earnings manipulation. View historical data on National Bank Of Malawi and its competitors. According to the industry distribution chart, National Bank Of Malawi ranks #126 out of 1399 companies in the Banks industry, placing it in the top 9%.
Is National Bank Of Malawi's Beneish M-Score too high?
National Bank Of Malawi's current Beneish M-Score is -2.87. Based on the distribution chart, National Bank Of Malawi ranks #126 out of 1399 companies in the Banks industry, which is in the top quartile — a strong position relative to peers. Overall, National Bank Of Malawi has a GF Score™ of 100/100 and is considered Modestly Overvalued, reflecting its overall financial health beyond just this single metric.
How does National Bank Of Malawi's Beneish M-Score compare to PNC and USB?
According to the Banks industry distribution chart, National Bank Of Malawi ranks #126 out of 1399 companies for Beneish M-Score. This places National Bank Of Malawi in the top 9% 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 National Bank Of Malawi and its competitors. National Bank Of Malawi's current Beneish M-Score is -2.87. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is National Bank Of Malawi stock overvalued right now?
Based on GuruFocus' analysis, National Bank Of Malawi (MSW:NBM) is currently considered Modestly Overvalued. The stock's GF Value™ is MWK7,675.67, compared to a current price of MWK9,998.89 — trading 30.3% above its estimated fair value. The current Beneish M-Score is -2.87. National Bank Of Malawi's overall GF Score™ is 100/100 with 1 warning sign 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 National Bank Of Malawi (MSW:NBM), the current Beneish M-Score is -2.87 as of Jun. 29, 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 National Bank Of Malawi (MSW:NBM) Overvalued in 2026?

Based on GuruFocus' analysis, National Bank Of Malawi stock appears to be overvalued. The current stock price of MWK9,998.89 is trading 30.3% above its estimated GF Value™ of MWK7,675.67. GuruFocus considers National Bank Of Malawi to be Modestly Overvalued.

Key valuation signals for MSW:NBM:

  • Beneish M-Score: -2.87
  • GF Value™: MWK7,675.67 vs. price of MWK9,998.89 (30.3% above fair value)
  • GF Score™: 100/100 with 1 warning sign

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

National Bank Of Malawi Business Description

Address 7 Henderson Street, NBM Tower, P.O Box 945, Blantyre, MWI
National Bank Of Malawi PLC provides personal, corporate, and investment banking as well as stockbroking, insurance, and pension administration services in Malawi. Its business operations are divided into three segments including Retail and corporate banking that incorporates savings, deposits, investment savings products, consumer loans, current accounts, overdrafts, loans, and other credit facilities, trade finance, and corporate leasing; Treasury segment offers financial instruments trading, dealings in foreign currency, stock broking and derivative products; and Other operations comprising fund management, custodial services and providing training services. Revenue from Retail and corporate banking is one of the majority sources of income for the Bank.
100GF Score

Get the complete analysis for MSW:NBM

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

MWK9,998.89
Price
MWK7,675.67
GF Value