NBS Bank (MSW:NBS) Beneish M-Score: -1.88 (As of Jun. 25, 2026)


MSW:NBS NBS Bank PLC MSW:NBS
79 GF Score
Price MWK741.08
GF Value MWK437.65
Valuation Significantly Overvalued
! 1 Warning Sign
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What is NBS Bank Beneish M-Score?

NBS Bank MSW:NBS -0.02% 79 Beneish M-Score is -1.88 as of Jun. 25, 2026. GuruFocus rates MSW:NBS with a GF Score™ of 79/100 and a GF Value™ of MWK437.65 (Significantly Overvalued). The stock has 1 warning sign investors should review. Among 1,396 Banks companies, NBS Bank ranks worse than 92.91% 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 -1.88 no higher than -1.78, which implies that the company is unlikely to be a manipulator.

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

MSW:NBS' s Beneish M-Score Range Over the Past 10 Years
Min: -123.39   Med: -2.08   Max: -1.78
Current: -1.88

During the past 10 years, the highest Beneish M-Score of NBS Bank was -1.78. The lowest was -123.39. And the median was -2.08.

MSW:NBS
79GF Score
NBS Bank PLC MSW:NBS
Beneish M-Score is just one metric. See GF Score™, valuation, warning signs, and more.
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NBS Bank 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 NBS Bank 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 * 1.0029+0.892 * 2.0054+0.115 * 0.8623
-0.172 * SGAI+4.679 * TATA-0.327 * LVGI
-0.172 * 0.8106+4.679 * 0.013961-0.327 * 2.1748
=-1.88

* 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 (Dec24) TTM:Last Year (Dec23) TTM:
Total Receivables was MWK0 Mil.
Revenue was MWK203,783 Mil.
Gross Profit was MWK203,783 Mil.
Total Current Assets was MWK0 Mil.
Total Assets was MWK1,192,844 Mil.
Property, Plant and Equipment(Net PPE) was MWK27,086 Mil.
Depreciation, Depletion and Amortization(DDA) was MWK6,133 Mil.
Selling, General, & Admin. Expense(SGA) was MWK5,969 Mil.
Total Current Liabilities was MWK0 Mil.
Long-Term Debt & Capital Lease Obligation was MWK157,271 Mil.
Net Income was MWK72,991 Mil.
Gross Profit was MWK0 Mil.
Cash Flow from Operations was MWK56,338 Mil.
 Total Receivables was MWK0 Mil.
Revenue was MWK101,617 Mil.
Gross Profit was MWK101,617 Mil.
Total Current Assets was MWK0 Mil.
Total Assets was MWK657,716 Mil.
Property, Plant and Equipment(Net PPE) was MWK16,821 Mil.
Depreciation, Depletion and Amortization(DDA) was MWK3,185 Mil.
Selling, General, & Admin. Expense(SGA) was MWK3,672 Mil.
Total Current Liabilities was MWK0 Mil.
Long-Term Debt & Capital Lease Obligation was MWK39,873 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 / 203782.819) / (0 / 101617.215)
=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)
=(101617.215 / 101617.215) / (203782.819 / 203782.819)
=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 + 27086.238) / 1192844.286) / (1 - (0 + 16820.88) / 657716.406)
=0.977293 / 0.974425
=1.0029

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
=203782.819 / 101617.215
=2.0054

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))
=(3184.872 / (3184.872 + 16820.88)) / (6132.81 / (6132.81 + 27086.238))
=0.159198 / 0.184617
=0.8623

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)
=(5969.458 / 203782.819) / (3672.033 / 101617.215)
=0.029293 / 0.036136
=0.8106

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)
=((157270.7 + 0) / 1192844.286) / ((39872.803 + 0) / 657716.406)
=0.131845 / 0.060623
=2.1748

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
=(72990.95 - 0 - 56338.129) / 1192844.286
=0.013961

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.

NBS Bank has a M-score of -1.88 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 -1.88 mean?
NBS Bank (MSW:NBS) has a Beneish M-Score of -1.88 as of Jun. 25, 2026. The Beneish M-score measures the likelihood of earnings manipulation. View historical data on NBS Bank and its competitors. According to the industry distribution chart, NBS Bank ranks #1297 out of 1396 companies in the Banks industry, placing it in the top 92.9%.
Is NBS Bank's Beneish M-Score too high?
NBS Bank's current Beneish M-Score is -1.88. Based on the distribution chart, NBS Bank ranks #1297 out of 1396 companies in the Banks industry, which is in the bottom quartile relative to peers. Overall, NBS Bank has a GF Score™ of 79/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does NBS Bank's Beneish M-Score compare to PNC and USB?
According to the Banks industry distribution chart, NBS Bank ranks #1297 out of 1396 companies for Beneish M-Score. This places NBS Bank 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 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 NBS Bank and its competitors. NBS Bank's current Beneish M-Score is -1.88. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is NBS Bank stock overvalued right now?
Based on GuruFocus' analysis, NBS Bank (MSW:NBS) is currently considered Significantly Overvalued. The stock's GF Value™ is MWK437.65, compared to a current price of MWK741.08 — trading 69.3% above its estimated fair value. The current Beneish M-Score is -1.88. NBS Bank's overall GF Score™ is 79/100 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 NBS Bank (MSW:NBS), the current Beneish M-Score is -1.88 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 NBS Bank (MSW:NBS) Overvalued in 2026?

Based on GuruFocus' analysis, NBS Bank stock appears to be overvalued. The current stock price of MWK741.08 is trading 69.3% above its estimated GF Value™ of MWK437.65. GuruFocus considers NBS Bank to be Significantly Overvalued.

Key valuation signals for MSW:NBS:

  • Beneish M-Score: -1.88
  • GF Value™: MWK437.65 vs. price of MWK741.08 (69.3% above fair value)
  • GF Score™: 79/100 with 1 warning sign

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

NBS Bank Business Description

Address Corner Chipembere Highway & Johnstone Roads, NBS House, PO Box 32251, Chichiri, Ginnery Corner, Blantyre 3, Blantyre, MWI
NBS Bank PLC is predominantly involved in commercial banking, covering corporate and retail banking and treasury management. Services offered by the bank include current account, saving account, investment, loans, international trades, and internet banking. The company segments are divided into geographical areas including Northern region, Central region and the Southern region. Its branches are spread across Malawi.
79GF Score

Get the complete analysis for MSW:NBS

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

MWK741.08
Price
MWK437.65
GF Value