Standard Bank Malawi (MSW:STANDARD) Beneish M-Score: -2.26 (As of Jun. 27, 2026)


MSW:STANDARD Standard Bank Malawi PLC MSW:STANDARD
84 GF Score
Price MWK3,999.45
GF Value MWK1,918.44
Valuation Significantly Overvalued
View Full Analysis

What is Standard Bank Malawi Beneish M-Score?

Standard Bank Malawi MSW:STANDARD 84 Beneish M-Score is -2.26 as of Jun. 27, 2026. GuruFocus rates MSW:STANDARD with a GF Score™ of 84/100 and a GF Value™ of MWK1,918.44 (Significantly Overvalued). Among 1,397 Banks companies, Standard Bank Malawi ranks worse than 73.23% 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 -2.26 no higher than -1.78, which implies that the company is unlikely to be a manipulator.

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

MSW:STANDARD' s Beneish M-Score Range Over the Past 10 Years
Min: -2.85   Med: -2.19   Max: -1.92
Current: -2.26

During the past 8 years, the highest Beneish M-Score of Standard Bank Malawi was -1.92. The lowest was -2.85. And the median was -2.19.

MSW:STANDARD
84GF Score
Standard Bank Malawi PLC MSW:STANDARD
Beneish M-Score is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

Standard Bank 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 Standard Bank 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 * 1.0058+0.892 * 1.4032+0.115 * 1.0213
-0.172 * SGAI+4.679 * TATA-0.327 * LVGI
-0.172 * 0.8878+4.679 * -0.020394-0.327 * 1.1978
=-2.26

* 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 MWK339,537 Mil.
Gross Profit was MWK339,537 Mil.
Total Current Assets was MWK0 Mil.
Total Assets was MWK1,937,253 Mil.
Property, Plant and Equipment(Net PPE) was MWK41,557 Mil.
Depreciation, Depletion and Amortization(DDA) was MWK6,832 Mil.
Selling, General, & Admin. Expense(SGA) was MWK6,636 Mil.
Total Current Liabilities was MWK0 Mil.
Long-Term Debt & Capital Lease Obligation was MWK1,666 Mil.
Net Income was MWK121,698 Mil.
Gross Profit was MWK0 Mil.
Cash Flow from Operations was MWK161,207 Mil.
 Total Receivables was MWK0 Mil.
Revenue was MWK241,977 Mil.
Gross Profit was MWK241,977 Mil.
Total Current Assets was MWK0 Mil.
Total Assets was MWK1,332,645 Mil.
Property, Plant and Equipment(Net PPE) was MWK36,103 Mil.
Depreciation, Depletion and Amortization(DDA) was MWK6,083 Mil.
Selling, General, & Admin. Expense(SGA) was MWK5,327 Mil.
Total Current Liabilities was MWK0 Mil.
Long-Term Debt & Capital Lease Obligation was MWK957 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 / 339537) / (0 / 241977)
=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)
=(241977 / 241977) / (339537 / 339537)
=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 + 41557) / 1937253) / (1 - (0 + 36103) / 1332645)
=0.978548 / 0.972909
=1.0058

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
=339537 / 241977
=1.4032

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))
=(6083 / (6083 + 36103)) / (6832 / (6832 + 41557))
=0.144195 / 0.141189
=1.0213

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)
=(6636 / 339537) / (5327 / 241977)
=0.019544 / 0.022014
=0.8878

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)
=((1666 + 0) / 1937253) / ((957 + 0) / 1332645)
=0.00086 / 0.000718
=1.1978

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
=(121698 - 0 - 161207) / 1937253
=-0.020394

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.

Standard Bank Malawi has a M-score of -2.26 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 -2.26 mean?
Standard Bank Malawi (MSW:STANDARD) has a Beneish M-Score of -2.26 as of Jun. 27, 2026. The Beneish M-score measures the likelihood of earnings manipulation. View historical data on Standard Bank Malawi and its competitors. According to the industry distribution chart, Standard Bank Malawi ranks #1023 out of 1397 companies in the Banks industry, placing it in the top 73.2%.
Is Standard Bank Malawi's Beneish M-Score too high?
Standard Bank Malawi's current Beneish M-Score is -2.26. Based on the distribution chart, Standard Bank Malawi ranks #1023 out of 1397 companies in the Banks industry, which is below the industry midpoint. Overall, Standard Bank Malawi has a GF Score™ of 84/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Standard Bank Malawi's Beneish M-Score compare to PNC and USB?
According to the Banks industry distribution chart, Standard Bank Malawi ranks #1023 out of 1397 companies for Beneish M-Score. This places Standard Bank Malawi 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 Standard Bank Malawi and its competitors. Standard Bank Malawi's current Beneish M-Score is -2.26. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Standard Bank Malawi stock overvalued right now?
Based on GuruFocus' analysis, Standard Bank Malawi (MSW:STANDARD) is currently considered Significantly Overvalued. The stock's GF Value™ is MWK1,918.44, compared to a current price of MWK3,999.45 — trading 108.5% above its estimated fair value. The current Beneish M-Score is -2.26. Standard Bank Malawi's overall GF Score™ is 84/100. 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 Standard Bank Malawi (MSW:STANDARD), the current Beneish M-Score is -2.26 as of Jun. 27, 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 Standard Bank Malawi (MSW:STANDARD) Overvalued in 2026?

Based on GuruFocus' analysis, Standard Bank Malawi stock appears to be overvalued. The current stock price of MWK3,999.45 is trading 108.5% above its estimated GF Value™ of MWK1,918.44. GuruFocus considers Standard Bank Malawi to be Significantly Overvalued.

Key valuation signals for MSW:STANDARD:

  • Beneish M-Score: -2.26
  • GF Value™: MWK1,918.44 vs. price of MWK3,999.45 (108.5% above fair value)
  • GF Score™: 84/100

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

Standard Bank Malawi Business Description

Address Africa Unity Avenue, P O Box 30380, Standard Bank Centre, Lilongwe, MWI, 3
Standard Bank Malawi PLC provides banking services. Its business operations are divided into three segments Corporate and Investment Banking, Personal and Private Banking, Business and Commercial Banking, and Treasury and Capital Management. Services offered by the company include current accounts, savings, deposits, investment savings products, custody, debit cards, consumer loans, mortgages, internet banking, telephone banking, foreign exchange, commodities, debt securities, and equities trading, among others. Its branches are located across Malawi. The Bank offers its services to individual customers and small to medium-sized enterprises.
84GF Score

Get the complete analysis for MSW:STANDARD

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

MWK3,999.45
Price
MWK1,918.44
GF Value