KCB Group (NAI:KCB) Beneish M-Score: -2.51 (As of Jun. 26, 2026)


NAI:KCB KCB Group Ltd NAI:KCB
85 GF Score
Price KES76.00
GF Value KES45.93
Valuation Significantly Overvalued
! 3 Warning Signs
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What is KCB Group Beneish M-Score?

KCB Group NAI:KCB +2.01% 85 Beneish M-Score is -2.51 as of Jun. 26, 2026. GuruFocus rates NAI:KCB with a GF Score™ of 85/100 and a GF Value™ of KES45.93 (Significantly Overvalued). The stock has 3 warning signs investors should review. Among 1,397 Banks companies, KCB Group ranks better than 71.37% 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 -2.51 no higher than -1.78, which implies that the company is unlikely to be a manipulator.

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

NAI:KCB' s Beneish M-Score Range Over the Past 10 Years
Min: -2.79   Med: -2.43   Max: -1.8
Current: -2.51

During the past 13 years, the highest Beneish M-Score of KCB Group was -1.80. The lowest was -2.79. And the median was -2.43.

NAI:KCB
85GF Score
KCB Group Ltd NAI:KCB
Beneish M-Score is just one metric. See GF Score™, valuation, warning signs, and more.
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KCB Group 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 KCB Group 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 * 0.9994+0.892 * 1.079+0.115 * 1.2367
-0.172 * SGAI+4.679 * TATA-0.327 * LVGI
-0.172 * 0.9033+4.679 * -0.017293-0.327 * 1.1796
=-2.51

* 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 KES0 Mil.
Revenue was KES202,968 Mil.
Gross Profit was KES202,968 Mil.
Total Current Assets was KES0 Mil.
Total Assets was KES2,147,206 Mil.
Property, Plant and Equipment(Net PPE) was KES28,091 Mil.
Depreciation, Depletion and Amortization(DDA) was KES8,371 Mil.
Selling, General, & Admin. Expense(SGA) was KES10,790 Mil.
Total Current Liabilities was KES0 Mil.
Long-Term Debt & Capital Lease Obligation was KES94,443 Mil.
Net Income was KES66,819 Mil.
Gross Profit was KES0 Mil.
Cash Flow from Operations was KES103,951 Mil.
 Total Receivables was KES0 Mil.
Revenue was KES188,102 Mil.
Gross Profit was KES188,102 Mil.
Total Current Assets was KES0 Mil.
Total Assets was KES1,962,320 Mil.
Property, Plant and Equipment(Net PPE) was KES24,582 Mil.
Depreciation, Depletion and Amortization(DDA) was KES9,747 Mil.
Selling, General, & Admin. Expense(SGA) was KES11,070 Mil.
Total Current Liabilities was KES0 Mil.
Long-Term Debt & Capital Lease Obligation was KES73,169 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 / 202968) / (0 / 188102)
=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)
=(188102 / 188102) / (202968 / 202968)
=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 + 28091) / 2147206) / (1 - (0 + 24582) / 1962320)
=0.986917 / 0.987473
=0.9994

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
=202968 / 188102
=1.079

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))
=(9747 / (9747 + 24582)) / (8371 / (8371 + 28091))
=0.283929 / 0.229581
=1.2367

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)
=(10790 / 202968) / (11070 / 188102)
=0.053161 / 0.058851
=0.9033

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)
=((94443 + 0) / 2147206) / ((73169 + 0) / 1962320)
=0.043984 / 0.037287
=1.1796

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
=(66819 - 0 - 103951) / 2147206
=-0.017293

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.

KCB Group has a M-score of -2.51 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 -2.51 mean?
KCB Group (NAI:KCB) has a Beneish M-Score of -2.51 as of Jun. 26, 2026. The Beneish M-score measures the likelihood of earnings manipulation. View historical data on KCB Group and its competitors. According to the industry distribution chart, KCB Group ranks #400 out of 1397 companies in the Banks industry, placing it in the top 28.6%.
Is KCB Group's Beneish M-Score too high?
KCB Group's current Beneish M-Score is -2.51. Based on the distribution chart, KCB Group ranks #400 out of 1397 companies in the Banks industry, which is above the industry midpoint. Overall, KCB Group has a GF Score™ of 85/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does KCB Group's Beneish M-Score compare to competitors?
According to the Banks industry distribution chart, KCB Group ranks #400 out of 1397 companies for Beneish M-Score. This puts KCB Group in the upper 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 KCB Group and its competitors. KCB Group's current Beneish M-Score is -2.51. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is KCB Group stock overvalued right now?
Based on GuruFocus' analysis, KCB Group (NAI:KCB) is currently considered Significantly Overvalued. The stock's GF Value™ is KES45.93, compared to a current price of KES76.00 — trading 65.5% above its estimated fair value. The current Beneish M-Score is -2.51. KCB Group's overall GF Score™ is 85/100 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 KCB Group (NAI:KCB), the current Beneish M-Score is -2.51 as of Jun. 26, 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 KCB Group (NAI:KCB) Overvalued in 2026?

Based on GuruFocus' analysis, KCB Group stock appears to be overvalued. The current stock price of KES76.00 is trading 65.5% above its estimated GF Value™ of KES45.93. GuruFocus considers KCB Group to be Significantly Overvalued.

Key valuation signals for NAI:KCB:

  • Beneish M-Score: -2.51
  • GF Value™: KES45.93 vs. price of KES76.00 (65.5% above fair value)
  • GF Score™: 85/100 with 3 warning signs

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

KCB Group Business Description

Other Exchanges KCB:Tanzania
Address Kencom House, Moi Avenue, P.O. Box 48400, 6th Floor, Nairobi, KEN, 00100
KCB Group Ltd provides banking services. The company's operating segment includes Retail Banking; Corporate Banking; Mortgages; Treasury and Others. It generates maximum revenue from the Corporate banking segment. The Retail banking segment incorporates banking services such as current accounts, fixed deposits, overdrafts, loans, and other credit facilities both in local and foreign currencies for corporate customers. Geographically, the company derives a majority of its revenue from Kenya, and also has its presence in Tanzania, South Sudan, Uganda, Rwanda, Burundi, and DRC.
85GF Score

Get the complete analysis for NAI:KCB

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

KES76.00
Price
KES45.93
GF Value