Capricorn Group (NAM:CGP) Beneish M-Score: -2.37 (As of Jun. 26, 2026)


NAM:CGP Capricorn Group Ltd NAM:CGP
64 GF Score
Price R28.11
GF Value R23.97
Valuation Modestly Overvalued
! 4 Warning Signs
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What is Capricorn Group Beneish M-Score?

Capricorn Group NAM:CGP 64 Beneish M-Score is -2.37 as of Jun. 26, 2026. GuruFocus rates NAM:CGP with a GF Score™ of 64/100 and a GF Value™ of R23.97 (Modestly Overvalued). The stock has 4 warning signs investors should review. Among 1,397 Banks companies, Capricorn Group ranks worse than 55.55% 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 -2.37 no higher than -1.78, which implies that the company is unlikely to be a manipulator.

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

NAM:CGP' s Beneish M-Score Range Over the Past 10 Years
Min: -2.5   Med: -2.36   Max: -1.83
Current: -2.37

During the past 13 years, the highest Beneish M-Score of Capricorn Group was -1.83. The lowest was -2.50. And the median was -2.36.

NAM:CGP
64GF Score
Capricorn Group Ltd NAM:CGP
Beneish M-Score is just one metric. See GF Score™, valuation, warning signs, and more.
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Capricorn 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 Capricorn 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 * 0.9997+0.892 * 1.1309+0.115 * 0.9912
-0.172 * SGAI+4.679 * TATA-0.327 * LVGI
-0.172 * 0.8354+4.679 * -0.01816-0.327 * 0.8538
=-2.37

* 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 (Jun25) TTM:Last Year (Jun24) TTM:
Total Receivables was R0 Mil.
Revenue was R5,567 Mil.
Gross Profit was R5,567 Mil.
Total Current Assets was R0 Mil.
Total Assets was R72,429 Mil.
Property, Plant and Equipment(Net PPE) was R675 Mil.
Depreciation, Depletion and Amortization(DDA) was R233 Mil.
Selling, General, & Admin. Expense(SGA) was R154 Mil.
Total Current Liabilities was R0 Mil.
Long-Term Debt & Capital Lease Obligation was R5,331 Mil.
Net Income was R1,856 Mil.
Gross Profit was R0 Mil.
Cash Flow from Operations was R3,171 Mil.
 Total Receivables was R0 Mil.
Revenue was R4,923 Mil.
Gross Profit was R4,923 Mil.
Total Current Assets was R0 Mil.
Total Assets was R70,494 Mil.
Property, Plant and Equipment(Net PPE) was R639 Mil.
Depreciation, Depletion and Amortization(DDA) was R218 Mil.
Selling, General, & Admin. Expense(SGA) was R163 Mil.
Total Current Liabilities was R0 Mil.
Long-Term Debt & Capital Lease Obligation was R6,077 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 / 5566.868) / (0 / 4922.693)
=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)
=(4922.693 / 4922.693) / (5566.868 / 5566.868)
=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 + 675.135) / 72429.205) / (1 - (0 + 639.181) / 70493.684)
=0.990679 / 0.990933
=0.9997

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
=5566.868 / 4922.693
=1.1309

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))
=(217.721 / (217.721 + 639.181)) / (232.702 / (232.702 + 675.135))
=0.254079 / 0.256326
=0.9912

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)
=(153.803 / 5566.868) / (162.791 / 4922.693)
=0.027628 / 0.03307
=0.8354

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)
=((5331.17 + 0) / 72429.205) / ((6077.214 + 0) / 70493.684)
=0.073605 / 0.086209
=0.8538

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
=(1855.623 - 0 - 3170.937) / 72429.205
=-0.01816

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.

Capricorn Group has a M-score of -2.37 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 -2.37 mean?
Capricorn Group (NAM:CGP) has a Beneish M-Score of -2.37 as of Jun. 26, 2026. The Beneish M-score measures the likelihood of earnings manipulation. View historical data on Capricorn Group and its competitors. According to the industry distribution chart, Capricorn Group ranks #776 out of 1397 companies in the Banks industry, placing it in the top 55.5%.
Is Capricorn Group's Beneish M-Score too high?
Capricorn Group's current Beneish M-Score is -2.37. Based on the distribution chart, Capricorn Group ranks #776 out of 1397 companies in the Banks industry, which is below the industry midpoint. Overall, Capricorn Group has a GF Score™ of 64/100 and is considered Modestly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Capricorn Group's Beneish M-Score compare to PNC and USB?
According to the Banks industry distribution chart, Capricorn Group ranks #776 out of 1397 companies for Beneish M-Score. This places Capricorn Group 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 Capricorn Group and its competitors. Capricorn Group's current Beneish M-Score is -2.37. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Capricorn Group stock overvalued right now?
Based on GuruFocus' analysis, Capricorn Group (NAM:CGP) is currently considered Modestly Overvalued. The stock's GF Value™ is R23.97, compared to a current price of R28.11 — trading 17.3% above its estimated fair value. The current Beneish M-Score is -2.37. Capricorn Group's overall GF Score™ is 64/100 with 4 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 Capricorn Group (NAM:CGP), the current Beneish M-Score is -2.37 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 Capricorn Group (NAM:CGP) Overvalued in 2026?

Based on GuruFocus' analysis, Capricorn Group stock appears to be overvalued. The current stock price of R28.11 is trading 17.3% above its estimated GF Value™ of R23.97. GuruFocus considers Capricorn Group to be Modestly Overvalued.

Key valuation signals for NAM:CGP:

  • Beneish M-Score: -2.37
  • GF Value™: R23.97 vs. price of R28.11 (17.3% above fair value)
  • GF Score™: 64/100 with 4 warning signs

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

Capricorn Group Business Description

Address Kasino Street, Capricorn Group Building, P.O.Box 15, 6th floor, Windhoek, NAM
Capricorn Group Ltd is a Namibia-based financial services group. It operates as an investment holding company with interests in banking, insurance, asset management, and microlending. The banking operation is the company's two operating segments, which include banking activities in Namibia and Botswana, as well as term lending and related activities in Namibia. Other components include property development, asset management, and unit trust management. The majority of the company's revenue comes from its banking operations in Namibia.
64GF Score

Get the complete analysis for NAM:CGP

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

R28.11
Price
R23.97
GF Value