Arabian Petroleum (NSE:ARABIAN) Beneish M-Score: -0.61 (As of Sep. 21, 2026)

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NSE:ARABIAN Arabian Petroleum Ltd NSE:ARABIAN
66 GF Score
Price ₹85.50
GF Value ₹121.48
Valuation Possible Value Trap
! 2 Warning Signs
View Full Analysis

What is Arabian Petroleum Beneish M-Score?

Arabian Petroleum NSE:ARABIAN +4.27% 66 Beneish M-Score is -0.61 as of Sep. 21, 2026. GuruFocus rates NSE:ARABIAN with a GF Score™ of 66/100 and a GF Value™ of ₹121.48 (Possible Value Trap). The stock has 2 warning signs investors should review. Among 829 Oil & Gas companies, Arabian Petroleum ranks worse than 92.88% on this metric.

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.

Warning Sign:

Beneish M-Score -0.61 higher than -1.78, which implies that the company might have manipulated its financial results.

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

NSE:ARABIAN' s Beneish M-Score Range Over the Past 10 Years
Min: -2.81   Med: -1.38   Max: -0.47
Current: -0.61

During the past 7 years, the highest Beneish M-Score of Arabian Petroleum was -0.47. The lowest was -2.81. And the median was -1.38.

Arabian Petroleum Beneish M-Score Historical Data

* Premium members only.

The historical data trend for Arabian Petroleum's Beneish M-Score can be seen below:

* 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.

Arabian Petroleum Beneish M-Score Chart

Arabian Petroleum Annual Data
Trend Mar19 Mar20 Mar21 Mar23 Mar24 Mar25 Mar26
Beneish M-Score
Get a 7-Day Free Trial -1.36 -1.04 -0.31 -2.60 -0.75

Arabian Petroleum Semi-Annual Data
Sep23 Mar24 Sep24 Mar25 Sep25 Mar26
Beneish M-Score Get a 7-Day Free Trial - -0.18 -2.59 -1.63 -0.77

NSE:ARABIAN vs MPC, VLO, PSX: Beneish M-Score Comparison

For the Oil & Gas Refining & Marketing subindustry, Arabian Petroleum's Beneish M-Score, along with its competitors' market caps and Beneish M-Score data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.

Arabian Petroleum Beneish M-Score vs Oil & Gas Industry

For the Oil & Gas industry and Energy sector, Arabian Petroleum's Beneish M-Score distribution charts can be found below:

* The bar in red indicates where Arabian Petroleum's Beneish M-Score falls into.


NSE:ARABIAN
66GF Score
Arabian Petroleum Ltd NSE:ARABIAN
Beneish M-Score is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

Arabian Petroleum 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 Arabian Petroleum 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 * 1.0824+0.528 * 1.2261+0.404 * 2.1492+0.892 * 1.4488+0.115 * 1.0592
-0.172 * SGAI+4.679 * TATA-0.327 * LVGI
-0.172 * 0.8855+4.679 * 0.174212-0.327 * 1.3216
=-0.68

* 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 (Mar26) TTM:Last Year (Mar25) TTM:
Total Receivables was ₹738 Mil.
Revenue was ₹4,133 Mil.
Gross Profit was ₹480 Mil.
Total Current Assets was ₹1,536 Mil.
Total Assets was ₹1,720 Mil.
Property, Plant and Equipment(Net PPE) was ₹123 Mil.
Depreciation, Depletion and Amortization(DDA) was ₹15 Mil.
Selling, General, & Admin. Expense(SGA) was ₹319 Mil.
Total Current Liabilities was ₹1,012 Mil.
Long-Term Debt & Capital Lease Obligation was ₹0 Mil.
Net Income was ₹112 Mil.
Gross Profit was ₹ Mil.
Cash Flow from Operations was ₹-187 Mil.
 Total Receivables was ₹471 Mil.
Revenue was ₹2,852 Mil.
Gross Profit was ₹406 Mil.
Total Current Assets was ₹930 Mil.
Total Assets was ₹1,066 Mil.
Property, Plant and Equipment(Net PPE) was ₹118 Mil.
Depreciation, Depletion and Amortization(DDA) was ₹15 Mil.
Selling, General, & Admin. Expense(SGA) was ₹249 Mil.
Total Current Liabilities was ₹467 Mil.
Long-Term Debt & Capital Lease Obligation was ₹8 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)
=(737.966 / 4132.737) / (470.56 / 2852.466)
=0.178566 / 0.164966
=1.0824

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)
=(406.18 / 2852.466) / (479.967 / 4132.737)
=0.142396 / 0.116138
=1.2261

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 - (1536.05 + 123.269) / 1720.091) / (1 - (930.165 + 118.307) / 1065.996)
=0.035331 / 0.016439
=2.1492

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
=4132.737 / 2852.466
=1.4488

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))
=(14.986 / (14.986 + 118.307)) / (14.639 / (14.639 + 123.269))
=0.112429 / 0.10615
=1.0592

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)
=(318.97 / 4132.737) / (248.636 / 2852.466)
=0.077181 / 0.087165
=0.8855

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)
=((0.487 + 1012.272) / 1720.091) / ((7.884 + 467.032) / 1065.996)
=0.588782 / 0.445514
=1.3216

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
=(112.235 - 0 - -187.425) / 1720.091
=0.174212

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.

Arabian Petroleum has a M-score of -0.68 signals that the company is likely to be a manipulator.

Frequently Asked Questions Learn more about Beneish M-Score →
What does a Beneish M-Score of -0.61 mean?
Arabian Petroleum (NSE:ARABIAN) has a Beneish M-Score of -0.61 as of Sep. 21, 2026. The Beneish M-score measures the likelihood of earnings manipulation. View historical data on Arabian Petroleum and its competitors. According to the industry distribution chart, Arabian Petroleum ranks #770 out of 829 companies in the Oil & Gas industry, placing it in the top 92.9%.
Is Arabian Petroleum's Beneish M-Score too high?
Arabian Petroleum's current Beneish M-Score is -0.61. Based on the distribution chart, Arabian Petroleum ranks #770 out of 829 companies in the Oil & Gas industry, which is in the bottom quartile relative to peers. Overall, Arabian Petroleum has a GF Score™ of 66/100 and is considered Possible Value Trap, reflecting its overall financial health beyond just this single metric.
How does Arabian Petroleum's Beneish M-Score compare to MPC and VLO?
According to the Oil & Gas industry distribution chart, Arabian Petroleum ranks #770 out of 829 companies for Beneish M-Score. This places Arabian Petroleum 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 an Oil & Gas company?
A good Beneish M-Score depends on the Oil & Gas 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 Arabian Petroleum and its competitors. Arabian Petroleum's current Beneish M-Score is -0.61. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Arabian Petroleum stock overvalued right now?
Based on GuruFocus' analysis, Arabian Petroleum (NSE:ARABIAN) is currently considered Possible Value Trap. The stock's GF Value™ is ₹121.48, compared to a current price of ₹85.50 — trading 29.6% below its estimated fair value. The current Beneish M-Score is -0.61. Arabian Petroleum's overall GF Score™ is 66/100 with 2 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 Arabian Petroleum (NSE:ARABIAN), the current Beneish M-Score is -0.61 as of Sep. 21, 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 Arabian Petroleum (NSE:ARABIAN) Overvalued in 2026?

Based on GuruFocus' analysis, Arabian Petroleum stock appears to be undervalued. The current stock price of ₹85.50 is trading 29.6% below its estimated GF Value™ of ₹121.48. GuruFocus considers Arabian Petroleum to be Possible Value Trap.

Key valuation signals for NSE:ARABIAN:

  • Beneish M-Score: -0.61
  • GF Value™: ₹121.48 vs. price of ₹85.50 (29.6% below fair value)
  • GF Score™: 66/100 with 2 warning signs

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

Arabian Petroleum Business Description

Industry EnergyOil & Gas
Address Avior Corporate Park, Office No. 629/ 630, LBS Marg, Nirmal Galaxy, Mulund West, Mumbai, MH, IND, 400080
Arabian Petroleum Ltd is a company engaged in the business of manufacturing a wide range of Lubricants, including Specialty Oils, Coolants etc , used for Industrial and Automotive applications. The business is categorized into two distinctive product divisions, which include Automotive Lubricants - Arzol and Industrial Lubricants-SPL. Geographically, the company generates the majority of its revenue from India.
66GF Score

Get the complete analysis for NSE:ARABIAN

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

₹85.50
Price
₹121.48
GF Value