Mahindra & Mahindra Financial Services (NSE:M&MFIN) Beneish M-Score: -1.68 (As of Jun. 26, 2026)


NSE:M&MFIN Mahindra & Mahindra Financial Services Ltd NSE:M&MFIN
73 GF Score
Price ₹328.55
GF Value ₹353.97
Valuation Fairly Valued
! 3 Warning Signs
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What is Mahindra & Mahindra Financial Services Beneish M-Score?

Mahindra & Mahindra Financial Services NSE:M&MFIN +5.69% 73 Beneish M-Score is -1.68 as of Jun. 26, 2026. GuruFocus rates NSE:M&MFIN with a GF Score™ of 73/100 and a GF Value™ of ₹353.97 (Fairly Valued). The stock has 3 warning signs investors should review. Among 483 Credit Services companies, Mahindra & Mahindra Financial Services ranks worse than 65.42% 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.

Warning Sign:

Beneish M-Score -1.68 higher than -1.78, which implies that the company might have manipulated its financial results.

The historical rank and industry rank for Mahindra & Mahindra Financial Services's Beneish M-Score or its related term are showing as below:

NSE:M&MFIN' s Beneish M-Score Range Over the Past 10 Years
Min: -2.63   Med: -1.73   Max: -1.3
Current: -1.68

During the past 13 years, the highest Beneish M-Score of Mahindra & Mahindra Financial Services was -1.30. The lowest was -2.63. And the median was -1.73.

NSE:M&MFIN
73GF Score
Mahindra & Mahindra Financial Services Ltd NSE:M&MFIN
Beneish M-Score is just one metric. See GF Score™, valuation, warning signs, and more.
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Mahindra & Mahindra Financial Services 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 Mahindra & Mahindra Financial Services 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 * 1.0009+0.892 * 1.1947+0.115 * 0.8507
-0.172 * SGAI+4.679 * TATA-0.327 * LVGI
-0.172 * 0+4.679 * 0.098502-0.327 * 0.9589
=-1.68

* 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 ₹0 Mil.
Revenue was ₹108,355 Mil.
Gross Profit was ₹108,355 Mil.
Total Current Assets was ₹0 Mil.
Total Assets was ₹1,586,439 Mil.
Property, Plant and Equipment(Net PPE) was ₹10,769 Mil.
Depreciation, Depletion and Amortization(DDA) was ₹3,861 Mil.
Selling, General, & Admin. Expense(SGA) was ₹0 Mil.
Total Current Liabilities was ₹0 Mil.
Long-Term Debt & Capital Lease Obligation was ₹1,142,408 Mil.
Net Income was ₹28,545 Mil.
Gross Profit was ₹0 Mil.
Cash Flow from Operations was ₹-127,722 Mil.
 Total Receivables was ₹0 Mil.
Revenue was ₹90,698 Mil.
Gross Profit was ₹90,698 Mil.
Total Current Assets was ₹0 Mil.
Total Assets was ₹1,441,053 Mil.
Property, Plant and Equipment(Net PPE) was ₹11,096 Mil.
Depreciation, Depletion and Amortization(DDA) was ₹3,212 Mil.
Selling, General, & Admin. Expense(SGA) was ₹2,246 Mil.
Total Current Liabilities was ₹0 Mil.
Long-Term Debt & Capital Lease Obligation was ₹1,082,233 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 / 108355.3) / (0 / 90698)
=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)
=(90698 / 90698) / (108355.3 / 108355.3)
=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 + 10769.4) / 1586439.4) / (1 - (0 + 11095.5) / 1441052.6)
=0.993212 / 0.9923
=1.0009

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
=108355.3 / 90698
=1.1947

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))
=(3212 / (3212 + 11095.5)) / (3860.7 / (3860.7 + 10769.4))
=0.224498 / 0.263887
=0.8507

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)
=(0 / 108355.3) / (2245.5 / 90698)
=0 / 0.024758
=0

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)
=((1142408.3 + 0) / 1586439.4) / ((1082232.6 + 0) / 1441052.6)
=0.720108 / 0.751001
=0.9589

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
=(28545.3 - 0 - -127721.8) / 1586439.4
=0.098502

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.

Mahindra & Mahindra Financial Services has a M-score of -1.68 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 -1.68 mean?
Mahindra & Mahindra Financial Services (NSE:M&MFIN) has a Beneish M-Score of -1.68 as of Jun. 26, 2026. The Beneish M-score measures the likelihood of earnings manipulation. View historical data on Mahindra & Mahindra Financial Services and its competitors. According to the industry distribution chart, Mahindra & Mahindra Financial Services ranks #316 out of 483 companies in the Credit Services industry, placing it in the top 65.4%.
Is Mahindra & Mahindra Financial Services' Beneish M-Score too high?
Mahindra & Mahindra Financial Services' current Beneish M-Score is -1.68. Based on the distribution chart, Mahindra & Mahindra Financial Services ranks #316 out of 483 companies in the Credit Services industry, which is below the industry midpoint. Overall, Mahindra & Mahindra Financial Services has a GF Score™ of 73/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does Mahindra & Mahindra Financial Services' Beneish M-Score compare to V and MA?
According to the Credit Services industry distribution chart, Mahindra & Mahindra Financial Services ranks #316 out of 483 companies for Beneish M-Score. This places Mahindra & Mahindra Financial Services 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 Credit Services company?
A good Beneish M-Score depends on the Credit Services 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 Mahindra & Mahindra Financial Services and its competitors. Mahindra & Mahindra Financial Services's current Beneish M-Score is -1.68. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Mahindra & Mahindra Financial Services stock overvalued right now?
Based on GuruFocus' analysis, Mahindra & Mahindra Financial Services (NSE:M&MFIN) is currently considered Fairly Valued. The stock's GF Value™ is ₹353.97, compared to a current price of ₹328.55 — trading 7.2% below its estimated fair value. The current Beneish M-Score is -1.68. Mahindra & Mahindra Financial Services' overall GF Score™ is 73/100 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 Mahindra & Mahindra Financial Services (NSE:M&MFIN), the current Beneish M-Score is -1.68 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 Mahindra & Mahindra Financial Services (NSE:M&MFIN) Overvalued in 2026?

Based on GuruFocus' analysis, Mahindra & Mahindra Financial Services stock appears to be undervalued. The current stock price of ₹328.55 is trading 7.2% below its estimated GF Value™ of ₹353.97. GuruFocus considers Mahindra & Mahindra Financial Services to be Fairly Valued.

Key valuation signals for NSE:M&MFIN:

  • Beneish M-Score: -1.68
  • GF Value™: ₹353.97 vs. price of ₹328.55 (7.2% below fair value)
  • GF Score™: 73/100 with 3 warning signs

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

Mahindra & Mahindra Financial Services Business Description

Other Exchanges 532720:India
Address Dr. G M. Bhosale Marg, 4th Floor, Mahindra Towers, A Wing, P.K. Kurne Chowk, Worli, Mumbai, MH, IND, 400 018
Mahindra & Mahindra Financial Services Ltd is a nonbanking financial company engaged in financing new and pre-owned auto, utility vehicles, tractors, passenger cars and commercial vehicles through its pan India branch network. The company has a diversified lending portfolio across retail, small and medium enterprises and commercial customers with a presence in rural and semi-urban India. The company has two segments : Financing Activities, that includes financing and leasing of automobiles, tractors, commercial vehicles, SMEs and housing finance.; and Other reconciling items which consists insurance broking, asset management services and trusteeship services. It derives maximum revenue from Financing Activities.
73GF Score

Get the complete analysis for NSE:M&MFIN

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

₹328.55
Price
₹353.97
GF Value