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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 -2.17 no higher than -1.78, which implies that the company is unlikely to be a manipulator.
The historical rank and industry rank for OSI Systems's Beneish M-Score or its related term are showing as below:
OSIS'
s Beneish M-Score Range Over the Past 10 Years
Min: -3 Med: -2.38 Max: -1.11
Current: -2.17
During the past 13 years, the highest Beneish M-Score of OSI Systems was -1.11. The lowest was -3.00. And the median was -2.38.
The historical data trend for OSI Systems'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.
OSIS vs OLED, BELFB, KN: Beneish M-Score Comparison
For the Electronic Components subindustry, OSI Systems'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.
OSI Systems Beneish M-Score vs Hardware Industry
For the Hardware industry and Technology sector, OSI Systems's Beneish M-Score distribution charts can be found below:
* The bar in red indicates where OSI Systems's Beneish M-Score falls into.
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 OSI Systems 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 * 1.2105
+
0.528 * 1.0335
+
0.404 * 0.8471
+
0.892 * 1.0698
+
0.115 * 1.0839
-
0.172 * SGAI
+
4.679 * TATA
-
0.327 * LVGI
-
0.172 * 0.9198
+
4.679 * 0.027921
-
0.327 * 1.1644
=
-2.17
* 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.
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.
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))
=
(44.388 / (44.388 + 124.352))
/
(40.304 / (40.304 + 125.765))
=
0.263056
/
0.242694
=
1.0839
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
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
=
(152.219 - -13.459
-
94.356)
/
2554.431
=
0.027921
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.
OSI Systems has a M-score of -2.17 suggests that the company is unlikely to be a manipulator.
OSI Systems (OSIS) has a Beneish M-Score of -2.17 as of Aug. 19, 2026. The Beneish M-score measures the likelihood of earnings manipulation. View historical data on OSI Systems and its competitors. According to the industry distribution chart, OSI Systems ranks #1634 out of 2401 companies in the Hardware industry, placing it in the top 68.1%.
Is OSI Systems' Beneish M-Score too high?
OSI Systems' current Beneish M-Score is -2.17. Based on the distribution chart, OSI Systems ranks #1634 out of 2401 companies in the Hardware industry, which is below the industry midpoint. Overall, OSI Systems has a GF Score™ of 91/100 and is considered Modestly Overvalued, reflecting its overall financial health beyond just this single metric.
How does OSI Systems' Beneish M-Score compare to OLED and BELFB?
According to the Hardware industry distribution chart, OSI Systems ranks #1634 out of 2401 companies for Beneish M-Score. This places OSI Systems 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 Hardware company?
A good Beneish M-Score depends on the Hardware 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 OSI Systems and its competitors. OSI Systems's current Beneish M-Score is -2.17. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is OSI Systems stock overvalued right now?
Based on GuruFocus' analysis, OSI Systems (OSIS) is currently considered Modestly Overvalued. The stock's GF Value™ is $192.50, compared to a current price of $220.71 — trading 14.7% above its estimated fair value. The current Beneish M-Score is -2.17. OSI Systems' overall GF Score™ is 91/100 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 OSI Systems (OSIS), the current Beneish M-Score is -2.17 as of Aug. 19, 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 OSI Systems (OSIS) Overvalued in 2026?
Based on GuruFocus' analysis, OSI Systems stock appears to be overvalued.
The current stock price of $220.71 is trading 14.7% above its estimated GF Value™ of $192.50.
GuruFocus considers OSI Systems to be Modestly Overvalued.
Key valuation signals for OSIS:
Beneish M-Score: -2.17
GF Value™: $192.50 vs. price of $220.71 (14.7% above fair value)
No single metric tells the full story. See the OSIS stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
OSI Systems Inc is a designer and manufacturer of electronic systems and components for businesses in the homeland security, healthcare, defense, and aerospace markets. The firm is organized in three business segments: Security, which derives maximum revenue, provides security and inspection systems; Healthcare, which provides patient monitoring, diagnostic, cardiology, ventilation systems, and defibrillators; and Optoelectronics and Manufacturing, which provides specialized electronic components and manufacturing services for the Security and Healthcare segments and external original equipment manufacturers. The majority of the firm's revenue is generated in the United States, and the rest from Mexico, Europe, the Middle East and Africa, and the Asia Pacific regions.
91GF Score
Get the complete analysis for OSIS
Beneish M-Score is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.
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