RCT (RedCloud Holdings) Beneish M-Score: -5.80 (As of Aug. 30, 2026)

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RCT RedCloud Holdings PLC RCT
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! 6 Warning Signs
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What is RedCloud Holdings Beneish M-Score?

RedCloud Holdings RCT +7.75% 4 Beneish M-Score is -5.80 as of Aug. 30, 2026. GuruFocus rates RCT with a GF Score™ of 4/100. The stock has 6 warning signs investors should review. Among 2,636 Software companies, RedCloud Holdings ranks better than 96.24% 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.

Good Sign:

Beneish M-Score -5.8 no higher than -1.78, which implies that the company is unlikely to be a manipulator.

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

RCT' s Beneish M-Score Range Over the Past 10 Years
Min: -5.8   Med: -4.15   Max: -2.49
Current: -5.8

During the past 4 years, the highest Beneish M-Score of RedCloud Holdings was -2.49. The lowest was -5.80. And the median was -4.15.

RedCloud Holdings Beneish M-Score Historical Data

* Premium members only.

The historical data trend for RedCloud Holdings'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.

RedCloud Holdings Beneish M-Score Chart

RedCloud Holdings Annual Data
Trend Dec22 Dec23 Dec24 Dec25
Beneish M-Score
0.00 0.00 -2.49 -5.80

RedCloud Holdings Semi-Annual Data
Dec22 Jun23 Dec23 Jun24 Dec24 Jun25 Dec25
Beneish M-Score Get a 7-Day Free Trial 0.00 0.00 -2.49 0.00 -5.80

RCT vs KNRX, UPLD, MYSE: Beneish M-Score Comparison

For the Software - Application subindustry, RedCloud Holdings'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.

RedCloud Holdings Beneish M-Score vs Software Industry

For the Software industry and Technology sector, RedCloud Holdings's Beneish M-Score distribution charts can be found below:

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


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RedCloud Holdings PLC RCT
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RedCloud Holdings 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 RedCloud Holdings 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 * 0.3879+0.528 * 1.062+0.404 * 1.5443+0.892 * 1.0439+0.115 * 0.8848
-0.172 * SGAI+4.679 * TATA-0.327 * LVGI
-0.172 * 1.0122+4.679 * -0.696381-0.327 * 0.3153
=-5.80

* 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 $3.12 Mil.
Revenue was $48.54 Mil.
Gross Profit was $26.78 Mil.
Total Current Assets was $5.34 Mil.
Total Assets was $12.65 Mil.
Property, Plant and Equipment(Net PPE) was $0.45 Mil.
Depreciation, Depletion and Amortization(DDA) was $2.72 Mil.
Selling, General, & Admin. Expense(SGA) was $62.29 Mil.
Total Current Liabilities was $19.62 Mil.
Long-Term Debt & Capital Lease Obligation was $0.00 Mil.
Net Income was $-46.24 Mil.
Gross Profit was $-0.44 Mil.
Cash Flow from Operations was $-36.98 Mil.
 Total Receivables was $7.70 Mil.
Revenue was $46.50 Mil.
Gross Profit was $27.24 Mil.
Total Current Assets was $10.80 Mil.
Total Assets was $17.56 Mil.
Property, Plant and Equipment(Net PPE) was $0.59 Mil.
Depreciation, Depletion and Amortization(DDA) was $1.88 Mil.
Selling, General, & Admin. Expense(SGA) was $58.95 Mil.
Total Current Liabilities was $63.77 Mil.
Long-Term Debt & Capital Lease Obligation was $22.56 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)
=(3.116 / 48.539) / (7.696 / 46.499)
=0.064196 / 0.165509
=0.3879

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)
=(27.243 / 46.499) / (26.778 / 48.539)
=0.585884 / 0.55168
=1.062

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 - (5.344 + 0.445) / 12.654) / (1 - (10.798 + 0.593) / 17.56)
=0.542516 / 0.35131
=1.5443

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
=48.539 / 46.499
=1.0439

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))
=(1.881 / (1.881 + 0.593)) / (2.718 / (2.718 + 0.445))
=0.760307 / 0.859311
=0.8848

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)
=(62.29 / 48.539) / (58.953 / 46.499)
=1.283298 / 1.267834
=1.0122

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 + 19.617) / 12.654) / ((22.56 + 63.77) / 17.56)
=1.550261 / 4.916287
=0.3153

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
=(-46.237 - -0.442 - -36.983) / 12.654
=-0.696381

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.

RedCloud Holdings has a M-score of -5.80 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 -5.80 mean?
RedCloud Holdings (RCT) has a Beneish M-Score of -5.80 as of Aug. 30, 2026. The Beneish M-score measures the likelihood of earnings manipulation. View historical data on RedCloud Holdings and its competitors. According to the industry distribution chart, RedCloud Holdings ranks #99 out of 2636 companies in the Software industry, placing it in the top 3.8%.
Is RedCloud Holdings' Beneish M-Score too high?
RedCloud Holdings' current Beneish M-Score is -5.80. Based on the distribution chart, RedCloud Holdings ranks #99 out of 2636 companies in the Software industry, which is in the top quartile — a strong position relative to peers. Overall, RedCloud Holdings has a GF Score™ of 4/100, reflecting its overall financial health beyond just this single metric.
How does RedCloud Holdings' Beneish M-Score compare to KNRX and UPLD?
According to the Software industry distribution chart, RedCloud Holdings ranks #99 out of 2636 companies for Beneish M-Score. This places RedCloud Holdings in the top 4% of its industry — outperforming the majority of peers. 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 Software company?
A good Beneish M-Score depends on the Software 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 RedCloud Holdings and its competitors. RedCloud Holdings's current Beneish M-Score is -5.80. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is RedCloud Holdings stock overvalued right now?
RedCloud Holdings (RCT) has a current Beneish M-Score of -5.80. The current Beneish M-Score is -5.80. RedCloud Holdings' overall GF Score™ is 4/100 with 6 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 RedCloud Holdings (RCT), the current Beneish M-Score is -5.80 as of Aug. 30, 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.

RedCloud Holdings Business Description

Address 50 Liverpool Street, London, GBR, EC2M 7PY
RedCloud Holdings PLC developed and operates the RedCloud Platform, which facilitates the trading of everyday consumer supplies of fast-moving consumer goods (FMCG) products across business supply chains in Nigeria, South Africa, Argentina, Brazil, and through joint ventures in Turkiye and Saudi Arabia. The Platform solves the old problem of how to unlock and enable access to key purchase and sales data between brands, distributors, and retailers in growth consumer markets. Its Platform has AI and machine learning capabilities that provide brands, distributors, and retailers with trading and product insights and data to help make commercial decisions regarding their business operations. Geographically, Key revenue is generated from Nigeria.
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