Arabian Shield Cooperative Insurance Co (SAU:8070) Beneish M-Score: -16.09 (As of Jul. 19, 2026)

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SAU:8070 Arabian Shield Cooperative Insurance Co SAU:8070
65 GF Score
Price ﷼12.17
GF Value ﷼25.93
Valuation Significantly Undervalued
! 1 Warning Sign
View Full Analysis

What is Arabian Shield Cooperative Insurance Co Beneish M-Score?

Arabian Shield Cooperative Insurance Co SAU:8070 +0.50% 65 Beneish M-Score is -16.09 as of Jul. 19, 2026. GuruFocus rates SAU:8070 with a GF Score™ of 65/100 and a GF Value™ of ﷼25.93 (Significantly Undervalued). The stock has 1 warning sign investors should review. Among 398 Insurance companies, Arabian Shield Cooperative Insurance Co ranks better than 99.5% 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 -16.09 no higher than -1.78, which implies that the company is unlikely to be a manipulator.

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

SAU:8070' s Beneish M-Score Range Over the Past 10 Years
Min: -17.9   Med: -9.29   Max: 11.65
Current: -16.09

During the past 13 years, the highest Beneish M-Score of Arabian Shield Cooperative Insurance Co was 11.65. The lowest was -17.90. And the median was -9.29.

SAU:8070
65GF Score
Arabian Shield Cooperative Insurance Co SAU:8070
Beneish M-Score is just one metric. See GF Score™, valuation, warning signs, and more.
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Arabian Shield Cooperative Insurance Co 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 Shield Cooperative Insurance Co 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 * 0.3601+0.528 * 1+0.404 * 0.9851+0.892 * 1.2181+0.115 * 3.9825
-0.172 * SGAI+4.679 * TATA-0.327 * LVGI
-0.172 * 1.2366+4.679 * -0.049449-0.327 * 41.625
=-16.09

* 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 ﷼2 Mil.
Revenue was 346.916 + 368.781 + 362.325 + 346.277 = ﷼1,424 Mil.
Gross Profit was 346.916 + 368.781 + 362.325 + 346.277 = ﷼1,424 Mil.
Total Current Assets was ﷼0 Mil.
Total Assets was ﷼5,949 Mil.
Property, Plant and Equipment(Net PPE) was ﷼98 Mil.
Depreciation, Depletion and Amortization(DDA) was ﷼21 Mil.
Selling, General, & Admin. Expense(SGA) was ﷼6 Mil.
Total Current Liabilities was ﷼0 Mil.
Long-Term Debt & Capital Lease Obligation was ﷼77 Mil.
Net Income was 4.898 + -10.922 + -9.371 + -29.913 = ﷼-45 Mil.
Non Operating Income was -0.002 + 0.001 + 0.003 + 3.648 = ﷼4 Mil.
Cash Flow from Operations was 282.897 + -104.522 + 50.949 + 15.878 = ﷼245 Mil.
 Total Receivables was ﷼4 Mil.
Revenue was 310.631 + 289.114 + 288.059 + 281.5 = ﷼1,169 Mil.
Gross Profit was 310.631 + 289.114 + 288.059 + 281.5 = ﷼1,169 Mil.
Total Current Assets was ﷼0 Mil.
Total Assets was ﷼3,806 Mil.
Property, Plant and Equipment(Net PPE) was ﷼6 Mil.
Depreciation, Depletion and Amortization(DDA) was ﷼15 Mil.
Selling, General, & Admin. Expense(SGA) was ﷼4 Mil.
Total Current Liabilities was ﷼0 Mil.
Long-Term Debt & Capital Lease Obligation was ﷼1 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)
=(1.575 / 1424.299) / (3.591 / 1169.304)
=0.001106 / 0.003071
=0.3601

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)
=(1169.304 / 1169.304) / (1424.299 / 1424.299)
=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 + 98.173) / 5948.778) / (1 - (0 + 6.176) / 3805.958)
=0.983497 / 0.998377
=0.9851

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
=1424.299 / 1169.304
=1.2181

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))
=(15.279 / (15.279 + 6.176)) / (21.378 / (21.378 + 98.173))
=0.712142 / 0.178819
=3.9825

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)
=(6.194 / 1424.299) / (4.113 / 1169.304)
=0.004349 / 0.003517
=1.2366

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)
=((77.255 + 0) / 5948.778) / ((1.188 + 0) / 3805.958)
=0.012987 / 0.000312
=41.625

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
=(-45.308 - 3.65 - 245.202) / 5948.778
=-0.049449

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 Shield Cooperative Insurance Co has a M-score of -16.09 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 -16.09 mean?
Arabian Shield Cooperative Insurance Co (SAU:8070) has a Beneish M-Score of -16.09 as of Jul. 19, 2026. The Beneish M-score measures the likelihood of earnings manipulation. View historical data on Arabian Shield Cooperative Insurance Co and its competitors. According to the industry distribution chart, Arabian Shield Cooperative Insurance Co ranks #2 out of 398 companies in the Insurance industry, placing it in the top 0.5%.
Is Arabian Shield Cooperative Insurance Co's Beneish M-Score too high?
Arabian Shield Cooperative Insurance Co's current Beneish M-Score is -16.09. Based on the distribution chart, Arabian Shield Cooperative Insurance Co ranks #2 out of 398 companies in the Insurance industry, which is in the top quartile — a strong position relative to peers. Overall, Arabian Shield Cooperative Insurance Co has a GF Score™ of 65/100 and is considered Significantly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Arabian Shield Cooperative Insurance Co's Beneish M-Score compare to CB and PGR?
According to the Insurance industry distribution chart, Arabian Shield Cooperative Insurance Co ranks #2 out of 398 companies for Beneish M-Score. This places Arabian Shield Cooperative Insurance Co in the top 1% 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 an Insurance company?
A good Beneish M-Score depends on the Insurance 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 Shield Cooperative Insurance Co and its competitors. Arabian Shield Cooperative Insurance Co's current Beneish M-Score is -16.09. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Arabian Shield Cooperative Insurance Co stock overvalued right now?
Based on GuruFocus' analysis, Arabian Shield Cooperative Insurance Co (SAU:8070) is currently considered Significantly Undervalued. The stock's GF Value™ is ﷼25.93, compared to a current price of ﷼12.17 — trading 53.1% below its estimated fair value. The current Beneish M-Score is -16.09. Arabian Shield Cooperative Insurance Co's overall GF Score™ is 65/100 with 1 warning sign 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 Shield Cooperative Insurance Co (SAU:8070), the current Beneish M-Score is -16.09 as of Jul. 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 Arabian Shield Cooperative Insurance Co (SAU:8070) Overvalued in 2026?

Based on GuruFocus' analysis, Arabian Shield Cooperative Insurance Co stock appears to be undervalued. The current stock price of ﷼12.17 is trading 53.1% below its estimated GF Value™ of ﷼25.93. GuruFocus considers Arabian Shield Cooperative Insurance Co to be Significantly Undervalued.

Key valuation signals for SAU:8070:

  • Beneish M-Score: -16.09
  • GF Value™: ﷼25.93 vs. price of ﷼12.17 (53.1% below fair value)
  • GF Score™: 65/100 with 1 warning sign

No single metric tells the full story. See the SAU:8070 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.

Arabian Shield Cooperative Insurance Co Business Description

Address King Abdulaziz bin Abdulrahman Road, Al-Wurud District, Building No. 7184, Additional No. 4388, Riyadh, SAU, 12252
Arabian Shield Cooperative Insurance Co conducts insurance and reinsurance business in general and medical classes in Saudi Arabia. The company undertakes all activities required to transact cooperative insurance operations and related activities and to invest its funds. Its principal lines of business include motor, medical, marine, property, engineering, casualty and protection and savings. Its segments include Medical Insurance, motor Insurance, Property Insurance, Engineering insurance, Protection and Savings insurance non-linked, Protection and Savings insurance linked, and Other Insurances.
65GF Score

Get the complete analysis for SAU:8070

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

﷼12.17
Price
﷼25.93
GF Value