Shanghai Chinafortune Co (SHSE:600621) Beneish M-Score: -2.75 (As of Jul. 03, 2026)


SHSE:600621 Shanghai Chinafortune Co Ltd SHSE:600621
52 GF Score
Price ¥13.21
GF Value ¥17.44
Valuation Modestly Undervalued
! 2 Warning Signs
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What is Shanghai Chinafortune Co Beneish M-Score?

Shanghai Chinafortune Co SHSE:600621 +0.99% 52 Beneish M-Score is -2.75 as of Jul. 03, 2026. GuruFocus rates SHSE:600621 with a GF Score™ of 52/100 and a GF Value™ of ¥17.44 (Modestly Undervalued). The stock has 2 warning signs investors should review. Among 86 Diversified Financial Services companies, Shanghai Chinafortune Co ranks better than 67.44% 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 -2.75 no higher than -1.78, which implies that the company is unlikely to be a manipulator.

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

SHSE:600621' s Beneish M-Score Range Over the Past 10 Years
Min: -2.75   Med: -2.65   Max: -2.54
Current: -2.75

During the past 13 years, the highest Beneish M-Score of Shanghai Chinafortune Co was -2.54. The lowest was -2.75. And the median was -2.65.

SHSE:600621
52GF Score
Shanghai Chinafortune Co Ltd SHSE:600621
Beneish M-Score is just one metric. See GF Score™, valuation, warning signs, and more.
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Shanghai Chinafortune 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 Shanghai Chinafortune 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 * 1+0.528 * 1+0.404 * 0.9985+0.892 * 1.1425+0.115 * 1
-0.172 * SGAI+4.679 * TATA-0.327 * LVGI
-0.172 * 0.8603+4.679 * -0.092302-0.327 * 0.9549
=-2.75

* 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 626.809 + 567.573 + 845.353 + 527.953 = ¥2,568 Mil.
Gross Profit was 626.809 + 567.573 + 845.353 + 527.953 = ¥2,568 Mil.
Total Current Assets was ¥0 Mil.
Total Assets was ¥64,536 Mil.
Property, Plant and Equipment(Net PPE) was ¥367 Mil.
Depreciation, Depletion and Amortization(DDA) was ¥0 Mil.
Selling, General, & Admin. Expense(SGA) was ¥604 Mil.
Total Current Liabilities was ¥0 Mil.
Long-Term Debt & Capital Lease Obligation was ¥15,902 Mil.
Net Income was 155.272 + 130.139 + 281.416 + 86.752 = ¥654 Mil.
Non Operating Income was 0 + 0 + 0 + 0 = ¥0 Mil.
Cash Flow from Operations was 1734.233 + 4560.706 + -2521.997 + 2837.45 = ¥6,610 Mil.
 Total Receivables was ¥0 Mil.
Revenue was 629.149 + 561.31 + 547.504 + 509.521 = ¥2,247 Mil.
Gross Profit was 629.149 + 561.31 + 547.504 + 509.521 = ¥2,247 Mil.
Total Current Assets was ¥0 Mil.
Total Assets was ¥51,514 Mil.
Property, Plant and Equipment(Net PPE) was ¥218 Mil.
Depreciation, Depletion and Amortization(DDA) was ¥0 Mil.
Selling, General, & Admin. Expense(SGA) was ¥615 Mil.
Total Current Liabilities was ¥0 Mil.
Long-Term Debt & Capital Lease Obligation was ¥13,293 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 / 2567.688) / (0 / 2247.484)
=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)
=(2247.484 / 2247.484) / (2567.688 / 2567.688)
=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 + 366.919) / 64536.392) / (1 - (0 + 217.737) / 51514.278)
=0.994315 / 0.995773
=0.9985

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
=2567.688 / 2247.484
=1.1425

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))
=(0 / (0 + 217.737)) / (0 / (0 + 366.919))
=0 / 0
=1

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)
=(604.071 / 2567.688) / (614.614 / 2247.484)
=0.235259 / 0.273468
=0.8603

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)
=((15901.612 + 0) / 64536.392) / ((13292.847 + 0) / 51514.278)
=0.246398 / 0.258042
=0.9549

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
=(653.579 - 0 - 6610.392) / 64536.392
=-0.092302

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.

Shanghai Chinafortune Co has a M-score of -2.75 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 -2.75 mean?
Shanghai Chinafortune Co (SHSE:600621) has a Beneish M-Score of -2.75 as of Jul. 03, 2026. The Beneish M-score measures the likelihood of earnings manipulation. View historical data on Shanghai Chinafortune Co and its competitors. According to the industry distribution chart, Shanghai Chinafortune Co ranks #28 out of 86 companies in the Diversified Financial Services industry, placing it in the top 32.6%.
Is Shanghai Chinafortune Co's Beneish M-Score too high?
Shanghai Chinafortune Co's current Beneish M-Score is -2.75. Based on the distribution chart, Shanghai Chinafortune Co ranks #28 out of 86 companies in the Diversified Financial Services industry, which is above the industry midpoint. Overall, Shanghai Chinafortune Co has a GF Score™ of 52/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Shanghai Chinafortune Co's Beneish M-Score compare to VOYA and FRHC?
According to the Diversified Financial Services industry distribution chart, Shanghai Chinafortune Co ranks #28 out of 86 companies for Beneish M-Score. This puts Shanghai Chinafortune Co in the upper 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 Diversified Financial Services company?
A good Beneish M-Score depends on the Diversified Financial 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 Shanghai Chinafortune Co and its competitors. Shanghai Chinafortune Co's current Beneish M-Score is -2.75. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Shanghai Chinafortune Co stock overvalued right now?
Based on GuruFocus' analysis, Shanghai Chinafortune Co (SHSE:600621) is currently considered Modestly Undervalued. The stock's GF Value™ is ¥17.44, compared to a current price of ¥13.21 — trading 24.3% below its estimated fair value. The current Beneish M-Score is -2.75. Shanghai Chinafortune Co's overall GF Score™ is 52/100 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 Shanghai Chinafortune Co (SHSE:600621), the current Beneish M-Score is -2.75 as of Jul. 03, 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 Shanghai Chinafortune Co (SHSE:600621) Overvalued in 2026?

Based on GuruFocus' analysis, Shanghai Chinafortune Co stock appears to be undervalued. The current stock price of ¥13.21 is trading 24.3% below its estimated GF Value™ of ¥17.44. GuruFocus considers Shanghai Chinafortune Co to be Modestly Undervalued.

Key valuation signals for SHSE:600621:

  • Beneish M-Score: -2.75
  • GF Value™: ¥17.44 vs. price of ¥13.21 (24.3% below fair value)
  • GF Score™: 52/100 with 2 warning signs

No single metric tells the full story. See the SHSE:600621 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.

Shanghai Chinafortune Co Business Description

Address 1000 Jinhai Road, China (Shanghai) Pilot Free Trade Zone, Shanghai, CHN, 200030
Shanghai Chinafortune Co Ltd is engaged in provision of financial business. Through its subsidiary, the company provides securities trading, equity investments, financial leasing, private equity, venture capital, and financial technology.
52GF Score

Get the complete analysis for SHSE:600621

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

¥13.21
Price
¥17.44
GF Value