Cinda Securities Co (SHSE:601059) Beneish M-Score: -2.51 (As of Jul. 14, 2026)

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SHSE:601059 Cinda Securities Co Ltd SHSE:601059
69 GF Score
Price ¥16.46
GF Value ¥17.65
Valuation Fairly Valued
! 3 Warning Signs
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What is Cinda Securities Co Beneish M-Score?

Cinda Securities Co SHSE:601059 +0.55% 69 Beneish M-Score is -2.51 as of Jul. 14, 2026. GuruFocus rates SHSE:601059 with a GF Score™ of 69/100 and a GF Value™ of ¥17.65 (Fairly Valued). The stock has 3 warning signs investors should review. Among 704 Capital Markets companies, Cinda Securities Co ranks better than 64.2% 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 -2.51 no higher than -1.78, which implies that the company is unlikely to be a manipulator.

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

SHSE:601059' s Beneish M-Score Range Over the Past 10 Years
Min: -3.26   Med: -2.4   Max: -0.91
Current: -2.51

During the past 13 years, the highest Beneish M-Score of Cinda Securities Co was -0.91. The lowest was -3.26. And the median was -2.40.

SHSE:601059
69GF Score
Cinda Securities Co Ltd SHSE:601059
Beneish M-Score is just one metric. See GF Score™, valuation, warning signs, and more.
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Cinda Securities 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 Cinda Securities 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 * 1.0014+0.892 * 1.2198+0.115 * 1
-0.172 * SGAI+4.679 * TATA-0.327 * LVGI
-0.172 * 0.2968+4.679 * -0.072608-0.327 * 1.0299
=-2.51

* 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 1091.703 + 1022.625 + 974.114 + 1065.546 = ¥4,154 Mil.
Gross Profit was 1091.703 + 1022.625 + 974.114 + 1065.546 = ¥4,154 Mil.
Total Current Assets was ¥0 Mil.
Total Assets was ¥125,912 Mil.
Property, Plant and Equipment(Net PPE) was ¥399 Mil.
Depreciation, Depletion and Amortization(DDA) was ¥0 Mil.
Selling, General, & Admin. Expense(SGA) was ¥145 Mil.
Total Current Liabilities was ¥0 Mil.
Long-Term Debt & Capital Lease Obligation was ¥44,171 Mil.
Net Income was 452.339 + 539.928 + 329.555 + 819.427 = ¥2,141 Mil.
Non Operating Income was 0 + 0 + 0 + 0 = ¥0 Mil.
Cash Flow from Operations was 2227.991 + 3800.217 + -3020.761 + 8276.073 = ¥11,284 Mil.
 Total Receivables was ¥0 Mil.
Revenue was 966.405 + 942.412 + 749.117 + 747.502 = ¥3,405 Mil.
Gross Profit was 966.405 + 942.412 + 749.117 + 747.502 = ¥3,405 Mil.
Total Current Assets was ¥0 Mil.
Total Assets was ¥102,476 Mil.
Property, Plant and Equipment(Net PPE) was ¥468 Mil.
Depreciation, Depletion and Amortization(DDA) was ¥0 Mil.
Selling, General, & Admin. Expense(SGA) was ¥399 Mil.
Total Current Liabilities was ¥0 Mil.
Long-Term Debt & Capital Lease Obligation was ¥34,905 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 / 4153.988) / (0 / 3405.436)
=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)
=(3405.436 / 3405.436) / (4153.988 / 4153.988)
=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 + 399.449) / 125912.037) / (1 - (0 + 467.86) / 102475.575)
=0.996828 / 0.995434
=1.0014

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
=4153.988 / 3405.436
=1.2198

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 + 467.86)) / (0 / (0 + 399.449))
=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)
=(144.514 / 4153.988) / (399.137 / 3405.436)
=0.034789 / 0.117206
=0.2968

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)
=((44170.891 + 0) / 125912.037) / ((34904.618 + 0) / 102475.575)
=0.350808 / 0.340614
=1.0299

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
=(2141.249 - 0 - 11283.52) / 125912.037
=-0.072608

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.

Cinda Securities Co has a M-score of -2.51 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 -2.51 mean?
Cinda Securities Co (SHSE:601059) has a Beneish M-Score of -2.51 as of Jul. 14, 2026. The Beneish M-score measures the likelihood of earnings manipulation. View historical data on Cinda Securities Co and its competitors. According to the industry distribution chart, Cinda Securities Co ranks #252 out of 704 companies in the Capital Markets industry, placing it in the top 35.8%.
Is Cinda Securities Co's Beneish M-Score too high?
Cinda Securities Co's current Beneish M-Score is -2.51. Based on the distribution chart, Cinda Securities Co ranks #252 out of 704 companies in the Capital Markets industry, which is above the industry midpoint. Overall, Cinda Securities Co has a GF Score™ of 69/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does Cinda Securities Co's Beneish M-Score compare to MS and GS?
According to the Capital Markets industry distribution chart, Cinda Securities Co ranks #252 out of 704 companies for Beneish M-Score. This puts Cinda Securities 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 Capital Markets company?
A good Beneish M-Score depends on the Capital Markets 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 Cinda Securities Co and its competitors. Cinda Securities Co's current Beneish M-Score is -2.51. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Cinda Securities Co stock overvalued right now?
Based on GuruFocus' analysis, Cinda Securities Co (SHSE:601059) is currently considered Fairly Valued. The stock's GF Value™ is ¥17.65, compared to a current price of ¥16.46 — trading 6.7% below its estimated fair value. The current Beneish M-Score is -2.51. Cinda Securities Co's overall GF Score™ is 69/100 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 Cinda Securities Co (SHSE:601059), the current Beneish M-Score is -2.51 as of Jul. 14, 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 Cinda Securities Co (SHSE:601059) Overvalued in 2026?

Based on GuruFocus' analysis, Cinda Securities Co stock appears to be undervalued. The current stock price of ¥16.46 is trading 6.7% below its estimated GF Value™ of ¥17.65. GuruFocus considers Cinda Securities Co to be Fairly Valued.

Key valuation signals for SHSE:601059:

  • Beneish M-Score: -2.51
  • GF Value™: ¥17.65 vs. price of ¥16.46 (6.7% below fair value)
  • GF Score™: 69/100 with 3 warning signs

No single metric tells the full story. See the SHSE:601059 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.

Cinda Securities Co Business Description

Address No. 9, Naoshikou Street, Building 1, Courtyard, Xicheng District, Beijing, CHN, 100031
Cinda Securities Co Ltd offers securities services. It provides securities brokerage; securities investment consulting; financial advisors related to securities trading and securities investment activities; securities underwriting and sponsorship; securities self-operation; securities asset management; margin financing and securities lending and agency sales of financial products.
69GF Score

Get the complete analysis for SHSE:601059

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

¥16.46
Price
¥17.65
GF Value