SOBO (South Bow) Beneish M-Score: -2.68 (As of Jun. 26, 2026)


SOBO South Bow Corp SOBO
15 GF Score
Price $36.57
! 12 Warning Signs
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What is South Bow Beneish M-Score?

South Bow SOBO +2.12% 15 Beneish M-Score is -2.68 as of Jun. 26, 2026. GuruFocus rates SOBO with a GF Score™ of 15/100. The stock has 12 warning signs investors should review. Among 822 Oil & Gas companies, South Bow ranks better than 50.36% 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 -2.68 no higher than -1.78, which implies that the company is unlikely to be a manipulator.

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

SOBO' s Beneish M-Score Range Over the Past 10 Years
Min: -2.68   Med: -2.68   Max: -2.68
Current: -2.68

During the past 3 years, the highest Beneish M-Score of South Bow was -2.68. The lowest was -2.68. And the median was -2.68.

South Bow Beneish M-Score Historical Data

* Premium members only.

The historical data trend for South Bow'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.

South Bow Beneish M-Score Chart

South Bow Annual Data
Trend Dec23 Dec24 Dec25
Beneish M-Score
0.00 0.00 -2.68

South Bow Quarterly Data
Sep23 Dec23 Mar24 Jun24 Sep24 Dec24 Mar25 Jun25 Sep25 Dec25 Mar26
Beneish M-Score Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only 0.00 0.00 0.00 -2.68 0.00

SOBO vs WMB, EPD, KMI: Beneish M-Score Comparison

For the Oil & Gas Midstream subindustry, South Bow'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.

South Bow Beneish M-Score vs Oil & Gas Industry

For the Oil & Gas industry and Energy sector, South Bow's Beneish M-Score distribution charts can be found below:

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


SOBO
15GF Score
South Bow Corp SOBO
Beneish M-Score is just one metric. See GF Score™, valuation, warning signs, and more.
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South Bow 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 South Bow 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 * 1.0087+0.528 * 0.9841+0.404 * 1.0592+0.892 * 0.9368+0.115 * 0.9965
-0.172 * SGAI+4.679 * TATA-0.327 * LVGI
-0.172 * 1+4.679 * -0.031806-0.327 * 0.9626
=-2.65

* 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 $1,184 Mil.
Revenue was $1,986 Mil.
Gross Profit was $1,426 Mil.
Total Current Assets was $2,015 Mil.
Total Assets was $11,193 Mil.
Property, Plant and Equipment(Net PPE) was $8,210 Mil.
Depreciation, Depletion and Amortization(DDA) was $247 Mil.
Selling, General, & Admin. Expense(SGA) was $0 Mil.
Total Current Liabilities was $1,341 Mil.
Long-Term Debt & Capital Lease Obligation was $5,791 Mil.
Net Income was $433 Mil.
Gross Profit was $72 Mil.
Cash Flow from Operations was $717 Mil.
 Total Receivables was $1,253 Mil.
Revenue was $2,120 Mil.
Gross Profit was $1,498 Mil.
Total Current Assets was $2,198 Mil.
Total Assets was $11,329 Mil.
Property, Plant and Equipment(Net PPE) was $8,206 Mil.
Depreciation, Depletion and Amortization(DDA) was $246 Mil.
Selling, General, & Admin. Expense(SGA) was $0 Mil.
Total Current Liabilities was $1,761 Mil.
Long-Term Debt & Capital Lease Obligation was $5,738 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)
=(1184 / 1986) / (1253 / 2120)
=0.596173 / 0.591038
=1.0087

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)
=(1498 / 2120) / (1426 / 1986)
=0.706604 / 0.718026
=0.9841

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 - (2015 + 8210) / 11193) / (1 - (2198 + 8206) / 11329)
=0.086483 / 0.081649
=1.0592

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
=1986 / 2120
=0.9368

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))
=(246 / (246 + 8206)) / (247 / (247 + 8210))
=0.029106 / 0.029207
=0.9965

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)
=(0 / 1986) / (0 / 2120)
=0 / 0
=1

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)
=((5791 + 1341) / 11193) / ((5738 + 1761) / 11329)
=0.637184 / 0.66193
=0.9626

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
=(433 - 72 - 717) / 11193
=-0.031806

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.

South Bow has a M-score of -2.65 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 -2.68 mean?
South Bow (SOBO) has a Beneish M-Score of -2.68 as of Jun. 26, 2026. The Beneish M-score measures the likelihood of earnings manipulation. View historical data on South Bow and its competitors. According to the industry distribution chart, South Bow ranks #408 out of 822 companies in the Oil & Gas industry, placing it in the top 49.6%.
Is South Bow's Beneish M-Score too high?
South Bow's current Beneish M-Score is -2.68. Based on the distribution chart, South Bow ranks #408 out of 822 companies in the Oil & Gas industry, which is above the industry midpoint. Overall, South Bow has a GF Score™ of 15/100, reflecting its overall financial health beyond just this single metric.
How does South Bow's Beneish M-Score compare to WMB and EPD?
According to the Oil & Gas industry distribution chart, South Bow ranks #408 out of 822 companies for Beneish M-Score. This puts South Bow 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 an Oil & Gas company?
A good Beneish M-Score depends on the Oil & Gas 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 South Bow and its competitors. South Bow's current Beneish M-Score is -2.68. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is South Bow stock overvalued right now?
South Bow (SOBO) has a current Beneish M-Score of -2.68. The current Beneish M-Score is -2.68. South Bow's overall GF Score™ is 15/100 with 12 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 South Bow (SOBO), the current Beneish M-Score is -2.68 as of Jun. 26, 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.

South Bow Business Description

Industry EnergyOil & Gas
Other Exchanges SOBO:Canada
Address 707, 5 Street SW, Suite 900, Calgary, AB, CAN, T2P 1V8
South Bow Corp is a energy infrastructure company. The company is engaged in constructing pipelines system safely transports liquids like crude oil, across Canadian provinces, U.S. states, and Gulf coasts. It has three reportable segments: Keystone Pipeline System, Marketing, and Intra-Alberta & Other. It derives maximum revenue from Keystone Pipeline System segment. The company's projects and pipelines include: Blackrod connection project; Grand Rapids Pipeline System; Marketlink Pipeline System; Keystone Pipeline System; Port Neches Link; and White Spruce Pipeline System.
15GF Score

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

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