Union Bank of Taiwan (TPE:2838) Beneish M-Score: -2.36 (As of Jun. 25, 2026)


TPE:2838 Union Bank of Taiwan TPE:2838
80 GF Score
Price NT$22.55
GF Value NT$16.25
Valuation Significantly Overvalued
! 6 Warning Signs
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What is Union Bank of Taiwan Beneish M-Score?

Union Bank of Taiwan TPE:2838 -0.88% 80 Beneish M-Score is -2.36 as of Jun. 25, 2026. GuruFocus rates TPE:2838 with a GF Score™ of 80/100 and a GF Value™ of NT$16.25 (Significantly Overvalued). The stock has 6 warning signs investors should review. Among 1,396 Banks companies, Union Bank of Taiwan ranks worse than 56.88% 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 -2.36 no higher than -1.78, which implies that the company is unlikely to be a manipulator.

The historical rank and industry rank for Union Bank of Taiwan's Beneish M-Score or its related term are showing as below:

TPE:2838' s Beneish M-Score Range Over the Past 10 Years
Min: -2.75   Med: -2.36   Max: -2.06
Current: -2.36

During the past 13 years, the highest Beneish M-Score of Union Bank of Taiwan was -2.06. The lowest was -2.75. And the median was -2.36.

TPE:2838
80GF Score
Union Bank of Taiwan TPE:2838
Beneish M-Score is just one metric. See GF Score™, valuation, warning signs, and more.
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Union Bank of Taiwan 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 Union Bank of Taiwan 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 * 0.9995+0.892 * 1.0725+0.115 * 1.0745
-0.172 * SGAI+4.679 * TATA-0.327 * LVGI
-0.172 * 0.9354+4.679 * 0.015971-0.327 * 1.1119
=-2.36

* 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 NT$0 Mil.
Revenue was 5239.668 + 5467.51 + 4811.256 + 4679.758 = NT$20,198 Mil.
Gross Profit was 5239.668 + 5467.51 + 4811.256 + 4679.758 = NT$20,198 Mil.
Total Current Assets was NT$0 Mil.
Total Assets was NT$1,057,688 Mil.
Property, Plant and Equipment(Net PPE) was NT$19,530 Mil.
Depreciation, Depletion and Amortization(DDA) was NT$2,786 Mil.
Selling, General, & Admin. Expense(SGA) was NT$4,581 Mil.
Total Current Liabilities was NT$0 Mil.
Long-Term Debt & Capital Lease Obligation was NT$9,018 Mil.
Net Income was 1623.88 + 1821.818 + 1449.682 + 1206.352 = NT$6,102 Mil.
Non Operating Income was 0 + 0 + 0 + 0 = NT$0 Mil.
Cash Flow from Operations was -13522.986 + -8371.893 + 7271.885 + 3831.887 = NT$-10,791 Mil.
 Total Receivables was NT$0 Mil.
Revenue was 4336.064 + 5080.234 + 4768.961 + 4647.261 = NT$18,833 Mil.
Gross Profit was 4336.064 + 5080.234 + 4768.961 + 4647.261 = NT$18,833 Mil.
Total Current Assets was NT$0 Mil.
Total Assets was NT$995,457 Mil.
Property, Plant and Equipment(Net PPE) was NT$17,852 Mil.
Depreciation, Depletion and Amortization(DDA) was NT$2,766 Mil.
Selling, General, & Admin. Expense(SGA) was NT$4,566 Mil.
Total Current Liabilities was NT$0 Mil.
Long-Term Debt & Capital Lease Obligation was NT$7,633 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 / 20198.192) / (0 / 18832.52)
=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)
=(18832.52 / 18832.52) / (20198.192 / 20198.192)
=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 + 19529.98) / 1057688.027) / (1 - (0 + 17852.209) / 995457.466)
=0.981535 / 0.982066
=0.9995

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
=20198.192 / 18832.52
=1.0725

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))
=(2766.241 / (2766.241 + 17852.209)) / (2786.347 / (2786.347 + 19529.98))
=0.134163 / 0.124857
=1.0745

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)
=(4580.837 / 20198.192) / (4565.861 / 18832.52)
=0.226794 / 0.242446
=0.9354

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)
=((9017.527 + 0) / 1057688.027) / ((7633.111 + 0) / 995457.466)
=0.008526 / 0.007668
=1.1119

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
=(6101.732 - 0 - -10791.107) / 1057688.027
=0.015971

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.

Union Bank of Taiwan has a M-score of -2.36 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 -2.36 mean?
Union Bank of Taiwan (TPE:2838) has a Beneish M-Score of -2.36 as of Jun. 25, 2026. The Beneish M-score measures the likelihood of earnings manipulation. View historical data on Union Bank of Taiwan and its competitors. According to the industry distribution chart, Union Bank of Taiwan ranks #794 out of 1396 companies in the Banks industry, placing it in the top 56.9%.
Is Union Bank of Taiwan's Beneish M-Score too high?
Union Bank of Taiwan's current Beneish M-Score is -2.36. Based on the distribution chart, Union Bank of Taiwan ranks #794 out of 1396 companies in the Banks industry, which is below the industry midpoint. Overall, Union Bank of Taiwan has a GF Score™ of 80/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Union Bank of Taiwan's Beneish M-Score compare to competitors?
According to the Banks industry distribution chart, Union Bank of Taiwan ranks #794 out of 1396 companies for Beneish M-Score. This places Union Bank of Taiwan in the lower 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 Banks company?
A good Beneish M-Score depends on the Banks 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 Union Bank of Taiwan and its competitors. Union Bank of Taiwan's current Beneish M-Score is -2.36. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Union Bank of Taiwan stock overvalued right now?
Based on GuruFocus' analysis, Union Bank of Taiwan (TPE:2838) is currently considered Significantly Overvalued. The stock's GF Value™ is NT$16.25, compared to a current price of NT$22.55 — trading 38.8% above its estimated fair value. The current Beneish M-Score is -2.36. Union Bank of Taiwan's overall GF Score™ is 80/100 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 Union Bank of Taiwan (TPE:2838), the current Beneish M-Score is -2.36 as of Jun. 25, 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 Union Bank of Taiwan (TPE:2838) Overvalued in 2026?

Based on GuruFocus' analysis, Union Bank of Taiwan stock appears to be overvalued. The current stock price of NT$22.55 is trading 38.8% above its estimated GF Value™ of NT$16.25. GuruFocus considers Union Bank of Taiwan to be Significantly Overvalued.

Key valuation signals for TPE:2838:

  • Beneish M-Score: -2.36
  • GF Value™: NT$16.25 vs. price of NT$22.55 (38.8% above fair value)
  • GF Score™: 80/100 with 6 warning signs

No single metric tells the full story. See the TPE:2838 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.

Union Bank of Taiwan Business Description

Other Exchanges 2838A.PFD:Taiwan
Address Minsheng East Road, 1st Floor, 2nd Floor, No. 109, Section 3, Songshan District, Taipei, TWN, 105
Union Bank of Taiwan mainly engaged in activities allowed under the Banking Law, which cover deposits, loans, discounts, remittances, acceptances, issuance of guarantees and letters of credit, short-term bills transactions, investments, foreign exchange transactions, savings, trust, etc. The company's reportable segments are Corporate banking unit consist Corporate banking, foreign exchange business, debt management and public treasury business; Consumer banking unit consider financial management and loan business, credit card business and car-loan business; Wealth management and trust unit; Investing unit; and Leasing unit. The majority of revenue comes from Consumer banking. The Company's operations are mainly in Taiwan.
80GF Score

Get the complete analysis for TPE:2838

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

NT$22.55
Price
NT$16.25
GF Value