TORM (TRMD) Beneish M-Score: -2.32 (As of Jun. 25, 2026)

What is TORM Beneish M-Score?

TORM TRMD -3.48% 73 Beneish M-Score is -2.32 as of Jun. 25, 2026. GuruFocus rates TRMD with a GF Score™ of 73/100 and a GF Value™ of $20.33 (Significantly Overvalued). The stock has 6 warning signs investors should review. Among 822 Oil & Gas companies, TORM ranks worse than 71.53% 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 -2.32 no higher than -1.78, which implies that the company is unlikely to be a manipulator.

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

TRMD' s Beneish M-Score Range Over the Past 10 Years
Min: -1165.85 Med: -2.78 Max: 17.46
Current: -2.32

During the past 13 years, the highest Beneish M-Score of TORM was 17.46. The lowest was -1165.85. And the median was -2.78.

TORM Beneish M-Score Related Terms

TORM Beneish M-Score Historical Data

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The historical data trend for TORM'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.

TORM Beneish M-Score Chart

TORM Annual Data

Trend

Dec16

Dec17

Dec18

Dec19

Dec20

Dec21

Dec22

Dec23

Dec24

Dec25

Beneish M-Score

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-1.98

-0.66

-3.14

-2.77

-2.68

TORM Quarterly Data
	Jun21	Sep21	Dec21	Mar22	Jun22	Sep22	Dec22	Mar23	Jun23	Sep23	Dec23	Mar24	Jun24	Sep24	Dec24	Mar25	Jun25	Sep25	Dec25	Mar26
Beneish M-Score	Get a 7-Day Free Trial															-3.10	-3.22	-2.83	-2.68	-2.32

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

For the Oil & Gas Midstream subindustry, TORM'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.

TORM Beneish M-Score vs Oil & Gas Industry

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

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

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73GF Score

TORM PLC TRMD

Beneish M-Score is just one metric. See GF Score™, valuation, warning signs, and more.

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TORM 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 TORM for today is based on a combination of the following eight different indices:

-4.84

0.92 * DSRI

0.528 * GMI

0.404 * AQI

0.892 * SGI

0.115 * DEPI

-4.84

0.92 * 1.2606

0.528 * 1.0542

0.404 * 1.6464

0.892 * 0.9779

0.115 * 0.9696

0.172 * SGAI

4.679 * TATA

0.327 * LVGI

0.172 * 1.1979

4.679 * -0.062311

0.327 * 0.9206

-2.27

This Year (Mar26) TTM:

Last Year (Mar25) TTM:

Total Receivables was $282 Mil.
Revenue was 402 + 352.6 + 342.6 + 315.2 = $1,412 Mil.
Gross Profit was 227.8 + 196.2 + 183.6 + 158.1 = $766 Mil.
Total Current Assets was $576 Mil.
Total Assets was $3,532 Mil.
Property, Plant and Equipment(Net PPE) was $2,941 Mil.
Depreciation, Depletion and Amortization(DDA) was $221 Mil.
Selling, General, & Admin. Expense(SGA) was $106 Mil.
Total Current Liabilities was $411 Mil.
Long-Term Debt & Capital Lease Obligation was $795 Mil.
Net Income was 122.4 + 86.8 + 77.6 + 58.6 = $345 Mil.
Non Operating Income was 4 + 3.1 + 1.3 + 5.4 = $14 Mil.
Cash Flow from Operations was 135.9 + 135 + 119.5 + 161.3 = $552 Mil.

Total Receivables was $229 Mil.
Revenue was 329.1 + 305.4 + 372.1 + 437.7 = $1,444 Mil.
Gross Profit was 165.4 + 162.8 + 216.7 + 280.5 = $825 Mil.
Total Current Assets was $694 Mil.
Total Assets was $3,487 Mil.
Property, Plant and Equipment(Net PPE) was $2,783 Mil.
Depreciation, Depletion and Amortization(DDA) was $202 Mil.
Selling, General, & Admin. Expense(SGA) was $90 Mil.
Total Current Liabilities was $272 Mil.
Long-Term Debt & Capital Lease Obligation was $1,021 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)
	=	(282.3 / 1412.4)	/	(229 / 1444.3)
	=	0.199873	/	0.158554
	=	1.2606

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)
	=	(825.4 / 1444.3)	/	(765.7 / 1412.4)
	=	0.571488	/	0.542127
	=	1.0542

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 - (575.5 + 2941.29) / 3532.3)	/	(1 - (694.2 + 2783.2) / 3486.7)
	=	0.004391	/	0.002667
	=	1.6464

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
	=	1412.4	/	1444.3
	=	0.9779

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))
	=	(202.2 / (202.2 + 2783.2))	/	(220.9 / (220.9 + 2941.29))
	=	0.06773	/	0.069857
	=	0.9696

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)
	=	(105.9 / 1412.4)	/	(90.4 / 1444.3)
	=	0.074979	/	0.062591
	=	1.1979

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)
	=	((795.1 + 410.9) / 3532.3)	/	((1020.9 + 272.2) / 3486.7)
	=	0.341421	/	0.370866
	=	0.9206

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
	=	(345.4 - 13.8	-	551.7)	/	3532.3
	=	-0.062311

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.

TORM has a M-score of -2.27 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 -2.32 mean?

TORM (TRMD) has a Beneish M-Score of -2.32 as of Jun. 25, 2026. The Beneish M-score measures the likelihood of earnings manipulation. View historical data on TORM and its competitors. According to the industry distribution chart, TORM ranks #588 out of 822 companies in the Oil & Gas industry, placing it in the top 71.5%.

Is TORM's Beneish M-Score too high?

TORM's current Beneish M-Score is -2.32. Based on the distribution chart, TORM ranks #588 out of 822 companies in the Oil & Gas industry, which is below the industry midpoint. Overall, TORM has a GF Score™ of 73/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.

How does TORM's Beneish M-Score compare to WMB and EPD?

According to the Oil & Gas industry distribution chart, TORM ranks #588 out of 822 companies for Beneish M-Score. This places TORM 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 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 TORM and its competitors. TORM's current Beneish M-Score is -2.32. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.

Is TORM stock overvalued right now?

Based on GuruFocus' analysis, TORM (TRMD) is currently considered Significantly Overvalued. The stock's GF Value™ is $20.33, compared to a current price of $27.70 — trading 36.3% above its estimated fair value. The current Beneish M-Score is -2.32. TORM's overall GF Score™ is 73/100 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 TORM (TRMD), the current Beneish M-Score is -2.32 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 TORM (TRMD) Overvalued in 2026?

Based on GuruFocus' analysis, TORM stock appears to be overvalued. The current stock price of $27.70 is trading 36.3% above its estimated GF Value™ of $20.33. GuruFocus considers TORM to be Significantly Overvalued.

Key valuation signals for TRMD:

Beneish M-Score: -2.32
GF Value™: $20.33 vs. price of $27.70 (36.3% above fair value)
GF Score™: 73/100 with 6 warning signs

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

TORM Business Description

Industry Energy Oil & Gas

Comparable Companies OCSE:ATLA DKK TSX:ENB WMB EPD TSX:TRP KMI ET MPLX TRGP OKE LNG VG CQP TSX:PPL SHSE:601872 WES PAA HKSE:01138 DTM TSX:ALA

Other Exchanges TRMDAc:UK 0RG4:UK TRMD A:Denmark 1T4:Germany TRMD:Austria

Address 120 Cannon Street, 4th Floor, London, GBR, EC4N 6AS

Website https://www.torm.com

TORM PLC operates as a shipping company mainly owning and operating a fleet of product tankers. It is engaged in the transportation of refined oil products and clean petroleum products, including gasoline, jet fuel, naphtha, and diesel oil. The Company operates through two segments: the Tanker segment and the Marine Engineering segment, deriving the majority of its revenue from the Tanker segment.

73GF Score

Get the complete analysis for TRMD

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

$27.70

Price

$20.33

GF Value

View TRMD Analysis

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