AEON Financial Service Co (TSE:8570) Beneish M-Score: -2.60 (As of Sep. 19, 2026)

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TSE:8570 AEON Financial Service Co Ltd TSE:8570
73 GF Score
Price 円1,626.00
GF Value 円1,734.32
Valuation Fairly Valued
! 6 Warning Signs
View Full Analysis

What is AEON Financial Service Co Beneish M-Score?

AEON Financial Service Co TSE:8570 -1.12% 73 Beneish M-Score is -2.60 as of Sep. 19, 2026. GuruFocus rates TSE:8570 with a GF Score™ of 73/100 and a GF Value™ of 円1,734.32 (Fairly Valued). The stock has 6 warning signs investors should review. Among 493 Credit Services companies, AEON Financial Service Co ranks better than 73.23% 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 -2.6 no higher than -1.78, which implies that the company is unlikely to be a manipulator.

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

TSE:8570' s Beneish M-Score Range Over the Past 10 Years
Min: -2.6   Med: -2.56   Max: -2.31
Current: -2.6

During the past 13 years, the highest Beneish M-Score of AEON Financial Service Co was -2.31. The lowest was -2.60. And the median was -2.56.

TSE:8570
73GF Score
AEON Financial Service Co Ltd TSE:8570
Beneish M-Score is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

AEON Financial Service 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 AEON Financial Service 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 * 0.9733+0.528 * 1.0378+0.404 * 0.9983+0.892 * 1.0713+0.115 * 1.0549
-0.172 * SGAI+4.679 * TATA-0.327 * LVGI
-0.172 * 1.0034+4.679 * -0.039245-0.327 * 1.0037
=-2.60

* 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 (Feb26) TTM:Last Year (Feb25) TTM:
Total Receivables was 円5,544,415 Mil.
Revenue was 円549,946 Mil.
Gross Profit was 円475,024 Mil.
Total Current Assets was 円7,954,031 Mil.
Total Assets was 円8,313,956 Mil.
Property, Plant and Equipment(Net PPE) was 円40,867 Mil.
Depreciation, Depletion and Amortization(DDA) was 円33,988 Mil.
Selling, General, & Admin. Expense(SGA) was 円215,044 Mil.
Total Current Liabilities was 円1,247,191 Mil.
Long-Term Debt & Capital Lease Obligation was 円6,399,463 Mil.
Net Income was 円21,093 Mil.
Gross Profit was 円 Mil.
Cash Flow from Operations was 円347,374 Mil.
 Total Receivables was 円5,317,019 Mil.
Revenue was 円513,334 Mil.
Gross Profit was 円460,167 Mil.
Total Current Assets was 円7,423,813 Mil.
Total Assets was 円7,756,492 Mil.
Property, Plant and Equipment(Net PPE) was 円34,512 Mil.
Depreciation, Depletion and Amortization(DDA) was 円31,725 Mil.
Selling, General, & Admin. Expense(SGA) was 円200,055 Mil.
Total Current Liabilities was 円1,091,987 Mil.
Long-Term Debt & Capital Lease Obligation was 円6,015,589 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)
=(5544415 / 549946) / (5317019 / 513334)
=10.081744 / 10.357816
=0.9733

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)
=(460167 / 513334) / (475024 / 549946)
=0.896428 / 0.863765
=1.0378

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 - (7954031 + 40867) / 8313956) / (1 - (7423813 + 34512) / 7756492)
=0.038376 / 0.038441
=0.9983

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
=549946 / 513334
=1.0713

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))
=(31725 / (31725 + 34512)) / (33988 / (33988 + 40867))
=0.478962 / 0.454051
=1.0549

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)
=(215044 / 549946) / (200055 / 513334)
=0.391027 / 0.389717
=1.0034

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)
=((6399463 + 1247191) / 8313956) / ((6015589 + 1091987) / 7756492)
=0.919737 / 0.916339
=1.0037

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
=(21093 - 0 - 347374) / 8313956
=-0.039245

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.

AEON Financial Service Co has a M-score of -2.60 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 -2.60 mean?
AEON Financial Service Co (TSE:8570) has a Beneish M-Score of -2.60 as of Sep. 19, 2026. The Beneish M-score measures the likelihood of earnings manipulation. View historical data on AEON Financial Service Co and its competitors. According to the industry distribution chart, AEON Financial Service Co ranks #132 out of 493 companies in the Credit Services industry, placing it in the top 26.8%.
Is AEON Financial Service Co's Beneish M-Score too high?
AEON Financial Service Co's current Beneish M-Score is -2.60. Based on the distribution chart, AEON Financial Service Co ranks #132 out of 493 companies in the Credit Services industry, which is above the industry midpoint. Overall, AEON Financial Service Co has a GF Score™ of 73/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does AEON Financial Service Co's Beneish M-Score compare to V and MA?
According to the Credit Services industry distribution chart, AEON Financial Service Co ranks #132 out of 493 companies for Beneish M-Score. This puts AEON Financial Service 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 Credit Services company?
A good Beneish M-Score depends on the Credit 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 AEON Financial Service Co and its competitors. AEON Financial Service Co's current Beneish M-Score is -2.60. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is AEON Financial Service Co stock overvalued right now?
Based on GuruFocus' analysis, AEON Financial Service Co (TSE:8570) is currently considered Fairly Valued. The stock's GF Value™ is 円1,734.32, compared to a current price of 円1,626.00 — trading 6.2% below its estimated fair value. The current Beneish M-Score is -2.60. AEON Financial Service Co'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 AEON Financial Service Co (TSE:8570), the current Beneish M-Score is -2.60 as of Sep. 19, 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 AEON Financial Service Co (TSE:8570) Overvalued in 2026?

Based on GuruFocus' analysis, AEON Financial Service Co stock appears to be undervalued. The current stock price of 円1,626.00 is trading 6.2% below its estimated GF Value™ of 円1,734.32. GuruFocus considers AEON Financial Service Co to be Fairly Valued.

Key valuation signals for TSE:8570:

  • Beneish M-Score: -2.60
  • GF Value™: 円1,734.32 vs. price of 円1,626.00 (6.2% below fair value)
  • GF Score™: 73/100 with 6 warning signs

No single metric tells the full story. See the TSE:8570 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.

AEON Financial Service Co Business Description

Address 1-1 Kanda Nishikicho, Chiyoda-ku, Tokyo, JPN
AEON Financial Service Co Ltd is a comprehensive financial group consisting of a bank holding company and its subsidiaries, which grew out of Aeon Group's retail operations. It currently operates a network of hundreds of sales bases throughout Asia, particularly in Japan, China, Thailand, and Malaysia. The bank provides various financial services, payment services, housing loans, deposits, installment sales, and overseas services to customers through points of sale closely linked to community lifestyles. These include shopping centers and retail malls, convenience stores, and specialty stores, among others. Net fee and commission income is the company's main source of net revenue.
73GF Score

Get the complete analysis for TSE:8570

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

円1,626.00
Price
円1,734.32
GF Value