NLB Banka ad (XBLB:VBBB-R-A) Beneish M-Score: -2.51 (As of Jul. 15, 2026)

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What is NLB Banka ad Beneish M-Score?

NLB Banka ad XBLB:VBBB-R-A Beneish M-Score is -2.51 as of Jul. 15, 2026. The stock has 4 warning signs investors should review.

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 NLB Banka ad's Beneish M-Score or its related term are showing as below:

XBLB:VBBB-R-A' s Beneish M-Score Range Over the Past 10 Years
Min: -2.88   Med: -2.49   Max: -2.17
Current: -2.51

During the past 13 years, the highest Beneish M-Score of NLB Banka ad was -2.17. The lowest was -2.88. And the median was -2.49.

NLB Banka ad 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 NLB Banka ad 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 * 0.9989+0.892 * 1.0316+0.115 * 1.1859
-0.172 * SGAI+4.679 * TATA-0.327 * LVGI
-0.172 * 1.1654+4.679 * -0.013132-0.327 * 0.9775
=-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 (Dec25) TTM:Last Year (Dec24) TTM:
Total Receivables was BAM0.0 Mil.
Revenue was BAM114.1 Mil.
Gross Profit was BAM114.1 Mil.
Total Current Assets was BAM0.0 Mil.
Total Assets was BAM2,612.8 Mil.
Property, Plant and Equipment(Net PPE) was BAM48.7 Mil.
Depreciation, Depletion and Amortization(DDA) was BAM4.1 Mil.
Selling, General, & Admin. Expense(SGA) was BAM13.3 Mil.
Total Current Liabilities was BAM0.0 Mil.
Long-Term Debt & Capital Lease Obligation was BAM217.5 Mil.
Net Income was BAM57.3 Mil.
Gross Profit was BAM0.0 Mil.
Cash Flow from Operations was BAM91.7 Mil.
 Total Receivables was BAM0.0 Mil.
Revenue was BAM110.6 Mil.
Gross Profit was BAM110.6 Mil.
Total Current Assets was BAM0.0 Mil.
Total Assets was BAM2,296.4 Mil.
Property, Plant and Equipment(Net PPE) was BAM40.3 Mil.
Depreciation, Depletion and Amortization(DDA) was BAM4.1 Mil.
Selling, General, & Admin. Expense(SGA) was BAM11.1 Mil.
Total Current Liabilities was BAM0.0 Mil.
Long-Term Debt & Capital Lease Obligation was BAM195.6 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 / 114.129) / (0 / 110.635)
=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)
=(110.635 / 110.635) / (114.129 / 114.129)
=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 + 48.726) / 2612.808) / (1 - (0 + 40.277) / 2296.416)
=0.981351 / 0.982461
=0.9989

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
=114.129 / 110.635
=1.0316

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))
=(4.085 / (4.085 + 40.277)) / (4.102 / (4.102 + 48.726))
=0.092083 / 0.077648
=1.1859

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)
=(13.348 / 114.129) / (11.103 / 110.635)
=0.116955 / 0.100357
=1.1654

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)
=((217.519 + 0) / 2612.808) / ((195.577 + 0) / 2296.416)
=0.083251 / 0.085166
=0.9775

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
=(57.346 - 0 - 91.658) / 2612.808
=-0.013132

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.

NLB Banka ad 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?
NLB Banka ad (XBLB:VBBB-R-A) has a Beneish M-Score of -2.51 as of Jul. 15, 2026. The Beneish M-score measures the likelihood of earnings manipulation. View historical data on NLB Banka ad and its competitors.
Is NLB Banka ad's Beneish M-Score too high?
NLB Banka ad's current Beneish M-Score is -2.51.
How does NLB Banka ad's Beneish M-Score compare to competitors?
NLB Banka ad's Beneish M-Score of -2.51 can be compared against companies in the Banks 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 NLB Banka ad and its competitors. NLB Banka ad'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 NLB Banka ad stock overvalued right now?
NLB Banka ad (XBLB:VBBB-R-A) has a current Beneish M-Score of -2.51. The stock's GF Value™ is BAM2,109.54, compared to a current price of BAM6,000.00 — trading 184.4% above its estimated fair value. The current Beneish M-Score is -2.51. 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 NLB Banka ad (XBLB:VBBB-R-A), the current Beneish M-Score is -2.51 as of Jul. 15, 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.

NLB Banka ad Business Description

Address Milan Tepic 4, Banja Luka, BIH, 78000
NLB Banka ad is a banking service provider that operates in Bosnia and Herzegovina. The company is engaged in offering services like retail banking which include retail banking business with private individuals, corporate banking, and financial markets.