LPI Capital Bhd (XKLS:8621) Beneish M-Score: -3.47 (As of Jun. 27, 2026)


XKLS:8621 LPI Capital Bhd XKLS:8621
79 GF Score
Price RM15.10
GF Value RM16.24
Valuation Fairly Valued
! 4 Warning Signs
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What is LPI Capital Bhd Beneish M-Score?

LPI Capital Bhd XKLS:8621 79 Beneish M-Score is -3.47 as of Jun. 27, 2026. GuruFocus rates XKLS:8621 with a GF Score™ of 79/100 and a GF Value™ of RM16.24 (Fairly Valued). The stock has 4 warning signs investors should review. Among 397 Insurance companies, LPI Capital Bhd ranks better than 92.19% 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 -3.47 no higher than -1.78, which implies that the company is unlikely to be a manipulator.

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

XKLS:8621' s Beneish M-Score Range Over the Past 10 Years
Min: -3.63   Med: -2.46   Max: -1.78
Current: -3.47

During the past 13 years, the highest Beneish M-Score of LPI Capital Bhd was -1.78. The lowest was -3.63. And the median was -2.46.

XKLS:8621
79GF Score
LPI Capital Bhd XKLS:8621
Beneish M-Score is just one metric. See GF Score™, valuation, warning signs, and more.
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LPI Capital Bhd 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 LPI Capital Bhd 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+0.528 * 1+0.404 * 1.0008+0.892 * 1.051+0.115 * 0.9853
-0.172 * SGAI+4.679 * TATA-0.327 * LVGI
-0.172 * 1+4.679 * -0.030723-0.327 * 0.9104
=-3.47

* 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 (Mar26) TTM:Last Year (Mar25) TTM:
Total Receivables was RM0 Mil.
Revenue was 384.898 + 366.986 + 397.396 + 366.398 = RM1,516 Mil.
Gross Profit was 384.898 + 366.986 + 397.396 + 366.398 = RM1,516 Mil.
Total Current Assets was RM0 Mil.
Total Assets was RM4,829 Mil.
Property, Plant and Equipment(Net PPE) was RM35 Mil.
Depreciation, Depletion and Amortization(DDA) was RM11 Mil.
Selling, General, & Admin. Expense(SGA) was RM0 Mil.
Total Current Liabilities was RM0 Mil.
Long-Term Debt & Capital Lease Obligation was RM34 Mil.
Net Income was 99.538 + 71.806 + 114.831 + 83.17 = RM369 Mil.
Non Operating Income was 0 + 0 + 0 + 0 = RM0 Mil.
Cash Flow from Operations was 246.489 + 118.825 + 30.645 + 121.751 = RM518 Mil.
 Total Receivables was RM2 Mil.
Revenue was 373.027 + 351.728 + 376.055 + 341.338 = RM1,442 Mil.
Gross Profit was 373.027 + 351.728 + 376.055 + 341.338 = RM1,442 Mil.
Total Current Assets was RM0 Mil.
Total Assets was RM4,594 Mil.
Property, Plant and Equipment(Net PPE) was RM37 Mil.
Depreciation, Depletion and Amortization(DDA) was RM11 Mil.
Selling, General, & Admin. Expense(SGA) was RM0 Mil.
Total Current Liabilities was RM0 Mil.
Long-Term Debt & Capital Lease Obligation was RM35 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 / 1515.678) / (2 / 1442.148)
=0 / 0.001387
=0

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)
=(1442.148 / 1442.148) / (1515.678 / 1515.678)
=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 + 35.459) / 4829.047) / (1 - (0 + 37.495) / 4593.882)
=0.992657 / 0.991838
=1.0008

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
=1515.678 / 1442.148
=1.051

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))
=(11.221 / (11.221 + 37.495)) / (10.819 / (10.819 + 35.459))
=0.230335 / 0.233783
=0.9853

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 / 1515.678) / (0 / 1442.148)
=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)
=((33.658 + 0) / 4829.047) / ((35.172 + 0) / 4593.882)
=0.00697 / 0.007656
=0.9104

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
=(369.345 - 0 - 517.71) / 4829.047
=-0.030723

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.

LPI Capital Bhd has a M-score of -3.47 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 -3.47 mean?
LPI Capital Bhd (XKLS:8621) has a Beneish M-Score of -3.47 as of Jun. 27, 2026. The Beneish M-score measures the likelihood of earnings manipulation. View historical data on LPI Capital Bhd and its competitors. According to the industry distribution chart, LPI Capital Bhd ranks #31 out of 397 companies in the Insurance industry, placing it in the top 7.8%.
Is LPI Capital Bhd's Beneish M-Score too high?
LPI Capital Bhd's current Beneish M-Score is -3.47. Based on the distribution chart, LPI Capital Bhd ranks #31 out of 397 companies in the Insurance industry, which is in the top quartile — a strong position relative to peers. Overall, LPI Capital Bhd has a GF Score™ of 79/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does LPI Capital Bhd's Beneish M-Score compare to CB and PGR?
According to the Insurance industry distribution chart, LPI Capital Bhd ranks #31 out of 397 companies for Beneish M-Score. This places LPI Capital Bhd in the top 8% of its industry — outperforming the majority of peers. 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 Insurance company?
A good Beneish M-Score depends on the Insurance 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 LPI Capital Bhd and its competitors. LPI Capital Bhd's current Beneish M-Score is -3.47. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is LPI Capital Bhd stock overvalued right now?
Based on GuruFocus' analysis, LPI Capital Bhd (XKLS:8621) is currently considered Fairly Valued. The stock's GF Value™ is RM16.24, compared to a current price of RM15.10 — trading 7% below its estimated fair value. The current Beneish M-Score is -3.47. LPI Capital Bhd's overall GF Score™ is 79/100 with 4 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 LPI Capital Bhd (XKLS:8621), the current Beneish M-Score is -3.47 as of Jun. 27, 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 LPI Capital Bhd (XKLS:8621) Overvalued in 2026?

Based on GuruFocus' analysis, LPI Capital Bhd stock appears to be undervalued. The current stock price of RM15.10 is trading 7% below its estimated GF Value™ of RM16.24. GuruFocus considers LPI Capital Bhd to be Fairly Valued.

Key valuation signals for XKLS:8621:

  • Beneish M-Score: -3.47
  • GF Value™: RM16.24 vs. price of RM15.10 (7% below fair value)
  • GF Score™: 79/100 with 4 warning signs

No single metric tells the full story. See the XKLS:8621 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.

LPI Capital Bhd Business Description

Address 6, Jalan Sultan Sulaiman, 6th Floor, Bangunan Public Bank, Kuala Lumpur, SGR, MYS, 50000
LPI Capital Bhd is principally engaged in investment holding activities. The company comprises the following main business segments: i) General insurance - Underwriting of all classes of general insurance business, mainly carried out by Lonpac Insurance Bhd, ii) Investment holding - Investment holding operations, mainly carried out by LPI Capital Bhd. The majority of the revenue is derived from the General insurance segment. Geographically, it generates the maximum revenue from Malaysia.
79GF Score

Get the complete analysis for XKLS:8621

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

RM15.10
Price
RM16.24
GF Value