Machhapuchchhre Bank (XNEP:MBL) Beneish M-Score: -2.37 (As of Jun. 29, 2026)


XNEP:MBL Machhapuchchhre Bank Ltd XNEP:MBL
72 GF Score
Price NPR240.50
GF Value NPR252.21
Valuation Fairly Valued
! 1 Warning Sign
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What is Machhapuchchhre Bank Beneish M-Score?

Machhapuchchhre Bank XNEP:MBL -1.03% 72 Beneish M-Score is -2.37 as of Jun. 29, 2026. GuruFocus rates XNEP:MBL with a GF Score™ of 72/100 and a GF Value™ of NPR252.21 (Fairly Valued). The stock has 1 warning sign investors should review. Among 1,399 Banks companies, Machhapuchchhre Bank ranks worse than 55.54% 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 -2.37 no higher than -1.78, which implies that the company is unlikely to be a manipulator.

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

XNEP:MBL' s Beneish M-Score Range Over the Past 10 Years
Min: -2.91   Med: -2.38   Max: -2.05
Current: -2.37

During the past 13 years, the highest Beneish M-Score of Machhapuchchhre Bank was -2.05. The lowest was -2.91. And the median was -2.38.

XNEP:MBL
72GF Score
Machhapuchchhre Bank Ltd XNEP:MBL
Beneish M-Score is just one metric. See GF Score™, valuation, warning signs, and more.
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Machhapuchchhre Bank 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 Machhapuchchhre Bank 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 * 1.0019+0.892 * 1.2198+0.115 * 0.9686
-0.172 * SGAI+4.679 * TATA-0.327 * LVGI
-0.172 * 0.8558+4.679 * -0.027901-0.327 * 0.9353
=-2.37

* 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 (Jul25) TTM:Last Year (Jul24) TTM:
Total Receivables was NPR0 Mil.
Revenue was NPR7,836 Mil.
Gross Profit was NPR7,836 Mil.
Total Current Assets was NPR0 Mil.
Total Assets was NPR217,553 Mil.
Property, Plant and Equipment(Net PPE) was NPR2,384 Mil.
Depreciation, Depletion and Amortization(DDA) was NPR428 Mil.
Selling, General, & Admin. Expense(SGA) was NPR619 Mil.
Total Current Liabilities was NPR0 Mil.
Long-Term Debt & Capital Lease Obligation was NPR9,665 Mil.
Net Income was NPR1,890 Mil.
Gross Profit was NPR0 Mil.
Cash Flow from Operations was NPR7,960 Mil.
 Total Receivables was NPR0 Mil.
Revenue was NPR6,425 Mil.
Gross Profit was NPR6,425 Mil.
Total Current Assets was NPR0 Mil.
Total Assets was NPR189,518 Mil.
Property, Plant and Equipment(Net PPE) was NPR2,441 Mil.
Depreciation, Depletion and Amortization(DDA) was NPR422 Mil.
Selling, General, & Admin. Expense(SGA) was NPR593 Mil.
Total Current Liabilities was NPR0 Mil.
Long-Term Debt & Capital Lease Obligation was NPR9,002 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 / 7836.425) / (0 / 6424.58)
=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)
=(6424.58 / 6424.58) / (7836.425 / 7836.425)
=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 + 2384.145) / 217553.265) / (1 - (0 + 2441.084) / 189518.263)
=0.989041 / 0.98712
=1.0019

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
=7836.425 / 6424.58
=1.2198

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))
=(422.288 / (422.288 + 2441.084)) / (428.203 / (428.203 + 2384.145))
=0.147479 / 0.152258
=0.9686

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)
=(619.154 / 7836.425) / (593.156 / 6424.58)
=0.07901 / 0.092326
=0.8558

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)
=((9665.383 + 0) / 217553.265) / ((9002.148 + 0) / 189518.263)
=0.044428 / 0.0475
=0.9353

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
=(1890.497 - 0 - 7960.36) / 217553.265
=-0.027901

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.

Machhapuchchhre Bank has a M-score of -2.37 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 -2.37 mean?
Machhapuchchhre Bank (XNEP:MBL) has a Beneish M-Score of -2.37 as of Jun. 29, 2026. The Beneish M-score measures the likelihood of earnings manipulation. View historical data on Machhapuchchhre Bank and its competitors. According to the industry distribution chart, Machhapuchchhre Bank ranks #777 out of 1399 companies in the Banks industry, placing it in the top 55.5%.
Is Machhapuchchhre Bank's Beneish M-Score too high?
Machhapuchchhre Bank's current Beneish M-Score is -2.37. Based on the distribution chart, Machhapuchchhre Bank ranks #777 out of 1399 companies in the Banks industry, which is below the industry midpoint. Overall, Machhapuchchhre Bank has a GF Score™ of 72/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does Machhapuchchhre Bank's Beneish M-Score compare to competitors?
According to the Banks industry distribution chart, Machhapuchchhre Bank ranks #777 out of 1399 companies for Beneish M-Score. This places Machhapuchchhre Bank 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 Machhapuchchhre Bank and its competitors. Machhapuchchhre Bank's current Beneish M-Score is -2.37. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Machhapuchchhre Bank stock overvalued right now?
Based on GuruFocus' analysis, Machhapuchchhre Bank (XNEP:MBL) is currently considered Fairly Valued. The stock's GF Value™ is NPR252.21, compared to a current price of NPR240.50 — trading 4.6% below its estimated fair value. The current Beneish M-Score is -2.37. Machhapuchchhre Bank's overall GF Score™ is 72/100 with 1 warning sign 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 Machhapuchchhre Bank (XNEP:MBL), the current Beneish M-Score is -2.37 as of Jun. 29, 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 Machhapuchchhre Bank (XNEP:MBL) Overvalued in 2026?

Based on GuruFocus' analysis, Machhapuchchhre Bank stock appears to be undervalued. The current stock price of NPR240.50 is trading 4.6% below its estimated GF Value™ of NPR252.21. GuruFocus considers Machhapuchchhre Bank to be Fairly Valued.

Key valuation signals for XNEP:MBL:

  • Beneish M-Score: -2.37
  • GF Value™: NPR252.21 vs. price of NPR240.50 (4.6% below fair value)
  • GF Score™: 72/100 with 1 warning sign

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

Machhapuchchhre Bank Business Description

Address Lazimpat, MBL Tower, Kathmandu, NPL, 12427
Machhapuchchhre Bank Ltd provides commercial banking services in Nepal. Its products and services cover deposits, loans, visa debit cards, mobile money, SME banking, remittance services, ATM services, internet banking, locker facility, and trade products. The bank also launched loan products for small-scale farmers, youths, and women entrepreneurs involved in small businesses. Its operating segment includes Banking, Treasury; Transaction Banking and Others. The company generates maximum revenue from the Banking segment.
72GF Score

Get the complete analysis for XNEP:MBL

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

NPR240.50
Price
NPR252.21
GF Value