Samtel (India) (500371)

Score breakdown: P/E: 0/3 · ROCE: 0/2 · Growth: 2/2 · Dividend: 0/1

Key Financials

Strengths

• Positive book value of ₹2.58 per share provides a tangible asset floor, though price is far above it.
• Piotroski F-Score of 5/9 suggests some recent improvement in financial health, not a complete failure.
• Reported annual profit growth of 366.67% indicates possible cost control or one-off gains, even if the base is weak.

Concerns

• Latest quarter sales and net profit are both ₹0 crore, meaning there is no current operating earnings stream to analyse.
• ROE of -26.76% and ROCE of -2.01% show ongoing capital destruction rather than value creation.
• Price-to-book of 5.56 means paying ₹14.35 for every ₹2.58 of book value—no margin of safety.
• Dividend yield is zero, promoter holding is N/A, and crucial information is missing for a tiny ₹10 crore market cap company.

AI Analysis

I approach Samtel (India) the way I approach any business: a rupee today is worth more than a rupee tomorrow, and I must be certain the rupee I put in will grow. At ₹14.35, with book value at ₹2.58, the market values this company at 5.56 times equity. What do I get for that premium? ROE is -26.76%, ROCE is -2.01%. That means every rupee of retained capital is earning deeply negative returns. This is the opposite of compound interest. The latest quarter shows sales of ₹0 crore and net profit of ₹0 crore. A business with no revenue cannot be valued on earnings; the reported 366.67% profit growth is an arithmetic artifact, not evidence of a franchise. There is no dividend yield, no sales growth, and promoter holding is not disclosed. Graham would say the margin of safety is the central plank of investment. Here price is ₹14.35 against book value of ₹2.58, so I would be paying a large premium to a shrinking asset base. The Piotroski F-Score of 5/9 offers some mild comfort, but it is far from the strength I need. This is not a stalwart, not a fast grower, and not even a cheap asset play. It might be a speculative turnaround if operations restart and capital allocation improves. But a retail investor should not confuse hope with evidence. The market cap is only ₹10 crore; that makes the stock thin and easily moved. My rule is to know what I own. I do not know what Samtel owns or earns. At ₹14.35, I would rather pass and wait for a clear, profitable, honestly valued opportunity.

Data from BSE/NSE filings. AI analysis is for educational purposes only — not investment advice. Scoring methodology · Disclaimer