Caprihans India (509486)

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

Key Financials

Strengths

• Price-to-book of 0.41 offers tangible asset cover: ₹350 book value per share against ₹144.80 price.
• Market cap of ₹191 Cr is well below the implied book equity, providing a potential margin of safety if assets are worth book value.
• ROCE of 0.78% suggests operations are not entirely value-destructive at the capital-employed level.
• Recovery from ₹50.30 to ₹144.80 shows market interest and possible repositioning or turnaround expectations.
• Latest quarter sales of ₹173 Cr indicate meaningful operating scale relative to market cap.

Concerns

• Latest quarter net loss of ₹16 Cr and negative P/E; ROE is -11.71%, so shareholder capital is eroding.
• Sales growth is -9.26% and profit growth -65.97%, indicating continued business contraction.
• Piotroski F-Score of 3/9 signals weak financial health and poor operational fundamentals.
• Zero dividend and missing debt-equity data leave limited near-term return or leverage assessment.

AI Analysis

At ₹144.80, Caprihans India offers a share of a business whose book value is ₹350 per share—a 59% discount. The margin of safety in assets is real. But Graham taught me that a good price can be undone by a poor business. This is a plastic products company with no earnings to capitalise: P/E is meaningless because the latest quarter lost ₹16 Cr on sales of ₹173 Cr. Return on equity is deeply negative at -11.71%, and profit growth has collapsed by 65.97%. Sales are shrinking at 9.26%, so the asset base is not being deployed profitably. ROCE of just 0.78% confirms that operations barely earn above break-even. The Piotroski score of 3/9 reinforces weak fundamentals; this is a company in financial stress, not compounding. The stock sits at its 52-week high of ₹144.80 after trading at ₹50.30, so Mr. Market has already anticipated some restoration. Yet no dividend and zero earnings mean minority shareholders depend on a future turnaround. I would need evidence of improved margins and stabilising sales before calling this a Graham bargain. In the classic sense, it is an asset play: paying 41 paise per rupee of book value. But book value must be monetised or made productive; otherwise, the discount can persist or widen. Management quality is key. I cannot assess promoter holding from available data, so I must demand a large margin of safety and visible catalysts. This is an interesting watchlist candidate, not yet an investment.

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