Dec.Gold Mines (512068)
TurnaroundFairStock Score: 6/100 — RISKY
Score breakdown: P/E: 0/3 · ROCE: 0/2 · Growth: 1/2 · Dividend: 0/1
Key Financials
| Current Price | ₹109 |
| Market Cap | ₹1,678.1 Cr |
| P/E Ratio | 0 |
| ROCE | -21.11% |
| ROE | -12.28% |
| Dividend Yield | 0% |
| Profit Growth | 10.08% |
| Debt/Equity | — |
| Sales Growth | 31.78% |
| 52-Week Range | ₹83.75 — ₹159 |
| Sector | Non - Ferrous Metals |
| Book Value | ₹16.06 |
Strengths
- Sales growth of 31.78% indicates some business momentum, though off a tiny base.
- Piotroski F-Score of 6/9 suggests modest financial health improvements.
- Market cap of ₹1,678 Cr shows investor interest and liquidity in the stock.
- Operating in precious metals provides optionality if metal prices rise.
Concerns
- Latest quarter shows ₹1 Cr sales and ₹22 Cr net loss; P/E is zero and profitability is absent.
- ROE of -12.28% and ROCE of -21.11% show severe capital destruction.
- P/B of 6.79 means paying ₹109 for just ₹16.06 of book value.
- No dividend, no promoter holding data, and no debt/equity figure reduce transparency.
AI Analysis
Let's start with what this isn't: a business earning its keep. At ₹109, the market capitalisation is ₹1,678 crore, but the latest quarter shows just ₹1 crore in sales and a ₹22 crore net loss. Annualise that loss and you get roughly ₹88 crore, which is over a third of the ₹247 crore equity base implied by book value of ₹16.06. ROE is -12.28% and ROCE is -21.11%; this company is destroying capital, not compounding it. The P/E of 0.00 is meaningless because there are no earnings, and paying ₹109 for ₹16.06 of book value means a P/B of 6.79. That is hardly a margin of safety. Sales growth of 31.78% sounds nice, but it starts from a quarterly revenue of ₹1 crore. Profit growth of 10.08% cannot be taken seriously alongside a net loss. There is no dividend, no promoter holding data, and no debt-to-equity figure available. FairStock scores it 7/100 and calls it risky; the numbers agree. The Piotroski F-Score of 6/9 is mildly encouraging, but it does not offset negative returns on capital. What is the moat? Precious metals can be valuable, but this entity has not shown an ability to convert its mines into profits. At the current price, you are paying a rich multiple for losses and hope. I need a clear path to positive earnings, evidence of economically viable reserves, and a far lower price. Today, this is a speculation, not an investment. I would keep this on the watchlist and wait for a much better margin of safety.
Data from BSE/NSE filings. AI analysis is for educational purposes only — not investment advice. Scoring methodology · Disclaimer