Kush Industries (514240)

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

Key Financials

Strengths

• Reported ROE of 1.17% is positive, providing a tiny equity earnings buffer.
• Market cap of ₹14 Cr is small enough that a genuine operational revival could move per-share numbers meaningfully.
• Current price of ₹8.63 is below the 52-week high of ₹9.45, so the stock is not in an obvious euphoric phase.

Concerns

• Latest quarter sales are ₹0 Cr and net profit is ₹-0 Cr, indicating no visible operating activity.
• Profit growth of -400%, ROCE of -2.40%, and Piotroski F-Score of 2/9 point to serious financial deterioration.
• Book value, P/B, debt/equity, and promoter holding are N/A, so a Graham-style margin of safety cannot be calculated.
• Zero dividend yield means shareholders receive no cash return while waiting.

AI Analysis

Let me start with Graham's first test: is this a business? Kush Industries reports latest quarter sales of ₹0 Cr and net profit of ₹-0 Cr. A zero-revenue company cannot be valued by its earnings. The P/E of 0.00 is not a sign of cheapness; it is a sign of absent earnings. Profit growth has collapsed by -400%, ROCE is -2.40%, and the Piotroski F-Score is a weak 2/9. ROE of 1.17% is negligible. Book value, P/B, debt/equity, and promoter holding are all N/A, so even Graham's balance-sheet route is unavailable. At ₹8.63, market capitalisation is only ₹14 Cr, and the 52-week range of ₹5.28 to ₹9.45 tells me this is a speculative microcap, not a compounder. There is no moat visible in 'Other Textile Products'; no sales, no brand, no pricing power. I cannot compute an intrinsic value from ₹0 sales and negative returns. This belongs in the 'too hard' pile. If forced to label it, I would call it a possible turnaround candidate, but only because the only way value emerges here is through a complete operational revival. A true turnaround would show rising sales, positive cash flow, improving margins, credible promoter disclosure, and a clean balance sheet. None of that is evident. The latest quarter's net profit of ₹-0 Cr tells me operations have not generated any meaningful profit to offset costs. The F-Score of 2/9 reinforces the danger of financial distress. As Graham said, the margin of safety must be bought with facts, not hope. Until management discloses book value and promoter holding, and until sales reappear in the P&L, I will watch from the sidelines. I would rather miss this shell than lose money.

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