Bhilwara Spinner (514272)

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

Key Financials

Strengths

• Piotroski F-Score of 7/9 indicates improving financial fundamentals.
• Sales growth of 1,389.76% shows significant business expansion, possibly off a low base.
• 52-week range of ₹98.90–₹135.00 shows limited downside volatility compared to many small caps.
• Book value of ₹50.83 provides some asset backing, with P/B at 2.40 not excessively high.

Concerns

• Net profit is ₹0 Cr in the latest quarter, meaning zero earnings; P/E is not meaningful.
• Negative ROE of -4.58% indicates shareholder capital is being eroded.
• ROCE of only 2.39% is far below acceptable levels for a capital-intensive textile business.
• No dividend yield and unavailable promoter holding data reduce confidence for retail investors.

AI Analysis

When I look at Bhilwara Spinner, I see a company that is growing sales at a dizzying clip—1,389.76%—but that growth is not yet translating into earnings. The latest quarter shows sales of ₹25 Cr and net profit of exactly ₹0 Cr, which tells me the business is running at break-even, at best. A zero P/E is a red flag; I am paying ₹122 for a share with a book value of ₹50.83, a price-to-book of 2.4, while the company earns a negative return on equity of -4.58%. In Benjamin Graham's world, you want a moat, a margin of safety, and a decent return on capital. Here, ROCE is a paltry 2.39%—barely above the cost of borrowing, if the debt figures were available, which they are not. This is not a compounding machine. The sky-high sales growth could be off a very low base, and with zero profit growth in absolute terms, the 1,000% profit growth number is misleading. On the positive side, the Piotroski F-Score of 7/9 suggests improving fundamentals, which might hint at a turnaround. But as an investor, I don't buy hope at 2.4 times book for a business that cannot earn a decent return on equity. The 52-week range of ₹98.90 to ₹135.00 shows the market is also uncertain. I will not pay a premium for a textile company with no demonstrated pricing power, no dividend, and no clarity on promoter holdings. This needs a much lower price or clear proof of sustainable profitability before it earns a place in my portfolio.

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