Kamadgiri Fash. (514322)
TurnaroundScore breakdown: P/E: 0/3 · ROCE: 0/2 · Growth: 0/2 · Dividend: 0/1
Key Financials
| Current Price | ₹74.07 |
| Market Cap | ₹43.47 Cr |
| P/E Ratio | 63.21 |
| ROCE | 8.49% |
| ROE | 2.25% |
| Dividend Yield | 0% |
| Profit Growth | -34% |
| Debt/Equity | — |
| Sales Growth | -21.55% |
| 52-Week Range | ₹64.05 — ₹146 |
| Sector | Textiles & Apparels |
| Book Value | ₹55.62 |
Strengths
- Trades at only 1.33x book value, with book value at ₹55.62 per share.
- Latest quarter is still profitable: ₹1 Cr net profit on ₹35 Cr sales.
- ROCE of 8.49% shows some operating return above the weak ROE.
- Small ₹43 Cr market cap could attract special-situation investors if operations stabilize.
Concerns
- P/E of 63.21 is expensive despite sales down 21.55% and profit down 34%.
- Piotroski F-Score of 3/9 indicates weak financial health.
- Zero dividend means no cash return while waiting for a recovery.
- Missing debt/equity and promoter holding data reduces transparency.
AI Analysis
Kamadgiri Fash strikes me as a small, struggling textile player, not a compounder. At ₹74.07 the market caps it at just ₹43 Cr, with book value ₹55.62 per share—so I’m paying 1.33 times book. That seems reasonable only if the business can earn decent returns. It doesn’t. ROE is 2.25% and ROCE 8.49%; both are poor by any standard. The P/E of 63.21 tells me the market is willing to pay a rich multiple for a very weak earnings base—never a recipe for margin of safety. Sales have shrunk 21.55% and profits 34%, so the trajectory is down. The latest quarter does show a small net profit of ₹1 Cr on ₹35 Cr sales, but that is razor-thin. Piotroski F-Score of 3/9 is a red flag: the balance-sheet and profitability signals are weak. There is no dividend, so I get no cash while waiting. Also, debt/equity and promoter holding are not available—uncomfortable, because I prefer to know who owns the company and how much leverage it has. Textile is a tough, commodity-like business; without pricing power or cost advantage, a small company has little moat. This is not a Buffett-style purchase. It might be a trading proposition if operations stabilize, but for the value investor it fails the test: no reliable earnings, no margin of safety, and too many unknowns. I would hold off until I see sustained sales growth and ROE recovering above the risk-free rate.
Data from BSE/NSE filings. AI analysis is for educational purposes only — not investment advice. Scoring methodology · Disclaimer