United Van Der (522091)

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

Key Financials

Strengths

• Sales growth of 9.55% shows modest top-line expansion in a cyclical sector.
• ROE of 11.42% and ROCE of 11.64% indicate reasonable capital efficiency.
• The latest quarter is profitable, with ₹1 Cr net profit on ₹8 Cr sales.
• Book value of ₹40.14 provides some asset backing, though valuation is not cheap.

Concerns

• Profit growth is sharply down at -38.81%, while the stock trades at a P/E of 45.97 and PEG of 4.81.
• Latest quarter scale is tiny at ₹8 Cr sales and ₹1 Cr net profit, leaving little room for error.
• Piotroski F-score of 4/9 signals weak financial health and deteriorating fundamentals.
• Dividend yield of 1.03% is thin, and debt-equity data is unavailable, adding uncertainty.

AI Analysis

Let me apply simple tests before investing. United Van Der has a market cap of ₹169 Cr and trades at ₹122.60, near the top of its 52-week range of ₹27.22 to ₹122.60. That price movement excites people, but it doesn't reassure me. The latest quarter shows sales of ₹8 Cr and net profit of just ₹1 Cr. Over a year, profit has fallen by 38.81%, yet I am asked to pay 45.97 times earnings and 3.05 times book value. That equation makes no sense for a value investor. The company earns an ROE of 11.42% and ROCE of 11.64%—acceptable, but not the durable high returns I look for in a great franchise. Sales growth of 9.55% is positive but modest, and with a small absolute scale, one bad quarter can swing the picture. The Piotroski score of 4 out of 9 is a warning flag; it tells me the financial health is weak, not strong. Dividend yield of 1.03% offers little income support. I cannot even assess the debt-equity position because it is not available. Heavy electrical equipment is inherently cyclical, and this looks like a cyclical business at an ebullient price. If earnings have already declined, the high P/E and PEG of 4.81 mean I am paying for future perfection. Graham would say price is what you pay, value is what you get. At ₹122.60, I see more risk than reward. I'd keep it on my watchlist, but only consider buying at a price that gives a real margin of safety.

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