Vista Pharma. (524711)
TurnaroundScore breakdown: P/E: 0/3 · ROCE: 0/2 · Growth: 0/2 · Dividend: 0/1
Key Financials
| Current Price | ₹14.83 |
| Market Cap | ₹91.28 Cr |
| P/E Ratio | 0 |
| ROCE | -8.53% |
| ROE | -15.95% |
| Dividend Yield | 0% |
| Profit Growth | -75.76% |
| Debt/Equity | — |
| Sales Growth | -5.47% |
| 52-Week Range | ₹5.71 — ₹14.83 |
| Sector | Pharmaceuticals & Biotechnology |
| Book Value | ₹8.12 |
Strengths
- Positive book value of ₹8.12 per share provides some asset cushion.
- Small market cap of ₹91 Cr leaves room for a niche pharma special situation.
- Business is still generating quarterly sales of ₹2 Cr, not a zero-revenue shell.
- Recent price recovery from ₹5.71 to ₹14.83 shows some investor interest and liquidity.
Concerns
- Negative earnings: latest quarter net profit is -₹2 Cr, with ROE at -15.95% and ROCE at -8.53%.
- Sales growth is -5.47% and profit growth is -75.76%, showing ongoing deterioration.
- Piotroski F-Score of 2/9 points to poor financial health and high distress risk.
- Valuation is not cheap: P/B of 1.83 for a loss-making company, with no dividend and missing promoter/debt data.
AI Analysis
At ₹14.83, Vista Pharma is the kind of stock I would circle and then walk past. Graham taught me to buy businesses with a margin of safety, but here the market is paying ₹14.83 for book value of ₹8.12, for a company that is losing money. The P/E is meaningless because earnings are negative; latest quarter sales are just ₹2 Cr with a net loss of ₹2 Cr. ROE is -15.95%, ROCE -8.53%. Every rupee of retained equity is earning negative returns. Sales are shrinking 5.47% and profit growth has collapsed 75.76%. This is not a business; it is a cash incinerator with a pharma label. The Piotroski F-Score of 2/9 reinforces the picture of weak financial health. There is no dividend to compensate while I wait. The stock has run from ₹5.71 to ₹14.83, near its 52-week high, which tells me sentiment is hot, not that fundamentals have improved. I cannot calculate a fair value from negative earnings, and I refuse to speculate on a story where promoter holding and debt/equity are unavailable. If this is a turnaround, I need evidence of change: positive operating cash flow, rising margins, and a credible plan. Buffett says 'be fearful when others are greedy' - at 1.83 times book for a loss-making pharma, the greed is on display. The only sound decision for a value investor is to wait, watch, and let Mr. Market offer a realistic price.
Data from BSE/NSE filings. AI analysis is for educational purposes only — not investment advice. Scoring methodology · Disclaimer