SC Agrotech (526081)
TurnaroundScore breakdown: P/E: 0/3 · ROCE: 0/2 · Growth: 2/2 · Dividend: 0/1
Key Financials
| Current Price | ₹19.31 |
| Market Cap | ₹11.58 Cr |
| P/E Ratio | 122.87 |
| ROCE | -53.93% |
| ROE | 82.74% |
| Dividend Yield | 0% |
| Profit Growth | 189.36% |
| Debt/Equity | — |
| Sales Growth | 0% |
| 52-Week Range | ₹14.82 — ₹43.8 |
| Sector | Food Products |
| Book Value | ₹1.07 |
Strengths
- Latest quarter shows ₹38 Cr sales and ₹3 Cr net profit, indicating a possible near-term operational uptick against a small market cap.
- High reported ROE of 82.74% suggests efficient use of existing equity if sustained.
- Profit growth of 189.36% and PEG of 0.65 imply cheapness if the growth is durable.
- Piotroski F-Score of 5/9 is moderate, not catastrophic, showing some financial stability.
Concerns
- ROCE is deeply negative at -53.93%, signalling poor underlying return on capital employed.
- P/E of 122.87 and P/B of 18.05 leave no margin of safety for a micro-cap.
- Zero sales growth and zero dividend indicate lack of organic growth or cash returns.
- Tiny ₹12 Cr market cap and missing promoter holding data raise governance and liquidity risks.
AI Analysis
Let me look at SC Agrotech with a clear eye. In investing, I want a business I can understand, with a durable moat and consistent returns. Here I see a dairy products company with a tiny market cap of ₹12 Cr, a P/E of 122.87 and a P/B of 18.05. That is an extraordinarily high price for a business earning very little on a trailing basis. The book value is just ₹1.07 per share. The 82.74% ROE looks impressive at first, but when I see ROCE at -53.93%, I ask: is this a real business or a financial mirage? Negative return on capital means the underlying operations are not genuinely profitable. Sales growth is zero, so the 189% profit growth is likely due to a low base or non-operating gains. The latest quarter shows ₹38 Cr in sales and ₹3 Cr in profit, but I have no evidence this is sustainable. If it were, the market cap is only ₹12 Cr—yet the trailing P/E says otherwise. I must trust multiple quarters, not one. There is no dividend, no promoter holding data, and a Piotroski score of 5/9. This is not a compounder; it is a speculative turnaround. The margin of safety is absent. In Graham's words, you are not buying a stock; you are buying a business. At 18 times book, I cannot see value. I would pass.
Data from BSE/NSE filings. AI analysis is for educational purposes only — not investment advice. Scoring methodology · Disclaimer