SC Agrotech (526081)

Turnaround

Score 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 Ratio122.87
ROCE-53.93%
ROE82.74%
Dividend Yield0%
Profit Growth189.36%
Debt/Equity
Sales Growth0%
52-Week Range₹14.82 — ₹43.8
SectorFood Products
Book Value₹1.07

Strengths

Concerns

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