Shakti Press (526841)

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

Key Financials

Strengths

• Price of ₹30.29 is only 0.49 times book value of ₹61.77, providing a significant asset margin of safety.
• Piotroski F-Score of 7/9 suggests improving financial health and operational efficiency.
• Sales growth of 143.41% and latest quarter net profit of ₹1 Cr on ₹8 Cr sales show momentum.
• P/E of 13.55 with PEG of 0.02 offers apparent value if recent earnings growth proves sustainable.
• Market cap of ₹11 Cr is tiny, leaving room for upside if the turnaround continues.

Concerns

• ROE of 3.95% and ROCE of 3.90% indicate low fundamental earning power on the company's assets.
• Profit growth of 1000% may be a low-base artifact and not a dependable compounding rate.
• Promoter holding is listed as N/A, creating uncertainty about ownership alignment and governance.
• Dividend yield is 0.00%, so investors receive no cash return while waiting for the turnaround.

AI Analysis

At ₹30.29, Shakti Press trades at barely half its book value of ₹61.77. That is exactly the kind of margin of safety Graham taught me to look for. But I have to remind myself that a cheap stock can be expensive if the business earns poor returns. The numbers show ROE of only 3.95% and ROCE of 3.90%. The assets are not working very hard, and in printing and publication, competitive pressure can keep returns weak. Still, something has changed. Sales are up 143.41% and profit has grown 1000%. The latest quarter shows ₹8 Cr in sales and ₹1 Cr in net profit. If that is even close to a sustainable run rate, the current market cap of ₹11 Cr is very modest. The Piotroski F-Score of 7/9 also gives me some comfort that the improvement is not just cosmetic. The trailing P/E is 13.55, and the PEG is 0.02—but I trust that number as much as I trust a 1000% profit growth figure: not very much. Low bases produce explosive percentages without creating real compounding. What worries me is the lack of promoter holding data. I cannot judge whether the people running the business own enough of it to think like shareholders. There is also no dividend, so I am not being paid to wait. My return depends entirely on price appreciation and continued improvement in business value. In Graham's terms, this is an asset play with operational signs of life. The price-to-book of 0.49 gives me a cushion, but a cushion is only useful if it is not eroded by low returns. I would need to see several more quarters like the latest one before I could treat Shakti Press as a genuine compounder. Until then, it is a small, interesting watchlist candidate—not a core holding.

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