Rishi Laser (526861)

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

Key Financials

Strengths

• Sales are roughly stable at -1.54%, so demand has not collapsed.
• ROCE of 14.69% and ROE of 12.33% show moderate capital efficiency if earnings normalize.
• Trailing P/E of 13.50 is not optically expensive, though current earnings are unreliable.
• Book value of ₹69.43 provides some asset backing at the current price.

Concerns

• Net profit has fallen 75% and the latest quarter shows near-zero profit.
• Piotroski F-score of 3/9 indicates weak financial health.
• No dividend means shareholders get no cash return while waiting for recovery.
• Stock trades at the top of its 52-week range despite deteriorating fundamentals; debt/equity and promoter holding data are missing.

AI Analysis

At ₹161.15, Rishi Laser is priced at the very top of its 52-week range, yet the business is not firing on all cylinders. The reported P/E of 13.50 looks modest, but that is based on past earnings; profits have fallen 75% and the latest quarter delivered approximately ₹0 Cr in net profit. Graham would say the price is the easiest thing to know, but earnings power is not. Sales declined only 1.54%, so the top line is roughly stable; the problem is margin compression, which makes me wonder whether Rishi Laser has any pricing power or moat. ROE of 12.33% and ROCE of 14.69% are acceptable, but they mean little if the current quarter can produce nothing. Book value is ₹69.43; at ₹161.15 I would be paying 2.32 times book for a company whose near-term profitability has vanished. There is no dividend, so I receive no compensation for the wait. The Piotroski F-score of 3/9 is a red flag: financial health is weak. I cannot even quantify the leverage because debt/equity is not disclosed, and promoter holding is missing, so there is no governance evidence either. This is not the kind of fat pitch I look for. A small-cap industrial with no moat, zero payout, and deteriorating margins at a 52-week high is a show-me story. I would wait for visible quarterly profit recovery, stronger cash flow, and a price that offers a margin of safety. Until then, this belongs in the 'too hard' pile.

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