Eraaya Lifespace (531035)

FairStock Score: 10/100 — RISKY

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

Key Financials

AI Analysis

AI-generated, general educational analysis — not personal investment advice.

I look at Eraaya Lifespace through Graham's lens: price is what you pay, value is what you get. At ₹800, market cap ₹15,127 Cr, book value ₹14.31 and P/B 55.90, the market is paying a huge premium to accounting net worth. P/E is 0.00 because there are no usable earnings. The latest quarter shows sales of ₹609 Cr but a net loss of ₹24 Cr, and profit growth is -2182.29%, while ROE is -17.26% and ROCE only 0.86%. Sales growth of 36,826.06% sounds spectacular, but when it comes with losses and no dividend, I ask what durable economics support the value. The 52-week range of ₹19.63 to ₹800 tells me the stock has gone from penny-stock speculation to a ₹15,127 Cr valuation in a year; that is not a margin of safety, it is momentum. Debt/equity is N/A, which does not give me comfort about leverage. Promoter holding is N/A, another missing piece. Piotroski F-Score 4/9 is mediocre, and FairStock Score 10/100 flags risk. In 2/3 wheelers, a moat would come from brands, distribution, cost advantage, or switching costs; none of the figures given prove such a moat. I see a business with explosive reported sales but negative profitability, poor returns on capital, and a valuation disconnected from book value. As Buffett would say, price is what you pay, value is what you get. Here, the value is not visible in the numbers. I would wait for consistent profits, positive ROE/ROCE, and a sane price before considering it.

The full AI analysis, bull and bear case and key monitorables are in FairStock Pro.

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