Lyons Corporate (531441)

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

Key Financials

Strengths

• Book value of ₹12.57 provides some tangible asset backing.
• Piotroski F-Score of 7/9 suggests balance-sheet health is not deteriorating at a basic level.
• Positive ROCE of 6.10% indicates capital employed is not making a loss.
• Tiny market cap of ₹10 Cr means niche special situations could emerge if hidden value is proven.

Concerns

• P/E of 196.40 and P/B of 1.67 are expensive for a business with zero growth.
• ROE of 0.83% is far too low for a financial company; it is not compounding shareholder capital.
• Sales and profit growth are both 0.00%, and the latest quarter shows sales of ₹0 Cr and net profit of ₹-0 Cr.
• No dividend yield and promoter holding not disclosed add to opacity and risk.

AI Analysis

At ₹21, Lyons Corporate is asking me to pay ₹10 crore for a business that earned barely ₹5 lakh in the last year. That is a P/E of 196.40. For a non-banking financial company, the first thing I check is whether the loan book and net interest income are growing. Here sales growth is 0.00%, profit growth is 0.00%, and the latest quarter shows sales of ₹0 Cr and net profit of ₹-0 Cr. There is no operating momentum to speak of. The book value is ₹12.57, so I am paying a 67% premium to book. Normally, a financial firm can justify that premium if it earns high returns on equity and compounds capital. Lyons does the opposite: ROE is a mere 0.83%, and ROCE is only 6.10%. I can get a comparable return in a fixed deposit, without taking the risk of a microcap. The dividend yield is 0.00%, so there is no cash flow paid to the shareholder while I wait. The Piotroski F-Score of 7/9 is the only positive signal, but that is a backwards-looking snapshot, not evidence of future earning power. Promoter holding and even the 52-week range are blank, which for a ₹10 crore company is not reassuring. Let me be blunt: this is not a business, it is a tiny financial shell with negligible earnings. Graham would insist on a margin of safety. At 1.67 times book and 196 times earnings, there is none. I would put this in the too-hard pile and move on. If a retail investor owns it, the prudent course is to demand answers: what exactly is the loan book, who controls the company, and why is there no profit? Until then, the numbers tell me to avoid.

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