CCL Internationa (531900)

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

Key Financials

AI Analysis

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

At ₹29.86, CCL International is a tiny civil construction play with a market cap of just ₹60 crore. I start with the balance sheet: book value is ₹27.32, so I pay roughly 1.09 times book. That is not expensive on a stated basis. The Piotroski score of 7/9 is also respectable and suggests the company has improved on some operating metrics. Reported sales growth is 14.29% and profit growth is 59.85%, giving a PEG of 0.53. But I have learned never to treat a single ratio as an invitation. This is a commodity-like construction business with no obvious moat, and returns on capital are weak: ROE is only 5.54%, ROCE only 3.35%. That tells me the enterprise does not earn an attractive return on the money invested in it. The latest quarter adds another red flag: sales of just ₹3 crore and a net loss of ₹1 crore. A company that is losing money in the most recent quarter cannot be valued on a trailing P/E of 19.48 with confidence. The high profit growth may be from a low base or a one-off, not from durable business quality. Also absent are promoter holding and debt/equity data, so I cannot assess corporate governance or leverage. There is no dividend yield, so I get no income while waiting. Civil construction is cyclical and competitive; pricing power is scarce. In the end, I am being asked to pay a small-cap cyclical near book value for mediocre returns and uncertain near-term earnings. Graham would demand margin of safety, and I believe the safety here is insufficient. I will watch it for evidence of a sustained earnings recovery, but I would not own it today.

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