Chart.Logistics (531977)

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

Key Financials

Strengths

• Operational base: latest quarter revenue of ₹17 Cr shows the company is still running a real logistics business.
• Positive book value of ₹4.22 per share provides some tangible asset backing, though at 2.34x book the price has moved beyond that support.
• Trailing ROE and ROCE are positive at 4.04% and 5.76%, so the capital base is not yet in an annual loss situation.
• A small positive trailing earnings stream is implied by P/E of 482.47, meaning the company is not a zero-earnings shell.

Concerns

• Sales growth is -14.13%, showing the topline is contracting.
• Profit growth is -241.89% and the latest quarter net profit is -₹1 Cr, indicating recent earnings have shifted into loss.
• Valuation is extreme: P/E of 482.47 and P/B of 2.34, with no dividend yield to compensate for risk.
• Piotroski F-Score of 3/9 suggests weak and deteriorating financial health.

AI Analysis

When I look at Chart.Logistics, I first ask whether the business has good economics and a durable advantage. Logistics in India is a hard, competitive, low-margin business, and the numbers here do not show any moat. Sales are down 14.13%, and profit growth has collapsed by 241.89%. The latest quarter has ₹17 crore of revenue and a ₹1 crore net loss. That is not compounding; that is a business moving in the wrong direction. The balance sheet gives no comfort at this price. Book value is ₹4.22 per share, but the market wants ₹9.87—2.34 times book. For that premium, I expect a wonderful business. Instead, ROE is 4.04% and ROCE is 5.76%. Those are poor returns on capital; I am not willing to pay a high multiple for mediocrity. There is no dividend yield, so I receive nothing while I wait. The Piotroski score is 3/9, which is a red flag on financial health. What about valuation? A P/E of 482.47 is not a sign of exciting growth; it is a warning. The trailing earnings are tiny, and with profit growth at -241.89% and a loss in the latest quarter, even that small earnings base is cracking. At ₹9.87, the stock sits near its 52-week high of ₹10.00, while fundamentals have deteriorated. That is Mr. Market's optimism, not Graham's margin of safety. Could this be a turnaround? Yes, but a turnaround is not an investment thesis unless proven by numbers. I need to see sales stabilise, profits return, and ROE/ROCE climb toward respectable levels. Until then, paying 2.34 times book for a 4% ROE is speculation. I prefer arithmetic. This is not a quality compounder and not a bargain. I will wait on the sidelines.

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