Omni Ax's (532340)

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

Key Financials

Strengths

• Trades at a 49% discount to book value: ₹3.70 price vs ₹7.27 book value, offering asset-backed downside support if the book is credible.
• Market cap is only ₹6 crore, so even modest absolute business recovery could have outsized impact.
• ROE, though tiny at 0.24%, is positive and latest reported profit is flat at ₹0, so losses are not accelerating from reported bases.
• Price is near the lower end of the 52-week range (₹2.70–₹6.11), limiting downside based on recent trading history.

Concerns

• Piotroski F-Score of 2/9 indicates very weak overall financial health and a high likelihood of financial distress signals.
• Latest quarter shows zero sales and zero net profit, with sales growth at -20%; the business appears currently non-operating.
• ROCE is negative at -0.61%, meaning capital is not earning an acceptable return; P/E of 0.00 is meaningless with zero earnings.
• Promoter holding is undisclosed and dividend yield is 0%, creating uncertainty about shareholder alignment and no current income.

AI Analysis

At ₹3.70 with a market cap of just ₹6 crore, this is a microcap stock—so small that size itself is a risk. The price-to-book ratio is 0.51, meaning I am being offered ₹7.27 of book value for only ₹3.70. In a Graham framework, buying a rupee of assets for fifty paise is interesting. But interest must turn to action only if the assets are real and the business can eventually allocate capital productively. Here, the evidence is not encouraging. Latest quarter sales are zero, net profit is zero, and sales are down 20%. ROCE is negative at -0.61%, while ROE is barely 0.24%. A Piotroski score of 2/9 screams financial stress—this is not a high-quality franchise at work. There is no visible moat: zero revenue generation in the latest quarter suggests the software products business is either dormant or between cycles. The P/E is meaningless because earnings are zero. Dividend is zero, so I get no income while waiting. Debt-to-equity is not available, so I cannot confidently assess balance-sheet risk. The positives are limited: the stock trades far below book value, the 52-week range shows ₹2.70 support, and reported profit is not worsening. However, a low price-to-book ratio in an unprofitable microcap can be a value trap. Graham would demand either an earnings recovery or a clear catalyst to unlock asset value. I would not buy based on this data alone; I would wait for quarterly sales to return and for proof that book value is recoverable.

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