Haryana Capfin (532855)

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

Key Financials

Strengths

• Price ₹201.20 is only 0.31 times book value of ₹646.96 per share
• Market cap ₹105 Cr sits against a much larger stated book equity base
• P/E of 16.56 is moderate, though based on weak earnings
• 52-week range suggests the stock has found buyers above the ₹119.05 low

Concerns

• ROE of 1.47% and ROCE of 1.88% show negligible return on capital
• Sales growth -90% and profit growth -125% indicate sharp business deterioration
• Latest quarter shows ₹0 Cr sales and net profit at roughly zero
• Piotroski F-Score of 3/9 points to weak financial fundamentals; no dividend and promoter holding not disclosed

AI Analysis

At first glance, Haryana Capfin looks like a classic Graham bargain: the stock trades at ₹201.20 against a book value of ₹646.96, a 69% discount. Market cap is only ₹105 crore, so if the book value is real and honestly stated, there is a large asset cushion. But Benjamin Graham taught me to invest with a margin of safety in both assets and earnings power. This company fails the earnings test badly. Return on equity is just 1.47% and ROCE is 1.88%. The assets are not earning their keep. Sales have collapsed by 90%, and profit growth is down 125%, meaning the latest quarter is effectively a zero-revenue, breakeven-or-loss operation. A Piotroski F-Score of 3 out of 9 reinforces poor financial health. A low P/B stock can be a value trap if the book value cannot generate acceptable returns or if the investments are impaired. As an investment company, the real quality depends entirely on the underlying portfolio, which is not disclosed here. There is no dividend to compensate me while I wait. A P/E of 16.56 on collapsing earnings is not obviously cheap. This is an asset play, not a wonderful business. I would need deep confidence in the liquidation value and management's ability to realise it before acting. Until then, I prefer to watch and wait.

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