Aerpace Indus (534733)

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

Key Financials

Strengths

• Book value remains positive at ₹2.30 per share, so assets still exceed liabilities on a per-share basis.
• The latest quarterly loss of ₹2 Cr is small in absolute terms, limiting near-term damage if it stays at this level.
• The share price is at the top of its 52-week range, showing strong market interest and momentum.

Concerns

• Latest quarter has zero sales; there is no visible operating business to value.
• ROE of -19.81% and ROCE of -16.99% indicate ongoing capital destruction.
• P/B of 16.67 with negative earnings leaves no margin of safety.
• Piotroski F-Score of 2/9, zero dividend, and missing promoter/debt disclosures are serious red flags.

AI Analysis

When I look at Aerpace Indus, I see a business that fails the first test I apply: does it earn a return on capital? The latest quarter shows sales of ₹0 Cr and a net loss of ₹2 Cr. A company with no revenue cannot be valued on earnings, so the P/E of 0.00 is meaningless. Meanwhile, the market cap is ₹573 Cr, but the book value is only ₹2.30 per share. That means you are paying ₹38.34 for assets worth ₹2.30 on the books — a price-to-book ratio of 16.67. In my world, that is not an investment; it is speculation. Returns on capital are deeply negative: ROE is -19.81% and ROCE is -16.99%. Money put into this business is being lost, not compounded. The Piotroski F-score of 2 out of 9 tells me the financial health is poor. Sales growth is 0.00%, profit growth is -3.78%, and there is zero dividend. I prefer businesses with a moat and a balance sheet I can trust; here, debt/equity is N/A and promoter holding is N/A, so I cannot even see who is captaining the ship. The stock sits at the top of its 52-week range of ₹16.70 to ₹38.34, but price strength without fundamental strength is dangerous. Benjamin Graham taught me that price is what you pay, value is what you get. At 16.67 times book with negative returns, the value is not visible. This looks like a speculative vehicle, not a compounding machine. I would keep it outside my circle of competence and wait for evidence of sales, positive margins, and honest capital allocation before revisiting.

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