S V Global Mill (535621)

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

Key Financials

Strengths

• ROE of 10.05% is respectable, and the Piotroski F-score of 6/9 suggests the company is not in immediate financial distress.
• Latest quarter net profit of ₹7 Cr against ₹1 Cr sales indicates some asset monetisation or exceptional gain, which can be valuable for a real estate company if converted into cash.
• Book value of ₹34.17 per share provides a measurable baseline for asset-conscious investors.
• Profit growth of 1000% shows the earnings base is recovering from a low base, even if the quality needs scrutiny.

Concerns

• Sales are down 64.52% and latest quarterly sales are just ₹1 Cr, raising serious doubts about the core business's viability.
• ROCE of only 1.48% means the company's actual operations earn almost nothing on invested capital.
• At P/E of 40.17 and P/B of 3.06, the market is pricing in a recovery that is far from proven.
• Zero dividend, no promoter holding data, and no debt/equity details reduce transparency and make a Buffett-style analysis difficult.
• Profit quality is suspect: a ₹7 Cr profit on ₹1 Cr revenue is unlikely to be sustainable operating income.

AI Analysis

Looking at S V Global Mill, the first number that stops me is not the price, it's the revenue. Sales are down 64.52% and the latest quarter shows just ₹1 Cr of sales. A healthy business does not shrink like that. Meanwhile the company reported ₹7 Cr net profit in the same quarter and 1,000% profit growth. Whenever I see profit growing tenfold while sales collapse, I ask a very Graham question: is this earnings, or accounting? A PEG of 0.04 is meaningless when the 'G' is a one-off rebound, not sustainable growth. The core economics are weak: ROCE is only 1.48%, so operations are barely earning on capital. ROE of 10.05% flatters the business because it comes from a tiny equity base and possibly non-operating items. With book value at ₹34.17 and the price at ₹104.50, I am paying 3.06 times book for a business with no dividend, no visible promoter holding, and no debt/equity data. In Graham's world, absence of information is a reason to pass. The F-score of 6/9 gives some comfort that the financial position is not collapsing, but a moderate score is not a moat. Real estate in India is cyclical, capital-hungry, and execution-driven; I cannot even see a project pipeline in these numbers. The 52-week range of ₹119 to ₹192.95, with the current price at ₹104.50, tells me the market is already rejecting the stock. I am not interested in catching a falling knife unless asset value and cash generation are clear. This is a possible turnaround or asset play, but today's figures do not give me a margin of safety. You cannot have a margin of safety when you invest based on a one-quarter profit spike. I would wait for audited annual results, cash flow, debt details, and evidence that sales are recovering before valuing it.

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