Cemantic Infra (538596)

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

Key Financials

Strengths

• Positive book value of ₹1.08 per share provides some tangible asset backing.
• Current price is closer to the 52-week low, indicating a significant price correction.
• Small market cap of ₹10 crore may attract restructuring or takeover interest.

Concerns

• Zero sales and zero net profit in the latest quarter indicate no ongoing business activity.
• Negative ROE (-12.10%) and ROCE (-6.14%) destroy shareholder value.
• Price-to-book of 3.72 suggests investors are overpaying for an asset with poor returns.
• Piotroski F-score of 2/9 signals high financial distress risk.

AI Analysis

Here we have a company with no earnings, no revenue, and no growth. Cemantic Infra's latest quarter shows sales of ₹0 crore and net profit of ₹0 crore; the past trend is flat. The P/E of 0.00 reflects that there is no 'E' to price. I turn to the balance sheet: book value is ₹1.08 per share, but the market price is ₹4.02, meaning you pay a 3.72 times premium to book. What do you get? A return on equity of -12.10% and return on capital employed of -6.14%. That is systematic value destruction. The Piotroski F-score of 2 out of 9 tells me the firm's financial position is poor. There is no dividend yield, and with zero profits, none is expected. Debt/equity is not available, so I cannot assess leverage, but the negative returns are warning enough. In Benjamin Graham's framework, this is not a defensive investor's stock, nor an enterprising investor's candidate, because there is no margin of safety. The stock trades near its 52-week low of ₹3.58, but a falling knife has no handle. For a real estate company with no projects generating revenue, what is the asset value? We don't know; the book value could be stale. I would classify this as a turnaround situation, but only for those who have deep knowledge of the underlying reality. For a retail investor, this is more lottery ticket than investment. Watch for revenue, positive margins, and insider buying. Until then, avoid.

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