Sarvottam Finve. (539124)

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

Key Financials

Strengths

• Stated book value of ₹36.58 is about 35% above the current price of ₹27.04, giving a P/B of 0.74 and a possible margin of safety if the assets are genuine.
• Piotroski F-Score of 6/9 suggests moderate financial stability, not a company in acute distress.
• Market cap of ₹20 Cr is tiny, so even a small profitable deployment of capital could produce meaningful per-share upside.

Concerns

• ROE of 0.27% and ROCE of -2.18% show the balance sheet earns almost nothing; capital is not being put to productive use.
• Sales and profit growth are 0.00%, and the latest quarter shows ₹0 revenue and ₹0 net profit; there is no evidence of an operating lending business.
• At ₹27.04, the stock is at its 52-week high, while the P/E is 223.43 and no dividend is paid.
• Promoter holding and debt/equity are N/A, creating a transparency risk for minority shareholders.

AI Analysis

As an investor in the Graham-Buffett mould, I first ask what I am getting for my rupee. Here, Sarvottam Finve is a ₹20 crore market-cap NBFC available at ₹27.04 per share against ₹36.58 of book value. That is a 26% discount to stated book, so the asset-play angle is clear. But a discount to book is not enough. The test is what the book can earn. This book earns almost nothing: ROE is 0.27% and ROCE is minus 2.18%. For an NBFC, whose only job is to deploy capital at a decent spread, this is a poor franchise. Sales and profit growth are both 0.00%, and the latest quarter shows revenue of ₹0 and net profit of ₹0. I cannot value a business as a going concern when it has no visible earning power. A P/E of 223.43 and a PEG of 3.80 on zero growth are not valuation metrics; they are hope. There is also no dividend, so the patient shareholder receives no cash while waiting. The Piotroski F-score of 6/9 is mildly comforting, and the absence of debt/equity disclosure worries me more than it reassures me. With price at the top of the 52-week range, I would not chase. This is a potential asset play, but only if the book value is real, the capital can be redeployed into profitable lending, and promoter disclosures improve. Until then, I sit on my hands. Value is what you get, price is what you pay; here I need proof that the value is actually being created.

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