Helpage Finlease (539174)

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

Key Financials

Strengths

• P/E of 7.33 and P/B of 1.25 against book value of ₹16.21 provide a margin of safety if growth persists.
• ROE of 20.20% and ROCE of 14.51% show decent capital efficiency.
• Piotroski F-Score of 7/9 indicates solid reported financial health.
• Profit growth of 158.82% on sales growth of 40.98% shows strong operating leverage or margin expansion.
• Latest quarter net profit of ₹1 Cr on sales of ₹3 Cr reflects a highly profitable current structure.

Concerns

• Market cap of just ₹20 Cr makes the stock illiquid and vulnerable to sharp price swings.
• Debt/Equity and promoter holding are unavailable; for an NBFC, leverage and governance are critical unknowns.
• No dividend means total return depends entirely on successful reinvestment of small absolute profits.
• Current price of ₹20.20 is near the 52-week low of ₹18.00, signaling market skepticism despite headline growth.

AI Analysis

At ₹20.20, Helpage Finlease is a curiosity: a micro-cap NBFC with a trailing P/E of 7.33 and a price-to-book of 1.25 against a book value of ₹16.21. The business is growing—sales up 40.98% and profit up 158.82%—and a 20.20% ROE with a Piotroski score of 7/9 suggests the recent expansion is not merely cosmetic. But Graham would ask: how much debt supports this book? The data say Debt/Equity is N/A, and for an NBFC that is a serious omission. A lender's assets are only as good as its recovery rate. The latest quarter, ₹3 Cr of sales and ₹1 Cr of net profit, shows a wonderful margin on a tiny base, but tiny-base numbers can flatter. Market cap of ₹20 Cr is too small for institutional validation, and with no dividend, the investor's return depends entirely on management compounding capital successfully. Promoter holding is not known—another governance unknown. The 52-week range of ₹18.00 to ₹33.80 tells me Mr. Market has already cooled sharply from earlier optimism. At 7.33 times earnings and 1.25 times book, the price is not high if the growth is durable. But the profit growth embedded in the trailing P/E may not repeat. I would not call this a comfortable value investment; I would call it a very small fast grower that deserves monitoring. If the company can sustain return on equity above 20% without adding excessive leverage, today's price leaves room. But an investor must be prepared for volatility and should size any position accordingly. This is not a wide-moat stalwart; it is a prove-it growth story at a reasonable multiple.

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