Acme Resources (539391)
TurnaroundScore breakdown: P/E: 0/3 · ROCE: 0/2 · Growth: 0/2 · Dividend: 0/1
Key Financials
| Current Price | ₹57.98 |
| Market Cap | ₹157.1 Cr |
| P/E Ratio | 0 |
| ROCE | 3.32% |
| ROE | -5.54% |
| Dividend Yield | 0% |
| Profit Growth | -372.97% |
| Debt/Equity | — |
| Sales Growth | 70.68% |
| 52-Week Range | ₹27.76 — ₹57.98 |
| Sector | Finance |
| Book Value | ₹26.89 |
Strengths
- Top-line growth of 70.68% indicates the business is expanding its loan or asset book.
- Positive book value of ₹26.89 provides some tangible capital cushion, though the price is well above it.
- ROCE is positive at 3.32%, suggesting some operating return before financing costs.
- Piotroski F-Score of 4/9 shows a few financial health checks are passing, not all are failing.
Concerns
- Latest quarter net loss of ₹3 crore equals the entire quarterly sales of ₹3 crore, leaving no profitability.
- ROE is -5.54% and profit growth is -372.97%, showing severe value destruction.
- At P/B of 2.16, the stock trades at over 2x book despite negative earnings; there is no margin of safety.
- No dividend, no promoter holding data, and no debt/equity disclosure create serious transparency doubts for an NBFC.
AI Analysis
At ₹57.98, Acme Resources has a market cap of ₹157 crore, but I see no earnings to support it. The P/E is zero because profits are absent; the latest quarter has sales of ₹3 crore and a net loss of ₹3 crore. That means every rupee of revenue is being consumed by losses. The 70.68% sales growth sounds attractive, but profit growth of -372.97% tells me this growth is destroying shareholder value, not creating it. Return on equity is -5.54%, so the company is earning less than a bank fixed deposit, and it is doing so with no disclosed debt-to-equity ratio, which is a red flag for an NBFC. Book value is ₹26.89, yet I am asked to pay ₹57.98, a 2.16 times premium, for a business with negative ROE. Benjamin Graham would demand a discount to net assets, not a premium. ROCE of 3.32% is feeble and below any reasonable cost of capital. The Piotroski score of 4 out of 9 confirms weak financial health. There is no dividend, and promoter holding is not available, so I cannot judge alignment. This is not an investment; it is a speculation at the 52-week high. The price has run from ₹27.76 to ₹57.98, but Mr. Market's mood is not a safety margin. I would need a sustained track record of profitability, positive ROE, and a price closer to book value before I even consider this. Until then, I will leave it for the traders.
Data from BSE/NSE filings. AI analysis is for educational purposes only — not investment advice. Scoring methodology · Disclaimer