Elitecon Inter. (539533)

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

Key Financials

Strengths

• Latest quarter shows meaningful operating scale: sales of ₹2,192 Cr and net profit of ₹117 Cr, if correctly attributed.
• Reported ROE of 267.33% indicates high profit relative to the tiny stated book value of ₹0.15.
• A dividend yield of 0.09%, while negligible, suggests some cash is being returned to shareholders.

Concerns

• Data is internally inconsistent: market cap ₹1 Cr, quarterly net profit ₹117 Cr, and P/E 40.39 cannot all be true; the current price has also fallen below the 52-week low.
• Fundamental health is poor: zero sales growth, zero profit growth, ROCE at 0%, and Piotroski F-Score of 2/9.
• No promoter-holding data and debt/equity N/A mean governance and leverage cannot be assessed.
• Book value of ₹0.15 and P/B of 70 mean there is essentially no asset cushion for minority shareholders.

AI Analysis

Let me start with a lesson I have learned the hard way: the first number to trust is the one you can verify. Here, nothing ties out. Elitecon trades at ₹10.50, so the market cap is just ₹1 crore. Yet the latest quarter shows sales of ₹2,192 crore and net profit of ₹117 crore. If those quarterly earnings were real, a P/E of 40 would imply a far larger market cap; at ₹1 crore, the stock would be absurdly cheap. That kind of contradiction is a red flag, not a bargain. Add the 52-week range of ₹28.60–₹422.65, with the current price below the low, and I smell either a broken data string or a manipulated micro-cap. Book value is only ₹0.15, so paying 70 times book leaves zero margin of safety. ROE of 267% looks remarkable only because the equity base is tiny; ROCE of 0% says the overall business earns nothing on capital employed. Sales and profit growth are both zero, and the Piotroski score is 2/9—weak across the board. There is no promoter-holding disclosure, no debt/equity ratio, and a negligible dividend yield. Benjamin Graham said the market is a voting machine, not a weighing machine in the short run, but over time it weighs. I cannot weigh a business when the numbers do not add up. This is not a wonderful company at a fair price; it is an unverifiable mystery. For an Indian retail investor, the rational move is to leave it in the too-hard pile until audited financials and cash flows make sense of ₹2,192 crore in sales against a ₹1 crore market cap.

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