F Mec Intl. Fin. (539552)

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

Key Financials

Strengths

• Strong recent growth: sales up 45.45% and profit up 65.91%, with PEG at 0.92
• Respectable return ratios: ROE of 13.13% and ROCE of 14.92%
• Piotroski F-Score of 7/9 indicates improving financial health
• Small absolute base gives potential for continued rapid growth if execution holds

Concerns

• Tiny scale: latest quarter sales are just ₹3 Cr and net profit ₹1 Cr, making percentage growth less meaningful
• Rich valuation: P/E of 51.34 and P/B of 4.97 leave little margin of safety
• No dividend and promoter holding undisclosed; FairStock Score shows insufficient data
• 52-week range of ₹11.37 to ₹103.90 shows the stock has already re-rated sharply, raising expectations

AI Analysis

I approach this stock as a businessman first, not a trader. F Mec Intl. Fin. is a micro-cap NBFC with a market cap of just ₹92 crore. At ₹103.90, it trades at 51.34 times earnings and 4.97 times book value. That is not a Graham bargain. But high multiples can be justified if growth is exceptional and durable. The recent figures are striking: sales grew 45.45% and profit grew 65.91%, giving a PEG of 0.92. On the surface, this looks like a fast grower. However, I cannot ignore the tiny base: latest quarter sales were only ₹3 crore and net profit ₹1 crore. It is far easier to post big percentage growth when you are starting from almost nothing. ROE of 13.13% and ROCE of 14.92% are respectable, but not exceptional for a lender. There is no dividend, promoter holding is not disclosed, and the FairStock Score is unavailable, so I am flying with incomplete instruments. The Piotroski score of 7/9 is a positive indicator of financial health, but it does not tell me enough about asset quality or capital adequacy. The 52-week range of ₹11.37 to ₹103.90 tells me the market has already discovered this stock and re-rated it dramatically. The core question is whether this business can be worth more in ten years. A company earning ₹1 crore in a quarter must prove it can scale while keeping risks controlled. I would not buy at this price without evidence of a durable moat and trustworthy management. Growth is attractive, but value comes from buying good businesses at fair prices. At five times book and fifty-one times earnings, the price is full of hope. I prefer a margin of safety.

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