Remedium Life (539561)

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

Key Financials

AI Analysis

AI-generated, general educational analysis — not personal investment advice.

Seeking a margin of safety, I look at Remedium Life and see a trading and distribution business priced at ₹15.99, a ₹645 Cr market cap, and a P/E of 28.16. The latest quarter showed Sales of ₹111 Cr and Net Profit of ₹9 Cr, which sounds promising. The five-year revenue CAGR is 136.51%, so the top line has expanded rapidly. But I must ask whether that growth is profitable and durable. Full-period ROE is -4.73% and ROCE is 0.00%, so the business has not demonstrated efficient use of capital. P/B is 19.50 against a book value of just ₹0.82; I would be paying a very rich price for thin accounting equity. Sales growth and profit growth are both 0.00%, suggesting the recent momentum may have stalled. The Piotroski F-Score is only 2/9, and FairStock Score is 0/100 (RISKY); these are red flags, not comfort. Debt/Equity is N/A, so I cannot assess leverage, and there is no dividend yield. Promoter holding is N/A, another missing piece for an Indian retail investor. The 52-week range of ₹0.32 to ₹15.99 tells me the stock has traveled from penny-stock levels to its high; that kind of move often reflects speculation more than intrinsic value. As a Graham-style investor, I need evidence of stable earnings power, a moat, and a discount to intrinsic value. Here I see rapid historical revenue growth but weak returns, zero current growth, negative ROE, no ROCE, and a lofty valuation relative to book. Buffett would say risk comes from not knowing what you are doing. With these figures, I would wait for consistency and a better price.

The full AI analysis, bull and bear case and key monitorables are in FairStock Pro.

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