Prime Fresh (540404)

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

Key Financials

Strengths

• Sales growth of 36.66% and profit growth of 149.72% indicate strong compounding; PEG of 0.32 suggests growth is not fully priced.
• ROCE of 19.01% and ROE of 14.94% show reasonable capital efficiency.
• Piotroski F-score of 7/9 points to solid financial fundamentals.
• Latest quarter delivered ₹74 crore sales and ₹5 crore net profit, showing current operating momentum.
• Small market cap of ₹252 crore leaves room for continued expansion if growth is durable.

Concerns

• P/E of 29.59 and P/B of 3.69 leave a thin margin of safety at the current price.
• Zero dividend yield means investors must rely entirely on capital appreciation.
• Debt/equity and promoter holding are not available, creating transparency concerns.
• Profit growth far exceeding sales growth may not be sustainable as margins get competed away.

AI Analysis

At ₹185, Prime Fresh carries a market cap of just ₹252 crore. A P/E of 29.59 and a P/B of 3.69 mean I am not paying a Graham-style dumpster price. But I am willing to pay for growth if it is real. Sales grew 36.66% and profits jumped 149.72%, so the business is compounding. The PEG ratio of 0.32 would interest any value investor: the market's price may understate the growth. ROCE at 19.01% is respectable, and ROE at 14.94% is solid. A Piotroski F-score of 7/9 suggests the firm isn't just growing; it is also managing its financials sensibly. The latest quarter's ₹74 crore sales and ₹5 crore profit show momentum, though the trailing P/E tells me agricultural earnings can be lumpy. Still, this is not a wide-moat stalwart. 'Other Agricultural Products' is a commodity-like space; pricing power and moats are hard to build. More importantly, I have no debt/equity figure and no promoter holding. Graham was obsessive about information. A minority shareholder flying blind is a warning. And with zero dividend yield, my entire return depends on future growth—there is no cash buffer if growth stalls. Profit growth is running well ahead of sales growth. That sort of margin expansion gets competed away. The share has already fallen from ₹324.50 to ₹185, so the market understands the risk. At P/E 29.59, the stock prices in success. I would call this a fast grower with a thin margin of safety. I would watch the next few quarters closely before investing.

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