Escorp Asset Mgt (540455)

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

Key Financials

AI Analysis

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

Let me look at Escorp Asset Mgt through the lens of Graham and Buffett. The first thing that hits me is the collapse: sales down 90.13% and profit down 88.47%. That is not a slow fade; that is a business that has lost its way. At a P/E of 27.34, I am paying a high multiple for shrinking earnings. Book value of ₹52.45 gives some anchor, but at ₹71.44, I am paying 1.36 times book — a 36% premium over asset value for a company whose return on equity is just 5.73%. That is roughly bank deposit territory, but with far more risk. The Piotroski F-score of 3 out of 9 is a red flag, indicating poor financial health across multiple metrics. Yes, ROCE is 32.96%, which looks attractive, but it is meaningless when sales and profits have evaporated. The latest quarter shows only ₹1 Cr of sales and ₹1 Cr of profit — the engine is barely running. No dividend, zero yield, and the stock trading near ₹71.44 versus a 52-week high of ₹212.95 tells me the market has repriced expectations. But repricing alone doesn't create value. As Buffett says, 'It's far better to buy a wonderful company at a fair price than a fair company at a wonderful price.' This is a possible turnaround, but I need evidence of stabilization — several quarters of sequential sales growth and margin recovery — before I even consider putting a rupee to work. Right now, the odds are not in my favor.

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