Captain Techno. (540652)

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

Key Financials

Strengths

• Sales growth of 52.61% and profit growth of 92.49% show strong momentum.
• ROCE of 29.96% indicates efficient use of capital.
• Latest quarter net profit of ₹7 Cr on sales of ₹62 Cr shows healthy margin traction.
• Piotroski F-Score of 7/9 suggests decent financial health.
• PEG of 0.50 implies the valuation may be reasonable if growth continues.

Concerns

• P/E of 36.54 is a high absolute multiple; any growth slowdown would hurt.
• Dividend yield is zero, so returns depend entirely on capital appreciation.
• Missing data on book value, ROE, debt/equity, and promoter holding limits balance-sheet and governance assessment.
• 92.49% profit growth is likely unsustainable and industrial products can be cyclical.

AI Analysis

When I look at Captain Techno, I see a company with real momentum, but I must ask whether the business can keep it. The numbers show impressive recent performance: sales grew 52.61% and net profit jumped 92.49%. Latest-quarter sales of ₹62 Cr and net profit of ₹7 Cr translate to roughly an 11% net margin. ROCE of 29.96% is exactly the kind of capital efficiency Graham admired; it suggests management is earning far more from capital than the average industrial firm. The Piotroski F-score of 7 out of 9 also points to solid financial footing, not just a flash in the pan. Still, I cannot ignore the price. At ₹270, the market capitalisation is ₹311 Cr, and the P/E is 36.54. That is not a cheap price. A PEG ratio of 0.50, however, hints that the market may be pricing in continuing high growth. If the company can sustain a 50%-plus sales growth and high profitability, the valuation may be reasonable. But Mr. Market is always optimistic at the top of a growth cycle. Industrial products are cyclical; today's order boom can become tomorrow's inventory glut. There are also data gaps. I have no book value, ROE, debt/equity, or promoter holding figures. Without these, I cannot judge balance-sheet risk or how aligned promoters are with minority shareholders. The dividend yield is zero, so investors are relying entirely on capital appreciation. I would not call this a Buffett stalwart yet. It is a fast grower, and fast growers reward investors only when growth keeps pace with expectations. I would watch quarterly numbers closely and be ready to temper enthusiasm if the growth rate or ROCE starts to fade.

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