Aayush Art (540718)

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

Key Financials

Strengths

• Reported sales growth of 79.53% shows strong top-line momentum.
• Piotroski F-score of 7/9 suggests some improvement in financial health.
• Positive ROCE of 6.21%, though low, indicates the business is not destroying capital.
• Reported profit growth of 54.17% shows at least some recent earnings expansion.
• Small market cap of ₹194 crore leaves room for growth if execution improves.

Concerns

• P/E of 882.55 and PEG of 13.20 imply extreme overvaluation relative to earnings.
• Latest quarter reported ₹48 crore in sales but ₹0 crore in net profit, showing weak earnings quality.
• No dividend, book value, ROE, debt-equity ratio, or promoter holding disclosed—insufficient transparency for a value investor.
• Current price of ₹126.90 is inconsistent with the stated 52-week range of ₹928.40-₹1,220, raising data integrity concerns.
• ROCE of 6.21% is inadequate for a cyclical textile company with likely high capital needs.

AI Analysis

At ₹126.90, Aayush Art has a market cap of ₹194 crore and a P/E of 882.55. Benjamin Graham would remind me that price is what you pay, value is what you get. Here, I am being asked to pay 882 years of earnings for a textile company whose latest quarter delivered ₹48 crore in sales but exactly ₹0 crore in net profit. That is not an investment; that is hope. The reported sales growth of 79.53% and profit growth of 54.17% would normally get my attention, but growth without durable profitability is just a narrative. ROCE of 6.21% is weak—I can earn better returns on a boring bond, without factory risk. A Piotroski F-score of 7/9 is one bright spot, but it cannot offset a PEG of 13.20, which says the growth is not merely priced in—it is overpaid for. I also cannot square the current price of ₹126.90 with a 52-week range of ₹928.40 to ₹1,220. That is a red flag in the data itself, and in investing, unclear data means I walk away. There is no dividend, no book value, no promoter holding disclosed, and no debt-equity ratio available. Without these basics, I cannot gauge governance or downside protection. This is a small textile player in a competitive, cyclical industry, not a franchise with a moat. The margin of safety is absent. Buffett has said: 'The market is a device for transferring money from the impatient to the patient.' Here, the impatient are paying 882 times earnings; I will remain patient and pass.

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