Angel Fibers (541006)

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

Key Financials

Strengths

• Low P/E of 10.65 offers a modest earnings-based valuation at current market cap of ₹74 Cr.
• Sales growth of 9.29% shows some business expansion.
• Piotroski F-Score of 7/9 indicates improving financial health and operational efficiency.
• Latest quarter is profitable with ₹2 Cr net profit on ₹110 Cr sales, showing a positive earnings trend.
• Price near the 52-week high of ₹26 reflects market recognition of recovery.

Concerns

• Net profit margin in the latest quarter is under 2%, leaving very little room for error.
• ROCE of 8.76% is modest and may not adequately compensate for capital employed.
• 1000% profit growth is from a very low base and is not a reliable indicator of sustainable growth.
• Key data such as book value, ROE, debt/equity, and promoter holding are unavailable, reducing transparency.

AI Analysis

Examining Angel Fibers, I am reminded that a cheap price tag is not the same as a bargain. At ₹26, market cap ₹74 Cr, P/E of 10.65 looks inviting, but I must look behind the multiple. This is a small textile player in a highly competitive, low-margin industry. Latest quarter sales of ₹110 Cr with net profit of ₹2 Cr gives a net margin below 2%—a slender cushion. ROCE of 8.76% is moderate at best; it does not signal a franchise with pricing power. The 9.29% sales growth is decent but not remarkable. The reported 1000% profit growth is eye-catching, yet it likely reflects a very low base, not a durable compounding engine. The Piotroski F-Score of 7/9 suggests some fundamental improvement, and the stock has moved from ₹9.90 to ₹26, so the market has already noticed. But with no dividend, no book value, no debt/equity or promoter holding data disclosed, I am flying partially blind. Graham would insist on a margin of safety; here the margin is thin and dependent on continued low-base earnings recovery. The PEG of 0.02 is a statistical illusion when base profits are tiny. I would describe this as a possible turnaround rather than a proven grower. If the company can sustain margins, manage leverage, and show clean financials, today's valuation may prove conservative. But until I see stronger returns on capital, better disclosures, and evidence of a moat, I will keep it on the watch list, not in the circle of confidence.

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