Unifinz Capital (541358)

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

Key Financials

Strengths

• Sales growth of 296.19% and profit growth of 340.72% indicate very strong recent momentum.
• Piotroski F-Score of 7/9 suggests the improving financial metrics have some fundamental support.
• Trailing P/E of 5.58 and PEG of 0.02 appear extremely cheap if the recent growth is durable.
• Latest quarter profit of ₹27 Cr against a market cap of ₹69 Cr shows powerful current earnings power.
• ROCE of 47.09% and ROE of 356.76% signal exceptional reported returns on a tiny capital base.

Concerns

• P/B of 41.04 and book value of ₹4.96 mean investors are paying an enormous premium for a very thin equity cushion.
• Debt/Equity is N/A and promoter holding is N/A, leaving critical NBFC financial health and governance questions unanswered.
• Latest quarter profit of ₹27 Cr dwarfs the roughly ₹12 Cr trailing earnings implied by the P/E, raising serious sustainability concerns.
• Dividend yield of 0.11% is negligible, and the stock sits at its 52-week high, so the market has already priced in optimism.

AI Analysis

Looking at Unifinz Capital, I am reminded that extraordinary numbers often demand extraordinary skepticism. A P/E of 5.58 with 296% sales growth and 340% profit growth sounds like a dream; a PEG of 0.02 screams cheap. But Graham taught me to weigh the balance sheet before the income statement, and here the price-to-book of 41.04 with a book value of only ₹4.96 per share means the market is capitalizing a tiny equity base into a ₹69 Cr enterprise. The latest quarter—₹148 Cr sales and ₹27 Cr profit—is impressive on its face, but it is far larger than the trailing earnings implied by the P/E; I cannot tell whether this is a burst of one-time income, aggressive recognition, or a genuine inflection. With ROE of 356% and ROCE of 47%, the return on the small stated equity is spectacular, yet NBFCs need a durable cost of funds and a manageable loan book. Debt/Equity is unavailable, promoter holding is unavailable, and the FairStock Score is insufficient—these are not omissions a value investor can brush aside. The dividend yield of 0.11% returns almost nothing to shareholders while waiting; this is a growth thesis, not an income thesis. If the latest quarter is sustainably repeatable, the stock is absurdly cheap; if not, the tiny book value leaves no margin of safety. With the stock at the top of its 52-week range, ₹203.55 versus ₹85 a year ago, momentum and enthusiasm are doing the talking. I would wait for audited annual numbers, debt disclosure, and proof of capital adequacy before calling this a classic Graham bargain.

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