Anuroop Packagin (542865)

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

Key Financials

Strengths

• Sales growth of 27.71% shows demand momentum.
• Piotroski F-Score 7/9 points to improving balance sheet and operating efficiency.
• ROCE of 16.62% is a reasonable return on capital employed.
• If the quoted P/E of 2.81 is accurate, it is a low multiple, but this needs verification.

Concerns

• Quoted P/E of 2.81 cannot be reconciled with ROE of 3.86% and book value of ₹15.56; data reliability is questionable.
• Tiny scale: quarterly sales of ₹4 Cr and profit of ₹1 Cr make results vulnerable to volatility.
• No dividend, promoter holding and debt/equity undisclosed; poor transparency for minority shareholders.
• 318% profit growth is likely from a low or one-off base, not a sustainable compound growth trend.

AI Analysis

At first glance, this looks like the kind of statistical bargain Graham would circle: a ₹35 crore market cap, a P/E of 2.81, and a PEG of 0.02. But nothing in value investing works if the numbers contradict each other. The price of ₹31.16 and book value of ₹15.56 give a P/B of 2.00, which matches. Yet a 3.86% ROE on ₹15.56 book value means earnings per share of only about ₹0.60, implying a P/E closer to 52, not 2.81. So either the P/E, ROE, or profit figure comes from a different period, and I cannot make a sound judgment on an unreliable base. The operating story is small and ordinary. Packaging is a competitive, low-moat industry. The latest quarter shows sales of ₹4 crore and profit of ₹1 crore; that 25% margin, if sustainable, is remarkable, but such small numbers can swing on one order. Sales growth of 27.71% is genuinely encouraging, and the Piotroski score of 7 out of 9 suggests improving fundamentals. ROCE of 16.62% is decent. The 318% profit growth could indicate a turnaround from a depressed base, but it also could be a base effect that will not repeat. There is no dividend, promoter holding is undisclosed, and debt-equity is absent. At 2 times book and at the top of a 52-week range, Mr. Market has already repriced the shares. A market cap of ₹35 crore leaves little margin for error. I need audited financials, clarity on earnings, and evidence that the growth can continue before I commit capital. Price without quality is not a margin of safety; it is a hope. I would wait.

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