Retina Paints (543902)

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

Key Financials

Strengths

• Revenue momentum is strong: sales grew 37.22%.
• Latest quarter still generated ₹8 crore in sales, giving some operating scale.
• ROCE is positive at 8.06%, so operations are not deeply loss-making.
• Stock is trading near the upper end of its 52-week range, reflecting market optimism.

Concerns

• Profit growth collapsed by 42.86%, and latest quarter net profit is ₹0 crore.
• P/E of 79.56 is extremely high for a company with near-zero current earnings.
• ROCE of 8.06% is inadequate for a business priced for high growth.
• Piotroski F-Score of 4/9 and missing balance-sheet data increase uncertainty significantly.

AI Analysis

At first glance, the 37.22% sales growth catches my eye. But Mr. Market prices perfection. Retina Paints has a market cap of ₹116 crore, and at a P/E of 79.56, I am being asked to pay nearly eighty years of current earnings for that growth. Yet what do the latest figures show? Profit growth is down 42.86%, and the latest quarter's net profit is essentially zero on sales of ₹8 crore. That is not a business creating shareholder value; it is a business spending money to chase revenue. Return on capital employed is only 8.06%, an ordinary number for a small company with no obvious moat. The Piotroski F-Score of 4/9 reinforces my discomfort: the company scores poorly on financial health. The advertised PEG of 2.14 is misleading because it appears to be based on sales growth, while actual earnings have declined. A zero dividend yield and missing data on book value, promoter holding, and debt-equity remove this from my circle of competence. I cannot calculate intrinsic value without reliable profitability and balance sheet details. As Graham would say, price is what you pay, value is what you get. Here, paying ₹75.50, near the top of its 52-week range, for a business earning nothing last quarter gives me no margin of safety. I would rather miss the opportunity than risk permanent capital. If Retina Paints can prove it can translate its sales growth into real profits, generate higher ROCE, and strengthen its balance sheet, I will revisit it. Until then, this is a speculation, not an investment.

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