Hemant Surgical (543916)

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

Key Financials

Strengths

• Sales growth of 31.49% and profit growth of 70.13% show strong momentum.
• PEG ratio of 0.73 suggests the valuation may be justified if growth continues.
• ROCE of 16.35% is respectable for a small-cap medical equipment business.
• Piotroski F-Score of 7/9 indicates sound fundamentals on available data.
• Latest quarter sales of ₹64 Cr and net profit of ₹5 Cr show continued operating activity.

Concerns

• P/E of 36.94 is rich, leaving little room for any growth disappointment.
• Current price of ₹193.85 is below the 52-week range of ₹215-₹446, showing significant share price weakness.
• Net profit margin in the latest quarter is thin at roughly 7.8%, suggesting limited profitability cushion.
• No dividend yield, so investors depend entirely on capital appreciation.
• Missing data on book value, ROE, debt/equity, and promoter holding limits full assessment.

AI Analysis

Let me look at Hemant Surgical with an owner's eye. At ₹193.85, the market caps the business at ₹209 crore. That seems reasonable in absolute size, but the P/E of 36.94 tells me I am paying a rich multiple for the earnings stream. I am not a man who enjoys paying 37 times profit unless growth is durable. The profit growth of 70.13% and sales growth of 31.49% are certainly eye-catching, and the PEG ratio of 0.73 suggests that, if that growth continues, the price may be more digestible. But 'if' is a dangerous word. The latest quarter shows sales of ₹64 crore and net profit of ₹5 crore; that is a thin net margin, and it reminds me that rapid growth can be fragile. ROCE of 16.35% is respectable, and Piotroski F-Score of 7 out of 9 points to decent financial health, but I am troubled by what I do not know. There is no book value, no ROE, no debt-to-equity ratio, and no promoter holding figure before me. Graham taught me to demand sufficient data before valuing the enterprise; without a balance sheet, I cannot compute a margin of safety. Also, the share trades at ₹193.85, below the 52-week range of ₹215 to ₹446. That is a caution flag. The stock has fallen, and no dividend exists to comfort me while I wait. This is not a stalwart yet. It is a fast grower with strong momentum in sales and profits, but I must watch whether the growth is funded by leverage, whether margins improve, and whether promoters remain invested. If growth decelerates, the high P/E leaves little room for error. I would keep it on a watchlist but demand more transparency before committing capital.

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