City Crops Agro (544000)

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

Key Financials

Strengths

• ROCE of 8.46% is positive, suggesting the existing capital base still earns a modest operating return despite the reported net loss.
• The stock trades at the top of its 52-week range (₹15.68–₹26.61), indicating improving market sentiment around the company.
• A small market capitalisation of ₹43 crore means a successful operational recovery could have a meaningful per-share effect.

Concerns

• Sales growth is -85.36%, showing a severe collapse in business activity.
• Profit growth of -575.61% and a latest-quarter net loss of ₹6 crore against ₹3 crore of sales indicate significant cash burn.
• A Piotroski F-Score of 3/9 points to poor financial health across profitability, leverage, and efficiency dimensions.
• Key disclosures—book value, debt/equity, promoter holding, and ROE—are unavailable, leaving no basis for margin-of-safety analysis.

AI Analysis

At ₹26.61, City Crops Agro carries a market capitalisation of just ₹43 crore. Small size alone does not scare me, but a P/E of 0.00 and a profit growth figure of -575.61% tell me there is no reliable earnings stream to appraise. Graham taught me to begin with a record of earnings; this business has lost that record. Sales are down 85.36%. The latest quarter generated only ₹3 crore of revenue and a net loss of ₹6 crore—meaning the company is losing twice what it sells in a quarter. That is a serious cash burn, not a value opportunity. The one bright figure, ROCE of 8.46%, suggests the existing capital base earns a modest operating return, but with ROE, book value, debt-to-equity and promoter holding all unavailable, I cannot assess the balance-sheet risk. The Piotroski F-Score of 3/9 supports my concern: this is a financially weak company. Dividend yield is zero, so shareholders receive nothing while risking their capital. The price has risen from ₹15.68 to ₹26.61, near the top of its 52-week range, but in my view a soaring price on crashing fundamentals is market speculation, not investment. Without a moat, without pricing power, and with a shrinking agricultural-products business, I see no durable competitive advantage. I cannot compute a margin of safety when so many foundational data points are missing. This is, at best, a speculative turnaround candidate—not a compounding machine. I would need to see several quarters of sales recovering, losses narrowing, and the balance-sheet clarified before I would even begin a serious analysis. For now, the prudent course is to stay with what I can understand and value. City Crops Agro fails that test.

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