Shree Marutinand (544083)

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

Key Financials

Strengths

• Sales growth of 43.70% and profit growth of 46.48% show strong recent momentum
• PEG of 0.15 and P/E of 6.56 suggest the market is pricing in low expectations relative to past growth
• ROCE of 17.46% signals efficient capital use despite commodity pressures
• Piotroski F-Score of 7/9 indicates reasonable financial health and improving fundamentals
• Latest quarter sales of ₹78 crore are substantial relative to the ₹75 crore market cap, showing meaningful business scale

Concerns

• Latest quarter net margin is only about 1.3% (₹1 crore profit on ₹78 crore sales), so profitability is fragile
• No dividend yield—any return must come from capital gains, not business distributions
• Critical data unavailable: book value, ROE, debt/equity, and promoter holding—cannot assess leverage and governance
• Stock has already risen from ₹40 to ₹201.40 in the 52-week range, so much of the good news may be priced in

AI Analysis

At ₹201.40, Shree Marutinand has a market cap of only ₹75 crore—a microcap even by Indian standards. The headline numbers look like a Graham screen: P/E of 6.56, sales growth of 43.70%, profit growth of 46.48%, and a PEG of 0.15. But I have learned that in commodity industries, cheap can become expensive quickly. Iron and steel is a price-taking business; no moat is visible to me. The latest quarter helps me understand the risk: sales of ₹78 crore produced just ₹1 crore of net profit—a trailing margin of roughly 1.3%. That is razor-thin and vulnerable to input costs, steel prices, and global cycles. The stock has already moved from ₹40 to ₹201.40 in 52 weeks, so market expectations are stretched even if the stated P/E looks low. The P/E implies annual earnings of about ₹11 crore, but annualizing the latest quarter's ₹1 crore gives only ₹4 crore. This inconsistency prevents me from trusting the earnings multiple blindly. On the positive side, ROCE of 17.46% is respectable, and a Piotroski F-Score of 7/9 suggests improving financial health. Still, I cannot compute book value, ROE, or debt-to-equity because those figures are absent. Promoter holding is also unknown. That is too much uncertainty for an investment, not with a zero dividend yield where my entire return depends on someone paying more later. I would stay with my circle of competence: I need more data, more history, and more evidence that this growth is sustainable before I put a rupee in. At this price, the margin of safety is not visible. It is a speculation, not yet an investment.

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