Storage Tech (544171)

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

Key Financials

Strengths

• ROCE of 18.23% indicates decent capital efficiency despite the current loss.
• Sales growth of 7.86% shows the business is still expanding.
• Dividend yield of 0.71% suggests some cash return to shareholders.
• Market cap of ₹54 Cr versus quarterly sales of ₹47 Cr implies a low price-to-sales level if the business stabilizes.

Concerns

• Latest quarter net loss of ₹-2 Cr and profit growth of -225% show serious earnings deterioration.
• P/E of 58.14 and PEG of 7.40 make the stock expensive or meaningless when profits are falling.
• Piotroski F-Score of 4/9 points to weak financial health.
• Missing data on book value, promoter holding, and 52-week range leaves too many critical gaps for a value investor.

AI Analysis

Let me start by saying what I like. Storage Tech operates in industrial products, a sector I can roughly understand, and its reported ROCE of 18.23% is not something you see every day. The company also grew sales by 7.86%, and it pays a small dividend yield of 0.71%. At ₹54 Cr market cap against quarterly sales of ₹47 Cr, Mr. Market is not assigning a high multiple to turnover. But that is where the good news ends. The latest quarter shows a net loss of ₹2 Cr, and profit growth is -225%. As Graham said, the figures are the beginning, not the end. A P/E of 58.14 is meaningless when earnings are collapsing; a PEG of 7.40 tells me the price has run far ahead of any reasonable growth. The Piotroski F-Score of 4/9 is a warning flag—financial health is weak. I also have no book value, no promoter holding figure, and no 52-week range. I cannot intelligently value a business when I don't know the book value or who controls it. Storage Tech may have a viable industrial franchise, and an 18% ROCE suggests the underlying business has some capital discipline. But a small-cap company with negative quarterly profit, weak F-score, and expensive-looking multiples is not a Graham-style bargain. I would need evidence of a durable turnaround: consistent positive quarterly profits, stable margins, and a cleaner balance sheet. Until then, I'll keep it on the watchlist, not in the portfolio. The price is not the value; here, the value is unproven.

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