Sattrix Infor. (544189)

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

Key Financials

Strengths

• ROCE of 23.63% reflects efficient use of capital in an asset-light IT services model.
• Sales growth of 26.45% shows the business is still expanding.
• Piotroski F-Score of 7/9 points to reasonably sound fundamentals.
• Latest quarter's ₹2 Cr profit on ₹28 Cr sales suggests improving momentum.
• PEG of 0.21 looks attractive if the current growth trajectory can be sustained.

Concerns

• Trailing P/E of 44.29 is high for a ₹121 Cr small-cap; profit growth may be a low-base effect.
• Current price ₹172.55 is below the stated 52-week low of ₹174 and far off the ₹451 high, showing severe volatility.
• Zero dividend yield and missing promoter holding/book value/debt data limit ability to assess risk.
• Latest-quarter profit must be proven sustainable; one quarter does not establish a trend.

AI Analysis

Sattrix Infor puzzles me, and in investing puzzles are usually a warning. The market cap is only ₹121 Cr, yet the trailing P/E is 44.29. Sales grew 26.45% and profit grew 402.50% — but profit growth of that size is almost always a base effect, not a new normal. The latest quarter does catch my eye: ₹28 Cr sales and ₹2 Cr profit, about a 7% margin. If that quarterly rate were to persist for a full year, that would be roughly ₹8 Cr of profit against a ₹121 Cr market cap, making the shares look much cheaper than the reported P/E. But one quarter proves nothing. ROCE at 23.63% is decent; it tells me the company does not need enormous capital to run its IT-enabled services. The Piotroski score of 7 out of 9 gives me some comfort on financial strength. Still, I cannot measure a moat from these numbers. There is no disclosed promoter holding, no book value, no debt-to-equity ratio. The price action is a red flag: the stock is at ₹172.55, below the stated 52-week low of ₹174 and far below the ₹451 high. Dividend yield is zero, so any return must come from future earnings. Benjamin Graham taught me to buy with a margin of safety. At 44 times trailing earnings, with scarce disclosure and a tiny profit base, the margin of safety is thin. The PEG ratio of 0.21 only matters if the 402% profit growth is repeatable, which I doubt. Sattrix looks like an intriguing fast grower, but I would wait for more quarters of consistent earnings, better disclosures, and a clearer view of its competitive position before committing capital.

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