Neopolitan Pizza (544269)

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

Key Financials

Strengths

• Latest quarter revenue of ₹13 Cr gives a meaningful operating base relative to the ₹16 Cr market cap, if margins can recover.
• ROCE is positive at 3.13%, so the company is not completely destroying capital.
• Low absolute market cap (₹16 Cr) and share price of ₹9.29 offer a small-ticket entry for microcap investors, but position sizing must be tiny.
• Being listed on NSE/BSE provides price discovery and regulatory reporting, though disclosures remain thin.

Concerns

• Sales fell 21.25%; the topline is shrinking.
• Profit growth collapsed 92.77%, and latest quarterly net profit is ₹0 Cr—no earnings power.
• Piotroski F-Score of 3/9 signals weak financial health.
• Critical data absent: no book value, ROE, debt/equity, promoter holding or 52-week range; unable to perform Graham-style downside valuation.

AI Analysis

Let me start with what I know: Neopolitan Pizza has a market cap of ₹16 Cr and latest quarter sales of ₹13 Cr. At ₹9.29 per share, the price is low, but a low price is not value. Sales have contracted 21.25%, and profit growth is down 92.77%. The latest quarter's net profit is round zero. A business earning nothing cannot be valued on a P/E; the reported 0.00 is an admission that earnings power is absent. ROCE of 3.13% would not even cover a reasonable cost of capital. Graham taught me to demand a margin of safety; here, there is no margin. The Piotroski F-Score of 3/9 underlines the poor health—signals from returns, leverage, and efficiency are largely failing. What bothers me even more is what I do not see: no book value, no debt-to-equity, no promoter holding, and no dividend. In a tiny ₹16 Cr company, promoter skin in the game matters enormously. Without it, I cannot assess whether this is a genuine business or a shell with a pizza label. Yes, there is some revenue—₹13 Cr in the quarter is not nothing—but revenue without profit is just turnover. The industry classification 'Other Agricultural Products' contradicts the name; that confusion tells me management has not made the story simple. In Graham's world, an investment must be a business first, and this business is shrinking and barely earning. I cannot call it a fast grower or a stalwart. It is a possible turnaround if profitability returns, but I have no evidence of a catalyst. Price of ₹9.29 is a quote; intrinsic value is unknown. Therefore, I will leave it to speculators. As Buffett says, it is far better to buy a wonderful company at a fair price than a fair company at a wonderful price—and this is neither wonderful nor clearly cheap.

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