Krupalu Metals (544509)

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

Key Financials

Strengths

• ROCE of 26.54% suggests productive use of capital despite weak demand.
• Quarterly sales of ₹19 Cr relative to a ₹23 Cr market cap offers a low sales-multiple base for a potential cyclical recovery.
• Latest quarter net profit is essentially zero (₹-0 Cr), so the company is not burning large cash while it navigates the downturn.
• Small market cap means even a modest improvement in metal prices or margins could have a meaningful impact on earnings.

Concerns

• Sales growth of -38.61% and profit growth of -119.86% show severe deterioration.
• P/E of 50.54 is rich for a company with near-zero latest quarter profit; there is no margin of safety.
• Piotroski F-Score of 3/9 points to weak financial health.
• Missing book value, debt/equity, promoter holding, and 52-week range data make a Graham-style balance sheet check impossible.

AI Analysis

Let me be honest: this is not the sort of situation Graham would call a bargain. At ₹39.59, Krupalu Metals carries a market cap of just ₹23 Cr and a P/E of 50.54. Yet the business is shrinking: sales are down 38.61% and profit growth has collapsed by 119.86%. The latest quarter shows only ₹19 Cr of revenue and essentially zero net profit. A 50-plus P/E is a price for flawless execution, not for a company fighting negative momentum. The one positive that catches my eye is ROCE of 26.54%. That tells me the capital already in the business is being used productively. With quarterly sales of ₹19 Cr, the revenue engine is large relative to a ₹23 Cr market cap; if metal prices and demand recover, there could be real operating leverage. But that is a cyclical hope, not a statistical bargain. I refuse to build a case on missing numbers. There is no book value, no debt-to-equity, no promoter holding, and not even a 52-week range. The Piotroski F-score of 3 out of 9 confirms a weak financial pulse. No dividend means the small shareholder gets no cash while waiting. In Benjamin Graham's language, this is speculation until the balance sheet and earnings trend prove otherwise. For a patient investor, the only rational approach is to watch quarterly sales and margins, monitor copper, aluminium, and zinc prices, and wait for management to disclose leverage. I need evidence of a durable turnaround before I part with even ₹23 Cr of value.

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