A2Z Infra Engg. (A2ZINFRA)
TurnaroundScore breakdown: P/E: 1/3 · ROCE: 1/2 · Growth: 2/2 · Dividend: 0/1
Key Financials
| Current Price | ₹14.72 |
| Market Cap | ₹261.31 Cr |
| P/E Ratio | 58.88 |
| ROCE | 13.78% |
| ROE | -118.22% |
| Dividend Yield | 0% |
| Profit Growth | 521.74% |
| Debt/Equity | 3.02 |
| Sales Growth | -20.8% |
| Promoter Holding | 28.14% |
| 52-Week Range | ₹12.02 — ₹19.87 |
| Sector | Construction |
| Book Value | ₹2.8 |
Strengths
- Sales growth of 28.87% shows positive top-line momentum.
- Piotroski F-Score of 7/9 suggests recent fundamental improvement.
- ROCE of 13.78% indicates the operating capital base is generating some return.
- PEG ratio of 0.08 looks optically cheap if profit growth is durable.
Concerns
- ROE is deeply negative at -118.22%, and the latest quarter still shows a net loss of ₹1 crore.
- Debt-to-equity of 3.54 is very high, especially with book value at only ₹2.69.
- At P/B of 6.32 and zero dividend, there is no margin of safety.
- Promoter holding of 28.14% is low, raising governance and alignment concerns.
AI Analysis
At ₹16.99, A2Z Infra has a market cap of only ₹315 crore. In Graham's language, price is what you pay, value is what you get. Here I struggle to calculate real value. Sales grew 28.87%, and reported profit growth is 521.74%—but when the latest quarter still shows a net loss of ₹1 crore, that growth is starting from a fragile base. A P/E of 22.72 is not obviously cheap, and the balance sheet worries me far more. Debt-to-equity stands at 3.54, book value is just ₹2.69, while I am asked to pay ₹16.99—over 6 times book. The company's ROE is negative at -118.22%, meaning shareholder equity is not being turned into profits; it is being eroded. A Piotroski F-Score of 7/9 is a positive signal, and ROCE of 13.78% suggests some operating efficiency, but a civil construction firm with high leverage and promoter holding of only 28.14% does not give me conviction. Promoters have a stake, but not a controlling commitment; I prefer them to be exceptionally aligned. There is no dividend, so my returns depend entirely on execution and the market's mood. At this price, there is no margin of safety. I would wait for sustained positive quarters, lower debt, and better returns on equity. In investing, avoiding loss matters more than chasing percentage growth. A2Z may turn around, but today it fails my test of a great business. I'll keep it on my watchlist, not in my portfolio.
Data from BSE/NSE filings. AI analysis is for educational purposes only — not investment advice. Scoring methodology · Disclaimer