A B M Internatl. (ABMINTLLTD)

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

Key Financials

Strengths

• Promoter holding is high at 74.70%, indicating aligned ownership.
• Latest quarterly sales of ₹15 Cr annualize to around ₹60 Cr, giving a revenue base to work from if margins recover.
• Small market cap of ₹39 Cr leaves room for high operational leverage if profitability returns.
• The stock trades above its 52-week low of ₹34.00, showing some market support.
• Book value per share is ₹13.74, providing a minimal asset reference point.

Concerns

• Latest quarter reported net loss of ₹3 Cr on sales of ₹15 Cr, showing severe margin erosion.
• Piotroski F-Score of 2/9 indicates very poor fundamental health.
• Sales growth is -8.09% and profit growth is -62.14%, so both top and bottom lines are deteriorating.
• Debt-to-equity of 1.09 with negative ROCE of -6.25% means leverage is working against shareholders.

AI Analysis

As a value investor, I look for businesses I can understand, with durable economics and honest numbers. A B M Internatl is a trading and distribution company, and right away I have to admit: trading businesses rarely offer a moat. The numbers confirm my caution. The latest quarter shows sales of ₹15 Cr but a net loss of ₹3 Cr; that is a deeply negative margin. Profit growth has collapsed by 62.14%, and sales are shrinking at 8.09%. There is no dividend, and the P/E is meaningless because earnings are negative. The Piotroski F-Score of 2/9 tells me the financial health is poor, and return on capital employed at -6.25% means the business is destroying value, not creating it. With debt-to-equity at 1.09, leverage adds risk to an already weak operating picture. The price of ₹45.36 is 3.30 times book value, so even the asset cushion is not cheap. Book value per share is ₹13.74, but I would not pay a large premium for a distributor with falling sales and losses. The one positive is promoter holding at 74.70%, which suggests committed ownership, but commitment alone cannot substitute for profitability. Market cap is just ₹39 Cr, so it is a small speculative situation. I would not call it a compounder or a stalwart. It is a possible turnaround candidate, but there is no evidence yet that management has fixed the business. In Graham's language, this is not a margin of safety; it is a margin of hope. I would stay with a quality business at a fair price over a broken business at a low price.

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