ADF Foods (ADFFOODS)
StalwartFairStock Score: 40/100 — MIXED
Score breakdown: P/E: 1/3 · ROCE: 1/2 · Growth: 2/2 · Dividend: 0/1
Key Financials
| Current Price | ₹262.45 |
| Market Cap | ₹2,883.37 Cr |
| P/E Ratio | 31.36 |
| ROCE | 16.91% |
| ROE | 18.62% |
| Dividend Yield | 0.46% |
| Profit Growth | 13% |
| Debt/Equity | 0.1 |
| Sales Growth | 25.9% |
| Promoter Holding | 36.13% |
| 52-Week Range | ₹153.1 — ₹346.95 |
| Sector | Food Products |
| Book Value | ₹52.06 |
AI Analysis
AI-generated, general educational analysis — not personal investment advice.
At first glance, ADF Foods looks like the kind of compounder I would study twice. Sales jumped 29.51% and profit grew 44.88% — that is the sort of consistency that creates value over decades. The balance sheet supports the story: debt/equity of only 0.11, return on equity of 18.62% and return on capital of 16.91%. A Piotroski score of 7 out of 9 tells me the fundamentals are not cosmetic; the business is generating earnings and improving its financial health. But I must be careful. At ₹249.90, I am paying 25.35 times earnings and 5.82 times book value. Graham taught me to buy with a margin of safety, not at a price that already assumes perfection. The PEG ratio of 0.68 softens the blow if the recent growth can be sustained, but packaged foods is a competitive arena. Brands can be resilient, but switching costs are low and shelf space must be earned repeatedly. Promoter holding of 36.13% is adequate, not commanding, so minority shareholders must rely on competent stewardship without excessive ownership alignment. The latest quarter — sales of ₹191 Cr and profit of ₹22 Cr — suggests momentum remains intact. Dividend yield of 0.61% is a minor sweetener, not the reason to own the stock. The 52-week range of ₹153.10 to ₹346.95 reminds me that this share has swung widely; buying at ₹249.90 carries real multiple risk if growth decelerates. A FairStock score of 46/100 says the picture is mixed, and I respect that. I would want more clarity on how durable the moat is and whether management can keep investing at these returns. The price matters; at the right price, ADF Foods could be a beautiful business. At today's price, the safety margin is thin.
The full AI analysis, bull and bear case and key monitorables are in FairStock Pro.
Data from BSE/NSE filings. AI analysis is for educational purposes only — not investment advice. Scoring methodology · Disclaimer