Aimtron (AIMTRON)

FairStock Score: 47/100 — MIXED

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

Key Financials

Strengths

• Revenue growth of 112.48% and profit growth of 81.48% show a fast-expanding business.
• ROCE of 29.16% indicates strong capital efficiency.
• Piotroski F-Score of 7/9 suggests good earnings quality and financial health.
• Promoter holding at 70.90% aligns management with minority shareholders.
• PEG ratio of 0.48 suggests the high multiple may be supported if growth continues.

Concerns

• P/E of 46.27 involves high expectations; the earnings yield is only about 2.2% and there is no dividend.
• Book value, ROE, and debt/equity are not available, limiting a Graham-style safety-margin check.
• FairStock Score of 46/100 is mixed, and the stock is down sharply from its ₹1,740 52-week high.
• Profit growth at 81.48% is trailing sales growth at 112.48%, indicating possible margin pressure.

AI Analysis

Whenever I evaluate a company, I begin by asking whether the business earns high returns on capital and has a durable edge. Aimtron shows some lovely numbers on the surface: sales grew 112.48% and profit grew 81.48%. The latest quarter sales of ₹123 crore and net profit of ₹20 crore imply a net margin of roughly 16%. ROCE of 29.16% is genuinely impressive, and a Piotroski score of 7/9 suggests the reported profitability is not merely cosmetic. Promoter holding of 70.90% also gives me comfort that management's interests are tied to shareholders. Yet Benjamin Graham taught me that price is part of the investment, not just the business. At ₹1,018.40, the market cap is ₹1,607 crore and the P/E is 46.27. That means I am paying almost 46 times earnings for a company whose profit is still growing at 81.48%. The PEG ratio of 0.48 looks attractive only if that growth is durable; high-growth industrial businesses rarely compound at such rates forever. I also notice the absence of a dividend, with a 0.00% yield. As a value investor, I expect either an attractive earnings yield or a strong reinvestment opportunity; at this price, the earnings yield is barely 2%. The FairStock Score is a mixed 46/100, and the share has ranged from ₹632.60 to ₹1,740.00 in the past year, reminding me of the volatility that comes with momentum. I like Aimtron as a fast-growing industrial-products business with strong capital efficiency and high promoter skin in the game. But I cannot call it a bargain. I would need more evidence about book value, debt, and return on equity, and a lower price or several more quarters of this execution, before I commit significant capital. As Buffett says, you can be a great investor by not swinging at every pitch.

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