Albert David (ALBERTDAVD)

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

Key Financials

Strengths

• Trading at ₹717.55 versus book value ₹725.05, P/B 0.99, offers near-book downside support.
• Low debt: D/E 0.11, so balance sheet risk is limited.
• Promoter holding 62.24% aligns management with minority shareholders.
• Piotroski F-score 7/9 indicates improving financial fundamentals.
• Latest quarter net profit ₹15 Cr on sales ₹90 Cr; if sustained, earnings power is substantially higher.

Concerns

• Trailing P/E 42.28 and ROE 2.33% reflect weak historical profitability; 262.94% profit growth is from a low base.
• Sales growth of only 8.25% and ROCE of 6.45% imply modest returns and no clear moat.
• Dividend yield 0.70% is low for a value investment.

AI Analysis

When I look at Albert David, I see a small pharmaceutical company selling at nearly its book value—price ₹717.55 against book value ₹725.05. That alone is interesting to a Graham disciple. But value investing is not just buying cheap assets; it is buying assets that can earn a satisfactory return. Here the historical scorecard is weak: ROE is just 2.33% and ROCE only 6.45%. You are paying almost book for a business that has not yet proven it can generate high returns on that book. Profit growth of 262.94% sounds spectacular, but a base effect can fool you. The trailing P/E of 42.28 tells me past earnings were small. The latest quarter gives some hope: sales of ₹90 Cr and net profit of ₹15 Cr. If that were sustained for a year, the earnings picture would change dramatically, but one quarter is not a trend. Sales growth of 8.25% is steady, not exciting. This is a competitive pharma world, and I find no wide moat here. The balance sheet is clean: debt/equity only 0.11. Promoter holding at 62.24% gives me comfort that owners are aligned. A Piotroski F-score of 7/9 suggests fundamentals are improving. Dividend yield of 0.70% is not a reason to buy. The PEG ratio of 0.31 is meaningless because the growth number is distorted by a low base. I would treat this as a possible turnaround rather than a wonderful compounder. The margin of safety comes from buying near book value with low debt; the upside depends on whether the improved quarterly profitability can be repeated. I would watch the next few quarters before acting.

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