Anmol India (ANMOL)

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

Key Financials

Strengths

• Trades at a deep value price: P/E 6.54 and P/B 0.64, i.e. ₹12.08 market price against ₹18.88 book value.
• Piotroski F-Score 7/9 indicates improving fundamentals and limited near-term distress.
• Promoter holding of 50.20% aligns management with minority shareholders.
• Sales growth of 19.67% shows the business is expanding despite being a commodity trader.
• Earnings yield above 15% based on the trailing P/E of 6.54, if the profit level is sustainable.

Concerns

• Extremely thin net margin: latest quarter revenue of ₹303 Cr produced only ₹3 Cr net profit, roughly 1%.
• Leverage is high with D/E 1.85, making the trader vulnerable to coal price or volume shocks.
• Reported 673.68% profit growth is likely a low-base effect; PEG of 0.02 looks misleading.
• Zero dividend yield means no income while waiting for value to be recognized.

AI Analysis

At ₹12.08, this is a cheap-looking ticket. I can buy ₹18.88 of book value for 64 paise on the rupee, and the trailing P/E of 6.54 implies an earnings yield above 15%. But cheapness is not the same as a good business. Anmol India is a coal trader, not a toll bridge. It has no pricing power; it buys coal, sells coal, and earns only a thin spread. The latest quarter makes that clear: ₹303 crore of sales produced just ₹3 crore of net profit—roughly a 1% margin. ROE of 9.84% and ROCE of 9.81% are acceptable, but not exceptional. More troubling is debt/equity of 1.85. A trader with leverage can make a lot when volumes and prices move your way, and suffer brutally when they don't. The 673.68% profit growth looks impressive, but from a tiny base it can mislead; Graham taught me to normalize earnings. The 19.67% sales growth gives some evidence of scale, and the Piotroski F-score of 7 suggests limited financial distress. Also, promoters own 50.20%, so their interests are aligned. Still, with zero dividend, the only return is from price appreciation. I would need to watch working capital, debt levels, and coal demand cycles before acting. This is a cyclical trading business selling below book; it might offer value, but I need to know whether the balance sheet can survive a down cycle.

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