Ashiana Housing (ASHIANA)
CyclicalFairStock Score: 13/100 — RISKY
Score breakdown: P/E: 1/3 · ROCE: 0/2 · Growth: 2/2 · Dividend: 0/1
Key Financials
| Current Price | ₹362.45 |
| Market Cap | ₹3,643.52 Cr |
| P/E Ratio | 30.2 |
| ROCE | 3.33% |
| ROE | 14.33% |
| Dividend Yield | 0.69% |
| Profit Growth | 3.8% |
| Debt/Equity | 0.35 |
| Sales Growth | -63.3% |
| Promoter Holding | 61.11% |
| 52-Week Range | ₹269.45 — ₹448 |
| Sector | Realty |
| Book Value | ₹90.58 |
AI Analysis
AI-generated, general educational analysis — not personal investment advice.
Ashiana has delivered a headline surge: sales up 171.73%, profit up 289.88%. But I learned long ago that the future is never clear when you peek in the rearview mirror. In real estate, earnings are episodic. A single project handover can distort quarterly and annual numbers. At ₹340.75, the market capitalizes Ashiana at ₹3,260 Cr. That is 27.80 times trailing earnings. For that price, I expect a business with strong returns on capital and a durable advantage. Ashiana shows ROE of 16.04%, which is respectable, but ROCE of only 3.33% bothers me deeply. A developer earning over 27 times earnings while generating only 3.33% on capital employed is being valued for perfection. The balance sheet is manageable: debt/equity 0.40, and promoter holding of 61.11% aligns interests. But dividend yield of 0.77% offers little while waiting. Book value is ₹76.32, so the price-to-book of 4.46 leaves a thin margin of safety. The Piotroski F-score of 7/9 suggests recent fundamental improvement, but a FairStock score of 33/100 cautions me. The PEG ratio of 0.12 appears cheap only if profit growth continues at this explosive pace. My rule: growth must be predictable, not merely impressive. Real estate is cyclical, capital-intensive, and sensitive to consumer sentiment. In the latest quarter, sales of ₹362 Cr and net profit of ₹57 Cr imply a net margin around 15.7%, but one quarter does not build a castle. This looks like a cyclical upturn dressed as a fast grower. I would place it in the too-hard pile at this valuation. I need a margin of safety; at 4.46 times book and 27.8 times earnings, I do not have one.
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Data from BSE/NSE filings. AI analysis is for educational purposes only — not investment advice. Scoring methodology · Disclaimer