Astral (ASTRAL)
StalwartFairStock Score: 46/100 — MIXED
Score breakdown: P/E: 0/3 · ROCE: 1/2 · Growth: 1/2 · Dividend: 0/1
Key Financials
| Current Price | ₹1,556.3 |
| Market Cap | ₹41,810.03 Cr |
| P/E Ratio | 72.45 |
| ROCE | 19.71% |
| ROE | 13.9% |
| Dividend Yield | 0.26% |
| Profit Growth | 40.58% |
| Debt/Equity | 0.06 |
| Sales Growth | 11.89% |
| Free Cash Flow | ₹117 Cr |
| Promoter Holding | 54.22% |
| 52-Week Range | ₹1,311.9 — ₹1,768.7 |
| Sector | Industrial Products |
| Book Value | ₹151.05 |
Strengths
- Very low leverage: D/E of 0.07 and Altman Z-score of 7.89 indicate strong financial stability.
- Efficient capital use: ROCE of 19.71% and ROE of 13.90% with Piotroski F-Score of 8/9.
- Positive free cash flow of ₹117 Cr despite a weak quarter.
- Promoter holding of 54.22% aligns management interests with minority shareholders.
- 5-year revenue CAGR of 12.92% shows historical compounding capability.
Concerns
- Valuation is extremely stretched: P/E of 86.97 and P/B of 11.70.
- Growth has stalled: sales growth of 6.67% and profit decline of -4.41%.
- Graham Number of ₹238.26 and DCF value of ₹57.92 are far below the current price, implying no margin of safety.
- Dividend yield of just 0.22% provides negligible income support.
AI Analysis
Astral is a quality business, but at ₹1,574.70 I have to ask: am I getting value, or am I paying for hope? The balance sheet is admirable—debt-to-equity of just 0.07, an Altman Z-score of 7.89, and a Piotroski F-Score of 8/9. ROCE of 19.71% and ROE of 13.90% show the company earns decent returns without much leverage. Five-year revenue CAGR of 12.92% shows a solid compounding history, and the latest quarter’s sales of ₹1,542 Cr with net profit of ₹108 Cr confirm it is still operationally alive. Free cash flow of ₹117 Cr is positive but thin relative to the market cap. However, Graham would compare price to intrinsic value and shake his head. The P/E of 86.97 and P/B of 11.70 are far beyond what current earnings power justifies. The Graham Number is only ₹238.26, and the DCF intrinsic value of ₹57.92 leaves a deeply negative margin of safety. Recent numbers reinforce the caution: sales growth slowed to 6.67%, and profit actually fell 4.41%. A dividend yield of 0.22% offers no meaningful downside cushion. The market is paying for Astral’s past success and brand, not for today’s fundamentals. This is an excellent company, but the price makes it a poor investment right now. I would wait for either a much lower valuation or clear evidence of renewed growth. In investing, price is what you pay, quality is what you get—but when the price becomes the whole story, discipline says stay patient.
Data from BSE/NSE filings. AI analysis is for educational purposes only — not investment advice. Scoring methodology · Disclaimer