Bharat Wire (BHARATWIRE)

FairStock Score: 27/100 — RISKY

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

Key Financials

AI Analysis

AI-generated, general educational analysis — not personal investment advice.

I am a value investor, so I begin with the business and the price. Bharat Wire operates in iron and steel products, a cyclical, commodity-like industry where durable moats are rare. At ₹188.01, market cap is ₹1,290 Cr, P/E 25.97, P/B 1.59, and book value ₹118.20. The balance sheet is the brightest spot: debt/equity of 0.09 is conservative. ROE of 10.94% and ROCE of 13.38% are positive but not exceptional; I want higher returns on capital for a true compounding machine. Past growth was good—5-year revenue CAGR 18.78%—but the present is weak: sales growth -8.00%, profit growth -39.50%. Latest quarter sales ₹143 Cr and net profit ₹18 Cr show profit exists, but the trend is down. Piotroski F-Score 6/9 is acceptable, and PEG 0.70 hints the price may not be demanding if growth returns. However, P/E 25.97 on shrinking profit leaves little margin of safety, and FairStock Score 27/100 flags risk. No dividend, promoter holding 41.27%, and a 52-week range of ₹148.01–₹262.20 indicate volatility. This is not a Graham net-net or Buffett-quality moat. It is a cyclical turnaround bet: low debt helps it survive, but I would wait for evidence that sales and profits are inflecting before paying above book. The 5-year CAGR gives hope this is cyclical rather than terminal, yet I cannot underwrite a recovery I have not seen. With zero dividend yield, all return depends on future earnings and sentiment. I would watch the next few quarters closely.

The full AI analysis, bull and bear case and key monitorables are in FairStock Pro.

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