Brookfield India (BIRET)

FairStock Score: 53/100 — MIXED

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

Key Financials

Strengths

• Strong growth record: 5-year revenue CAGR of 78.68% and latest quarter sales of ₹690 Cr with ₹201 Cr profit.
• Healthy free cash flow of ₹1,767 Cr provides cover for the 4.86% dividend yield.
• Debt/equity of 0.62 is reasonable for a capital-intensive REIT.
• Piotroski F-Score of 7/9 suggests improving fundamental health.
• PEG ratio of 0.23 implies the growth is not overly expensive if current momentum persists.

Concerns

• P/E of 55.06 is steep, and the price is currently below the observed 52-week range of ₹312-376.
• Low ROE of 3.73% and ROCE of 5.38% indicate modest returns on the large asset base.
• Profit growth of 464% may be low-base or non-recurring; sustainability needs to be confirmed.
• Promoter holding data is N/A, making it difficult to judge governance and alignment.

AI Analysis

Brookfield India is an unusual candidate for a Graham-style check. It is a REIT, so it exists to hold real estate and pass out income. At ₹298.51, the market cap is ₹28,544 Cr, and the stock trades below the reported 52-week range of ₹312-376. That is an immediate caution flag. Growth looks eye-catching: sales rose 14.78%, the five-year revenue CAGR is 78.68%, and the latest quarter delivered ₹690 Cr sales and ₹201 Cr net profit. Profit growth of 464% sounds excellent, but I always ask: from what base? If that jump is low-base or one-off, the PEG of 0.23 will be misleadingly cheap. The trailing P/E of 55.06 means the market has already priced in a long runway of growth. As value investors, we do not pay today for perfection. The balance sheet is not frightening: debt/equity is 0.62, which is acceptable for a real estate trust, and free cash flow of ₹1,767 Cr covers the 4.86% dividend yield. But the underlying economics are modest: ROE is only 3.73% and ROCE 5.38%. That tells me this is an asset-heavy business with a limited moat, not a brand-driven consumer franchise. The Piotroski score of 7 suggests recent operational improvement, and FairStock's 53/100 mixed score feels appropriate. I want durable cash generation, an honest management team, and a margin of safety. This is a growing REIT with good cash flows, but the current price demands a lot. I would rather wait for a better entry point or evidence that growth is sustainable for many years.

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