Net Avenue (CBAZAAR)
TurnaroundScore breakdown: P/E: 0/3 · ROCE: 0/2 · Growth: 2/2 · Dividend: 0/1
Key Financials
| Current Price | ₹15.55 |
| Market Cap | ₹33.36 Cr |
| P/E Ratio | 0 |
| ROCE | -43.93% |
| ROE | —% |
| Dividend Yield | 0% |
| Profit Growth | 46.85% |
| Debt/Equity | — |
| Sales Growth | -17.56% |
| Promoter Holding | 33.28% |
| 52-Week Range | ₹3.05 — ₹15.55 |
| Sector | Retailing |
Strengths
- Latest quarter sales of ₹12 Cr are higher than the entire market cap of ₹10 Cr, giving a low sales multiple if operations stabilise.
- Reported profit growth of 46.85% suggests the loss-making trend may be improving.
- Piotroski F-Score of 5/9 is not poor and indicates some positive financial signals.
- Current price of ₹4.95 is above the 52-week low of ₹3.05, so it is not at a distressed low.
Concerns
- Net loss of ₹1 Cr in the latest quarter; P/E is 0.00 because there are no earnings.
- ROCE is -43.93%, meaning capital is being destroyed at an alarming rate.
- Sales growth is -17.56%, showing shrinking demand for the business.
- Promoter holding of only 33.28% is low, creating governance and control risk.
AI Analysis
Looking at Net Avenue, I am reminded that in e-commerce, revenue without profits is just postponement. The latest quarter shows ₹12 Cr of sales but a net loss of ₹1 Cr. Over a year, that is no earnings to value, hence the meaningless P/E of 0.00. My first test is profitability: ROCE is -43.93%, destroying capital. Sales are shrinking 17.56% year-on-year, which tells me the business is not gaining traction. The reported profit growth of 46.85% is misleading without context; it still ends in a loss. There is no moat here. E-retail in India is a brutal competitive arena with giants and deep-pocketed players. A microcap with ₹10 Cr market cap and promoter holding of just 33.28% gives little margin of safety. Piotroski F-Score of 5/9 is mediocre, not a sign of financial strength. On valuation, the market cap is only ₹10 Cr against quarterly sales of ₹12 Cr, but cheap sales mean nothing if losses continue and cash burns. I would need evidence of a clear path to profitability, stabilizing sales, and better capital allocation. This is not a business I can confidently call a wonderful compounder. It might be an early turnaround, but I prefer to wait until the numbers prove the turn. As Graham said, price is what you pay, value is what you get; here, I don't yet see intrinsic value emerging from these figures.
Data from BSE/NSE filings. AI analysis is for educational purposes only — not investment advice. Scoring methodology · Disclaimer