Cellecor Gadgets (CELLECOR)

FairStock Score: 60/100 — STEADY

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

Key Financials

Strengths

• Sales growth of 50.69% and profit growth of 33.58% show strong expansion.
• PEG of 0.38 suggests the market is pricing in less growth than the company is delivering.
• ROCE of 24.21% indicates efficient use of capital.
• Piotroski F-Score of 7/9 points to sound financial fundamentals.
• Latest quarter shows substantial scale: sales ₹641 Cr and net profit ₹20 Cr.

Concerns

• Profit growth trails sales growth, indicating possible margin pressure.
• No dividend means shareholders rely entirely on management's reinvestment decisions.
• Book value, ROE, and debt-to-equity are unavailable, leaving balance sheet health unclear.
• Consumer electronics is highly competitive with limited pricing power and a weak moat.

AI Analysis

When I look at Cellecor, I first ask: what am I buying? A ₹570 Cr consumer electronics company earning roughly ₹35.8 Cr—so about 15.9 times earnings. That is not demanding, especially when sales are growing at over 50% and profits at 33.6%. The PEG is 0.38, meaning the market is paying less for each unit of growth than the growth rate itself. That catches my attention. But I must be careful. Growth in a commodity-like consumer electronics business is only valuable if it comes with durable advantage. Cellecor's ROCE at 24.21% is genuinely respectable, and a Piotroski F-score of 7 out of 9 suggests the company is not financially deteriorating. Yet the gap between sales growth and profit growth tells me competition or costs are nibbling at margins. The latest quarter shows sales of ₹641 Cr and profit of ₹20 Cr; I'd need to see this repeated, not just one strong quarter. There is no dividend, so management must reinvest those earnings wisely—or my return is just a hope. Promoter holding of 46.30% is adequate but not overwhelming; I want to know if the shares are pledged. Also, book value, ROE, and debt-to-equity are not available. In Graham's language, that is like walking into a shop with no price tags on half the shelves. I cannot call this a wonderful business at a fair price yet. It may be a fair business at a wonderful price, with a P/E of 15.9 and 50% sales growth. But a fair business needs a margin of safety. I would watch margin stability, debt levels, and cash flow before committing significant capital. This looks like a fast grower, but I must be sure growth is not costing too much in risk.

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