Container Corpn. (CONCOR)

FairStock Score: 50/100 — MIXED

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

Key Financials

Strengths

• Low financial risk: Debt/Equity of 0.07 and Altman Z-Score of 3.48
• Strong cash generation: FCF of ₹1,083 Cr exceeds latest quarterly net profit of ₹335 Cr
• Promoter holding of 54.80% aligns long-term ownership
• Piotroski F-Score of 7/9 indicates generally sound operations
• Dividend yield of 1.86% provides modest income while waiting

Concerns

• Expensive valuation: P/E of 29.55 and P/B of 3.11 against near-flat sales growth of 2.01% and profit decline of 2.25%
• No margin of safety: Graham Number of ₹247.66 is far below the market price of ₹504.85, and DCF value of ₹74.61 implies significant overvaluation
• Slow growth: 5-year revenue CAGR of only 6.70%, with latest profit growth negative
• FairStock Score of 51/100 reflects mixed fundamentals

AI Analysis

At ₹504.85, I see a fine company but not a fine investment. CONCOR has a sound balance sheet with debt-to-equity of just 0.07, and promoter holding of 54.80% tells me existing owners have skin in the game. The business generates real cash—free cash flow of ₹1,083 Cr against the latest quarter's net profit of ₹335 Cr—and the Altman Z-score of 3.48 signals no financial danger. The latest quarter's revenue of ₹2,308 Cr and profit of ₹335 Cr offer a steady operating baseline. That is the good part. The stable returns and very low debt suggest some competitive protection, but they are not proof of pricing power. The bad part is valuation and growth. Sales grew only 2.01%, profits fell 2.25%, and even the five-year revenue CAGR is a modest 6.70%. This is not a compounding machine. Yet the market prices the stock at 29.55 times earnings and 3.11 times book, while returns on capital—ROE 10.32%, ROCE 13.87%—are decent but hardly outstanding. As Graham said, price is what you pay, value is what you get. Here, the Graham number is ₹247.66, meaning I have a negative margin of safety, and the DCF value of ₹74.61 is far below today's price. The 1.86% dividend yield offers some comfort, but it cannot compensate for paying a premium for stagnation. FairStock's 51/100 mixed score captures exactly this tension: the franchise is fine, the entry price is not. This is a slow grower, reasonably managed and conservatively financed, but growth is missing. With a Piotroski score of 7/9, operations are stable, but stable is not enough at this price. I would wait patiently, perhaps for a price closer to book value or Graham-style margins, before even thinking of owning it.

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