Crest Ventures (CREST)
Asset PlayFairStock Score: 6/100 — RISKY
Score breakdown: P/E: 1/3 · ROCE: 0/2 · Growth: 0/2 · Dividend: 0/1
Key Financials
| Current Price | ₹360.8 |
| Market Cap | ₹1,019.87 Cr |
| P/E Ratio | 21.93 |
| ROCE | 9.68% |
| ROE | 3.7% |
| Dividend Yield | 0.28% |
| Profit Growth | -55.3% |
| Debt/Equity | 0.15 |
| Sales Growth | -52% |
| Promoter Holding | 69.75% |
| 52-Week Range | ₹298.15 — ₹418 |
| Sector | Finance |
| Book Value | ₹462.39 |
Strengths
- Trades at ₹361.50 versus book value ₹374.59, a small discount to stated net worth.
- Low debt-to-equity of 0.16 reduces financial distress risk.
- Promoter holding of 69.75% aligns management with minority shareholders.
- Latest quarter remains profitable with net profit of ₹11 Cr despite weak returns.
Concerns
- ROE of just 3.70% shows poor utilisation of shareholder capital.
- Sales and profit are shrinking: down 19.83% and 23.28% respectively.
- Piotroski F-Score of 3/9 signals weak fundamental health.
- P/E of 20.65 is expensive for a declining earnings base, and dividend yield is only 0.29%.
AI Analysis
Let me look at Crest Ventures the way I look at any business: what does it earn on capital, and can I buy it sensibly? At ₹361.50, the stock is slightly below book value of ₹374.59. That looks interesting, but Graham warned that a discount to book is only meaningful if the assets are worth the stated book. For an NBFC, book value is really the collections on loans and investments. I don't have the NPA data, so I must be guarded. The financial health is weak: ROE is just 3.70% and ROCE is 9.68%. A business earning 3.7% on equity is not a wealth compounder. Sales have fallen 19.83% and profits 23.28% — that is a shrinking enterprise, not a franchise. A Piotroski F-Score of 3 out of 9 reinforces the picture of fundamental stress. On the positive side, debt-to-equity is only 0.16, so it is not drowning in leverage. Promoters own 69.75%, so their interests are aligned. But the market cap of ₹985 Cr demands earnings of about ₹47.7 Cr to justify a 20.65 P/E; at current annualised profit around ₹44 Cr, that multiple offers no bargain once you adjust for the decline. Dividend yield of 0.29% means the shareholder receives nothing while waiting. I'd call it a possible asset play, not a quality business. The discount to book gives some cushion, but with deteriorating operations and weak returns, I need a much larger margin of safety. Price-to-book below one is not enough; I want evidence that book value can earn reasonable returns. Without that, this is in the 'too hard' pile.
Data from BSE/NSE filings. AI analysis is for educational purposes only — not investment advice. Scoring methodology · Disclaimer