Energy Devl.Co. (ENERGYDEV)
TurnaroundScore breakdown: P/E: 0/3 · ROCE: 0/2 · Growth: 2/2 · Dividend: 0/1
Key Financials
| Current Price | ₹16.85 |
| Market Cap | ₹80.04 Cr |
| P/E Ratio | 0 |
| ROCE | 3.89% |
| ROE | -6.99% |
| Dividend Yield | 0% |
| Profit Growth | 641.67% |
| Debt/Equity | 15.01 |
| Sales Growth | -38.4% |
| Promoter Holding | 58.14% |
| 52-Week Range | ₹13.15 — ₹29.69 |
| Sector | Power |
| Book Value | ₹35.09 |
Strengths
- Price ₹17.03 is at a 49% discount to book value of ₹35.09, offering asset backing.
- Promoter holding is high at 58.14%, aligning management with minority shareholders.
- Sales grew 38.04% and the latest quarter turned to a net profit of ₹1 Cr, indicating early recovery.
- Piotroski F-Score of 7/9 suggests improving financial fundamentals.
Concerns
- Debt/Equity of 15.01 is extremely high and poses serious solvency risk.
- ROE is -6.99% and ROCE is only 3.89%, below any reasonable cost of capital.
- P/E of 0.00 makes valuation meaningless; profit growth of 641.67% is from a negligible base.
- No dividend yield means minority shareholders get no income while waiting for a turnaround.
AI Analysis
At ₹17.03, Energy Devl.Co. is selling at less than half its book value of ₹35.09. That is the kind of statistical bargain Graham taught me to notice. But he also warned that a low price-to-book can be a trap when debt is high. Here Debt/Equity is 15.01 — that is not a fortress balance sheet. Trailing ROE is -6.99%, and despite a small quarterly profit of ₹1 Cr on sales of ₹11 Cr, the reported P/E of 0.00 tells me there is no reliable earnings base yet. This looks like a turnaround in its early innings, not a proven compounder. Sales grew 38.04%, and profit growth of 641.67% sounds impressive only because the base is tiny; one good quarter does not make a wonderful business. What I like is the Piotroski F-Score of 7/9, which suggests financial health is improving. Promoter holding at 58.14% is reassuring — the operators have skin in the game. Power generation is capital-intensive and cyclical, and with ROCE of only 3.89%, the company is not yet earning its cost of capital. With no dividend, shareholders rely entirely on asset realization and a successful operational recovery. My approach demands a durable moat and predictable earnings; this has neither yet. It is a possible asset-backed turnaround, and the discount to book gives some margin of safety. But I would need several more quarters of positive earnings, visible debt reduction, and evidence of a real competitive advantage before deploying significant capital. For now, it is a show-me story.
Data from BSE/NSE filings. AI analysis is for educational purposes only — not investment advice. Scoring methodology · Disclaimer