Glottis (GLOTTIS)
CyclicalFairStock Score: 55/100 — STEADY
Score breakdown: P/E: 3/3 · ROCE: 2/2 · Growth: 0/2 · Dividend: 0/1
Key Financials
| Current Price | ₹65.02 |
| Market Cap | ₹600.8 Cr |
| P/E Ratio | 14.88 |
| ROCE | 89.96% |
| ROE | —% |
| Dividend Yield | 0% |
| Profit Growth | -22.1% |
| Debt/Equity | 0.19 |
| Sales Growth | 40.7% |
| Promoter Holding | 74.23% |
| 52-Week Range | ₹37 — ₹93 |
| Sector | Transport Services |
| Book Value | ₹30.27 |
Strengths
- Debt/Equity of 0.25 provides a conservative balance sheet during the downturn.
- Promoter holding of 74.23% keeps management aligned with minority shareholders.
- Reported ROCE of 89.96% suggests historically strong capital efficiency.
- P/E of 11.60 is moderate, and price is about 37% below the 52-week high.
Concerns
- Sales growth of -27.24% and profit growth of -79.96% indicate severe demand contraction.
- Latest quarter net profit of ₹3 Cr on ₹144 Cr sales implies a very thin margin under 2%.
- Piotroski F-Score of 3/9 signals weak financial health and operational stress.
- No dividend and ROE not available limit the margin of safety and income support.
AI Analysis
Glottis at ₹58.92 gives me a market cap of ₹445 crore, a P/E near 11.6 and a P/B of 2.4. On the surface, that sounds like a reasonably priced business. But Graham taught me to begin with reality, not multiples. This is a cyclical logistics business in the middle of a severe downcycle: sales fell 27.24% and profits collapsed almost 80%. Last quarter tells the same story—₹144 crore of revenue produced only ₹3 crore of net profit, a margin under 2%. That is not earning power; that is a business struggling to keep its head above water. The Piotroski F-score of 3/9 strengthens my worry: profitability, leverage and efficiency signals are all weak. ROE is not even calculable with available data, which is itself a yellow flag. To his credit, management runs a conservative balance sheet—debt/equity is only 0.25—and ROCE still reads 89.96%, but a high return on capital means little when earnings are falling this fast. The 74.23% promoter holding is good; their interests are aligned with mine. Yet I cannot ignore that there is no dividend to compensate me while I wait. At 2.4 times book, I am not getting an asset cushion. I might compare today's price to its 52-week band of ₹37 to ₹93: we are closer to the bottom than the top, but a cheap-looking cyclical often becomes cheaper. I would want evidence of stable volumes and margins before using Mr. Market's low mood as my entry. This is a cyclical, not a progressive wealth compounder.
Data from BSE/NSE filings. AI analysis is for educational purposes only — not investment advice. Scoring methodology · Disclaimer