Greaves Cotton (GREAVESCOT)
TurnaroundFairStock Score: 23/100 — RISKY
Score breakdown: P/E: 0/3 · ROCE: 0/2 · Growth: 2/2 · Dividend: 0/1
Key Financials
| Current Price | ₹194.37 |
| Market Cap | ₹4,527.88 Cr |
| P/E Ratio | 45.84 |
| ROCE | 5.13% |
| ROE | 15.93% |
| Dividend Yield | 1.52% |
| Profit Growth | -12.01% |
| Debt/Equity | 0.12 |
| Sales Growth | 15.75% |
| Promoter Holding | 55.8% |
| 52-Week Range | ₹119.99 — ₹272 |
| Sector | Industrial Products |
| Book Value | ₹61.43 |
AI Analysis
AI-generated, general educational analysis — not personal investment advice.
As a value investor, I begin with a business that can earn high returns on capital. Greaves Cotton fails that test today: ROCE is just 5.13%, and the latest quarter reveals the cyclical squeeze—₹875 crore of sales generated only ₹6 crore of net profit, a margin of less than 1%. Such earnings power does not justify a P/E of 32.80 or a P/B of 2.83 when book value is ₹56.41. With the stock at ₹159.60, I am being asked to pay more than 32 times earnings for a company whose quarterly profit is razor-thin. That is the opposite of Graham's margin of safety.
The full AI analysis, bull and bear case and key monitorables are in FairStock Pro.
Data from BSE/NSE filings. AI analysis is for educational purposes only — not investment advice. Scoring methodology · Disclaimer