Guj. Themis Bio. (GUJTHEM)
Slow GrowerFairStock Score: 19/100 — RISKY
Score breakdown: P/E: 0/3 · ROCE: 2/2 · Growth: 0/2 · Dividend: 0/1
Key Financials
| Current Price | ₹348.75 |
| Market Cap | ₹3,807.05 Cr |
| P/E Ratio | 78.2 |
| ROCE | 27.29% |
| ROE | 21.39% |
| Dividend Yield | 0.19% |
| Profit Growth | 22.9% |
| Debt/Equity | 0.56 |
| Sales Growth | 22.1% |
| Promoter Holding | 70.86% |
| 52-Week Range | ₹225.05 — ₹479 |
| Sector | Pharmaceuticals & Biotechnology |
| Book Value | ₹26.41 |
Strengths
- Strong return on equity of 21.39% and ROCE of 27.29% indicate efficient capital use.
- Low debt-to-equity of 0.27 provides financial stability.
- High promoter holding of 70.86% aligns management with public shareholders.
- Latest quarter net profit of ₹12 Cr on sales of ₹43 Cr implies a healthy net margin, if sustained.
Concerns
- Valuation is extreme: P/E of 70.31, P/B of 15.60, and PEG of 7.22.
- Profit growth is negative at -3.93%, while sales growth is only 9.74%, showing margin pressure.
- Dividend yield of just 0.22% offers negligible downside protection.
- Piotroski F-Score of 4/9 and FairStock Score of 12/100 point to deteriorating fundamentals and high risk.
AI Analysis
When I look at Guj. Themis Bio., I first ask: what kind of business am I buying? The numbers show a company earning a return on equity of 21.39% and a return on capital employed of 27.29%. That is genuinely impressive. It tells me management has historically used shareholder money well. Debt is low, at just 0.27 times equity, so the balance sheet is not keeping me up at night. Promoters hold 70.86%, so their interests are aligned with mine. That part I like. But then I turn to valuation and growth. Sales grew only 9.74%, and profit actually fell 3.93% in the latest year. A business growing sales but not profits is getting less efficient, or facing pricing pressure. The latest quarter shows sales of ₹43 Cr and net profit of ₹12 Cr, so roughly a 28% net margin, but I need to see that sustained. The price is ₹324.42, and I am being asked to pay 70.31 times earnings and 15.60 times book value. Book value is just ₹20.79. That leaves no margin of safety whatsoever. Graham would shake his head. The dividend yield is a token 0.22%, so patience is not rewarded while I wait. The Piotroski F-Score of 4 out of 9 and FairStock Score of 12/100 only reinforce my caution. PEG of 7.22 tells me the market is pricing in far more growth than this business is delivering. This is not a wonderful business at a fair price; it is a decent business at a very demanding price. I would keep it on my watchlist, but I would not buy today.
Data from BSE/NSE filings. AI analysis is for educational purposes only — not investment advice. Scoring methodology · Disclaimer