Hindprakash Indu (HPIL)

Score breakdown: P/E: 0/3 · ROCE: 0/2 · Growth: 2/2 · Dividend: 0/1

Key Financials

AI Analysis

AI-generated, general educational analysis — not personal investment advice.

When I look at Hindprakash Indu, I see a business that demands discipline. At ₹136.10 with a market cap of ₹144 Cr, the market is paying a P/E of 131.83 for a company that earned just over a crore in profit. That translates to a return on equity of only 2.14% and a return on capital employed of 5.23%. As Graham would say, price is what you pay; value is what you get. Here, you are paying roughly three times book value of ₹44.03 for a business whose latest quarter sales of ₹23 Cr produced net profit of zero. The profit growth of 43.33% sounds impressive, but it comes off a very low base. Meanwhile, the PEG ratio of 4.83 tells me the market has already priced in a great deal of future success. The debt-to-equity ratio of 0.73 is manageable, and the Piotroski F-score of 7/9 suggests some recent improvement in operations. Promoter holding at 74.85% is reassuring, as their interests are aligned with mine. But this is a cyclical dyes and pigments player, not a predictable compounder. With no dividend, a tiny profit base, and extreme valuation, I would not rush in. I need to see sustained margin expansion and consistent quarterly profits before I consider this a serious value proposition. For now, it fails my margin of safety test.

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Data from BSE/NSE filings. AI analysis is for educational purposes only — not investment advice. Scoring methodology · Disclaimer