ICE Make Refrig. (ICEMAKE)

FairStock Score: 25/100 — RISKY

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

Key Financials

Strengths

• Revenue growth of 38.71% shows strong demand for the company's products.
• ROCE of 20.64% indicates decent capital efficiency on a historical basis.
• Promoter holding of 74.26% aligns management with minority shareholders.
• Latest quarter sales of ₹153 Cr show the business still has meaningful scale and activity.

Concerns

• P/E of 94.46 and P/B of 10.48 leave no margin of safety; valuations assume sustained growth.
• Profit declined 48.78% and latest quarter net profit of ₹1 Cr on ₹153 Cr sales implies a razor-thin 0.65% margin.
• Debt/Equity of 1.40 and Piotroski F-Score of 4/9 indicate weak financial health.
• PEG of 2.44 and dividend yield of 0.27% give no cushion for overpayment.

AI Analysis

At first glance, this is exactly the kind of stock Benjamin Graham would tell me to skip. ICE Make Refrig trades at ₹801.35, or 94.46 times earnings and 10.48 times book, when book value is only ₹76.50. That is a hefty price even for a fast grower—and this is not one. While revenue grew 38.71%, profit fell 48.78%, and the latest quarter shows sales of ₹153 Cr with a net profit of just ₹1 Cr. That is a thin 0.65% margin. Mr. Market is paying for growth, but the earnings engine is sputtering. The balance sheet worries me too. Debt-to-equity of 1.40 is high for a business whose profitability is collapsing. A Piotroski F-Score of 4/9 suggests weak financial strength. The 20.64% ROCE is respectable on past capital, but with current earnings compressed, the quality of that return is in question. Promoter holding of 74.26% is good—insiders seem invested—but high ownership cannot offset poor economics. Is there a positive? Sales growth is strong, and ROCE is decent, so the underlying business is not dead. But I don't buy uncertain tomorrows at a P/E of 94 and PEG of 2.44. Benjamin Graham said price is what you pay, value is what you get. Here, you'd be paying for perfection in a cyclical industrial segment during a margin squeeze. A 0.27% dividend yield offers no compensation while you wait. This looks like a cyclical, not a stalwart. If it's a turnaround, the evidence is not there yet. I would wait for profit margins and cash flows to recover before considering it. At this price, the margin of safety is nonexistent.

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