Ingersoll-Rand (INGERRAND)

FairStock Score: 32/100 — RISKY

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

Key Financials

AI Analysis

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

When I look at Ingersoll-Rand, I see a genuinely fine business trapped in an expensive price. The economics are eye-catching: 40.49% ROE and 60.02% ROCE, with a debt-to-equity ratio of just 0.02. That tells me this company does not need borrowed money to generate outstanding returns. A 75% promoter holding also aligns ownership with public shareholders, and a Piotroski F-Score of 7/9 suggests the financial health is trustworthy. Growth is real too: sales are up 19.39%, profits up 15.75%, and the latest quarter shows ₹455 Cr of sales and ₹72 Cr of net profit. This is the kind of franchise a value investor admires. But Benjamin Graham taught me that no business is worth paying any price for. At ₹4,188.20, the market cap is ₹12,647 Cr, which works out to 45.68 times earnings and 21.17 times book value. Book value is just ₹197.85. You are paying ₹21 for every ₹1 of net worth, hoping the wonderful ROE continues forever. The PEG ratio of 2.60 tells me the growth is already fully priced, and more. A dividend yield of 2.00% offers some comfort, but it is not enough to compensate for valuation risk. FairStock Score of 33/100 rightly flags this as risky. If profit growth remains near 15.75%, it will take years for earnings to catch up to the multiple. A pullback from the 52-week range, or a period of stagnant growth, is what would make me interested. For now, I would admire the business from a distance. Patience is not just a virtue; it is the investor's real edge.

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