Jash Engineering (JASH)
CyclicalFairStock Score: 35/100 — MIXED
Score breakdown: P/E: 0/3 · ROCE: 1/2 · Growth: 0/2 · Dividend: 0/1
Key Financials
| Current Price | ₹490.05 |
| Market Cap | ₹3,082.67 Cr |
| P/E Ratio | 40.8 |
| ROCE | 24.95% |
| ROE | —% |
| Dividend Yield | 0.37% |
| Profit Growth | 222.76% |
| Debt/Equity | 0.2 |
| Sales Growth | 26.39% |
| Promoter Holding | 43.44% |
| 52-Week Range | ₹327.1 — ₹573.4 |
| Sector | Industrial Manufacturing |
| Book Value | ₹82.49 |
Strengths
- ROCE of 24.95% indicates strong capital productivity despite the current downturn.
- Low leverage: Debt/Equity of 0.25 provides financial cushion.
- Promoter holding of 43.44% aligns owner and management interests.
- Latest quarter still profitable with ₹13 Cr net profit on ₹161 Cr sales, roughly an 8% net margin.
Concerns
- Sales growth of -11.17% and profit growth of -61.75% signal a severe earnings downturn.
- P/E of 45.24 and P/B of 6.09 are expensive relative to current earnings and book value of ₹69.37.
- Piotroski F-Score of 3/9 and FairStock Score of 0/100 suggest weak financial health.
- Dividend yield of only 0.50% offers negligible income support.
AI Analysis
Let me start with what I admire. Jash Engineering earns a ROCE of 24.95%, carries a debt-to-equity of only 0.25, and promoters hold 43.44% of the business. That is the kind of foundation worth examining. But a good business must also be bought at a sensible price, and today the math troubles me. The stock trades at ₹422.80, while book value is just ₹69.37 — a P/B of 6.09. More importantly, trailing earnings support a P/E of 45.24, yet sales have fallen 11.17% and profit has collapsed 61.75%. In the latest quarter, revenue was ₹161 Cr and net profit ₹13 Cr. That is roughly an 8% margin, but it does not cure the damage already done. The Piotroski F-Score of 3/9 and a FairStock Score of 0/100 tell me the financial health is weak, not improving. A low debt level is welcome, but it does not make an overvalued share cheap. Benjamin Graham would insist on a margin of safety. Here, the market is paying a rich multiple for a business in a downcycle, with no evidence yet of recovery. The dividend yield of 0.50% is barely a consolation. This strikes me as a cyclical industrial business, not a franchise I must own today. I need proof that sales can stabilize, margins can hold, and earnings can climb back before I put my capital at risk. Until then, patience — not purchase — is the right investment. Let the price come to me, or let the business earn its way out of this hole.
Data from BSE/NSE filings. AI analysis is for educational purposes only — not investment advice. Scoring methodology · Disclaimer