Krishna Institu. (KIMS)

FairStock Score: 50/100 — MIXED

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

Key Financials

AI Analysis

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

I am a buyer of businesses, not tickers, and Krishna Institu. gives me pause. The sales record is impressive: 35.30% growth and a five-year revenue CAGR of 22.00%, with the latest quarter at ₹998 Cr of sales. But the bottom line is the tell: net profit was only ₹52 Cr, roughly a 5.2% net margin, and profit growth fell 46.90%. That suggests growth is not converting into owner earnings. ROE of 14.07% and ROCE of 15.00% are respectable but not exceptional, especially with debt-to-equity at 1.66 and free cash flow of ₹-534 Cr. A hospital may need capital, but I want cash left after maintenance, not negative FCF. The balance sheet risk looks moderate: Altman Z-score 4.61 and Piotroski F-score 7/9 are constructive. Promoter holding of 34.11% and no dividend are noted. Valuation is the fatal flaw. At ₹809.10, P/E is 158.65, P/B 14.41, EV/EBITDA 265.74, and the Graham Number is only ₹94.95. That leaves a margin of safety of -684.67%. I do not need to lose money to prove optimism. The 52W range ₹575.80–₹858.15 shows the market already loves it, and FairStock score 50/100 is mixed. For a Graham investor, the price is not just high; it assumes future profits far beyond what current numbers justify. I would wait for profit growth to turn positive, FCF to improve, and valuation to approach something defensible.

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