Laurus Labs (LAURUSLABS)

FairStock Score: 54/100 — MIXED

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.

As a Buffett/Graham investor, I ask what I get for ₹1,787.30. Laurus Labs has a ₹96,570 Cr market cap and trades in a wide 52-week range of ₹864.70 to ₹2,071.00. Recent growth is impressive: sales growth 29.10%, profit growth 125.20%, latest quarter sales ₹1,778 Cr and net profit ₹252 Cr. Returns are respectable—ROE 18.86%—but ROCE 9.15% tells me capital efficiency is not as strong as headline ROE. Debt/Equity 0.46 is manageable. Piotroski 8/9 and Altman 5.52 suggest the balance sheet and operating trend are not fragile. But Graham would choke on valuation. P/E 88.48, P/B 18.21, EV/EBITDA 148.53, and Graham Number ₹170.91 imply a margin of safety of -529.46%. Price is far above what asset value and earnings support. PEG 1.10 is not insane if 125% profit growth persists, but such growth is unlikely to be durable. Free cash flow is negative ₹78 Cr, dividend yield only 0.13%, and 5-year revenue CAGR 14.42% is good but not enough to justify EV/EBITDA near 149. Promoter holding 27.49% is moderate. FairStock 54/100 mixed. The business may be a fast grower, but at this price I’m paying for perfection. I’d wait for either a much lower price or evidence that FCF turns positive and ROCE improves. Until then, it's a watchlist candidate, not a margin-of-safety buy.

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