LCC Infotech (LCCINFOTEC)

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

Key Financials

Strengths

• Debt/Equity of 0.01 means the balance sheet has minimal leverage.
• Piotroski F-Score of 5/9 points to moderate financial health.
• Promoter holding of 34.43% provides some skin in the game.

Concerns

• Latest quarter sales and net profit are both ₹0 Cr; operations appear to be at a standstill.
• Sales growth of -100% confirms no top-line revenue.
• P/B of 29.06 vs book value of ₹0.17 is an extreme premium for a non-earning asset.
• ROE of -57.59% and ROCE of -26.46% indicate ongoing capital erosion.

AI Analysis

Let me examine LCC Infotech with Graham's lens. First, I look for a business I can understand, and education is understandable. But the numbers say there is no business today. Sales growth is -100%, and the latest quarter shows sales of ₹0 Cr and net profit of ₹0 Cr. A company with zero revenue cannot be valued on earnings; the P/E of 0.00 is not cheap, it is meaningless. Book value is only ₹0.17 per share, yet the stock trades at ₹4.94, a price-to-book ratio of 29.06. Mr. Market is paying 29 times net assets for a shell with no turnover. That is speculation, not investment. There are some positives. Debt-to-equity is just 0.01, so the company has no meaningful leverage. The Piotroski F-Score of 5/9 suggests moderate financial health, and the promoter holding of 34.43% gives some skin in the game. But these positives do not turn a value destroyer into an owner's business. ROE is -57.59% and ROCE is -26.46%; capital is being eroded, not compounded. A profit growth figure of 100% looks impressive only because the base is zero or negative. It is a statistical illusion. I cannot place a reliable intrinsic value on LCC Infotech. Without sales, earnings, or cash-flow history, any valuation is a guess. FairStock also says insufficient data, which is a red flag. Buffett's rule: never invest in a business you cannot understand. I understand the industry, but I cannot understand the value here. The price-to-book multiple alone eliminates any margin of safety. With no dividend and no operational earnings, I would rather be on the sidelines and wait for a better opportunity. In the stock market, you do not have to swing at every pitch; this one can go past.

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