L T Foods (LTFOODS)

FairStock Score: 75/100 — STEADY

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

Key Financials

AI Analysis

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

I look for businesses that earn high returns on capital, carry little debt, and sell at a sensible price. L T Foods shows parts of that: ROE 16.87%, ROCE 19.18%, debt/equity just 0.28, and Piotroski F-Score 8/9, with Altman Z-Score 3.54. That tells me the balance sheet is sound and operations are not fragile. Latest quarter sales were ₹2,809 Cr and net profit ₹157 Cr, while free cash flow is ₹243 Cr, so it is converting profits into cash. Five-year revenue CAGR of 15.99% and sales growth of 10.77% suggest a steady top line, while profit growth of 89.68% is eye-catching—though I would want to know how durable that jump is. The returns hint at some operating efficiency, but in Other Agricultural Products, a wide moat is not proven by these figures alone. The problem is price. At ₹419.80, market cap ₹14,578 Cr, P/E 22.78, P/B 8.18, and book value ₹51.33, the market is paying a rich multiple for those returns. Graham Number is ₹218.50, DCF intrinsic value ₹129.13, and margin of safety is -84.12%. EV/EBITDA 91.34 is a flashing red light. A dividend yield of 0.95% and promoter holding of 51% are supportive, but they do not create a margin of safety. The 52-week range ₹333.15–₹490.65 shows the stock can move sharply. So: good financial health, respectable returns, low leverage, positive FCF, steady revenue. But the valuation leaves no room for error. I would call it a Stalwart, not a bargain. I’d watch profit growth quality, EV/EBITDA, FCF consistency, and whether price comes closer to intrinsic value.

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