Maan Aluminium (MAANALU)

FairStock Score: 10/100 — RISKY

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

Key Financials

Strengths

• Promoter holding of 55.82% suggests significant skin in the game.
• Debt/equity of 0.44 is manageable; the balance sheet is not heavily leveraged.
• Latest quarter remains profitable with ₹3 Cr net profit on ₹152 Cr sales.
• ROCE of 12.13% is meaningfully higher than ROE of 8.90%, indicating some operating efficiency before financing costs.

Concerns

• P/E of 53.25 and P/B of 5.24 are far too rich for a business with ROE of only 8.90%.
• Sales growth of -16.60% and profit growth of -7.21% point to clear contraction.
• Piotroski F-Score of 3/9 signals weak financial health and operational deterioration.
• Zero dividend yield means shareholders receive no cash return while waiting for a turnaround.

AI Analysis

At ₹149, Maan Aluminium sells at 53 times trailing earnings and 5.24 times book, yet the business earned only 8.90% on equity over the past year. That is not the sort of math a value investor can make work. Graham taught me to demand a margin of safety; here the price already assumes perfection, but the figures show the opposite. Sales have declined 16.60%, profits are down 7.21%, and the latest quarter net profit of ₹3 Cr on sales of ₹152 Cr translates to a thin ~2% net margin. Piotroski F-score of 3/9 reinforces the picture: weak profitability, fragile financial health. There is no dividend to compensate patient shareholders. The zero yield tells me management is not returning cash to me, and with debt-to-equity of 0.44 the balance sheet is not distressed, but it is not a fortress either. The aluminium business is inherently cyclical; Maan has no obvious moat, no pricing power beyond the commodity cycle, and little brand strength. The promoter holding of 55.82% is a plus, but high ownership only matters when the business is sound. ROCE of 12.13% is decent on a trailing basis, but the market cap of ₹813 Cr is too high relative to current earning power. If I own this, I am relying on a cyclical rebound and margin expansion — not on a proven record. FairStock score of 0 and a F-score of 3 align with my caution. I would need a much lower price, a better balance sheet, or clear evidence of sustained growth before I call this attractive. As it stands, this is a case of a cyclical business trading at a growth price, and that is exactly the trap Graham warned about.

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