Maha Rashtra Apx (MAHAPEXLTD)

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

Key Financials

Strengths

• Trades at 0.20 P/B, an 80% discount to book value of ₹265.79 per share
• Market cap of ₹129 Cr against roughly ₹640 Cr of book value provides a large margin of safety
• Promoter holding of 62.54% aligns management interests with minority shareholders
• Piotroski F-Score of 7/9 indicates decent financial health
• No debt shown (D/E N/A), so balance sheet risk appears low

Concerns

• ROE is only 2.07%, so the large book value earns a very low return on equity
• Latest quarter profit of ₹5 Cr exceeds sales of ₹2 Cr, implying earnings may include one-off or non-operating income
• Sales growth of 3,840% and PEG of 0.01 are distorted by a minuscule revenue base
• Dividend yield is 0.00%, so shareholders receive no current income while waiting for value to unlock

AI Analysis

At ₹53.59, Maha Rashtra Apx trades at only one-fifth of book value—₹265.79. That is exactly the sort of bargain Graham would inspect. But price is only half the story; earning power is the other. The company's ROE is just 2.07%, so this ₹640-crore book is generating very little return. The market's 0.20 P/B is telling us the balance sheet is not earning its keep. There are positives. Debt-to-equity is N/A, so the business does not appear leveraged. Promoters own 62.54%, so their interests are broadly aligned. The Piotroski score of 7/9 also suggests solid financial health. Yet the latest quarter has sales of only ₹2 Cr and net profit of ₹5 Cr—profit larger than revenue signals possible one-off or non-operating income. Core operations are tiny. The 3,840% sales growth and 166% profit growth are mathematically impressive but come off a negligible base; a PEG of 0.01 is not a reliable signal. ROCE of 72% looks eye-catching, but with ROE at 2%, the capital structure or asset base is not converting into equity returns. The stock is down from ₹117.89 to ₹53.59, and there is no dividend to compensate while waiting. This is not a growth story or a stalwart. It is an asset play: pay ₹129 Cr, own a slice of assets worth roughly ₹640 Cr. Value will be realized only if management can improve ROE, sell or redeploy assets, or act as a catalyst. I would wait for a clear path to unlock value before committing.

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