Mangalam Drugs (MANGALAM)

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

Key Financials

AI Analysis

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

At ₹28.25, Mangalam Drugs wears the costume of a bargain: a P/B of 0.32 against book value of ₹87.80, and a market cap of just ₹46 Cr. Graham would tell us to pay attention to the balance sheet, but he would also insist that a cheap share of a bad business is not automatically a good investment. The latest quarter tells me the engine is sputtering: sales of ₹58 Cr and a net loss of ₹10 Cr. Sales have fallen 34% over the year, and profit growth is -798%, meaning that whatever earnings power existed has turned into losses. With ROE at -20.76%, the book value itself is being eroded. A Piotroski score of 3/9 adds to my caution—this is a company with weak financial health, not a hidden gem. ROCE is 8.03%, which suggests operations can still earn an acceptable return before financing costs, but the debt/equity of 0.80 and negative earnings mean leverage is not working for shareholders. There is no dividend; I receive no income while I wait. Promoter holding at 35.64% is moderate, but I want committed owners who act like operators. The 52-week range, from ₹86.90 down to ₹22.80, shows how brutally the market has repriced this share. I am not willing to call it a turnaround without evidence. It is, at best, an asset play. I would need to see sales stabilise, losses shrink, and the balance sheet stay intact before I put my own money beside this price.

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