Medi Assist Ser. (MEDIASSIST)
TurnaroundFairStock Score: 38/100 — MIXED
Score breakdown: P/E: 0/3 · ROCE: 1/2 · Growth: 0/2 · Dividend: 0/1
Key Financials
| Current Price | ₹348.7 |
| Market Cap | ₹2,604.85 Cr |
| P/E Ratio | 27.54 |
| ROCE | 18.72% |
| ROE | 22.83% |
| Dividend Yield | 0.57% |
| Profit Growth | 63.97% |
| Debt/Equity | 0.06 |
| Sales Growth | 28.04% |
| Promoter Holding | 4.62% |
| 52-Week Range | ₹293 — ₹575.55 |
| Sector | Insurance |
| Book Value | ₹115.06 |
Strengths
- Sales growth of 28.88% shows strong top-line momentum.
- Historical ROE of 22.83% and ROCE of 18.72% indicate decent capital efficiency.
- Debt-to-equity of 0.52 is moderate and not alarming.
- Current price is well below the 52-week high of ₹575.55, reducing market exuberance.
Concerns
- Profit growth is -66.97%, with latest quarter net profit of only ₹4 Cr on ₹240 Cr sales, showing severe margin compression.
- P/E of 44.88 and P/B of 12.38 are expensive relative to current earnings and book value.
- Promoter holding of 4.62% is very low, raising governance and alignment concerns.
- Piotroski F-score of 4/9 signals weak financial health, and there is no dividend yield.
AI Analysis
At 44.88 times earnings and 12.38 times book value, the market is asking me to pay a steep premium for Medi Assist. A wonderful business can justify that, but only if the numbers back it up. Sales grew 28.88%, so there is top-line momentum. But the latest quarter tells a worrying story: ₹240 Cr of sales produced just ₹4 Cr of net profit, and reported profit growth is minus 66.97%. That is not compounding earning power; that is a business whose profitability has collapsed. Historical ROE of 22.83% and ROCE of 18.72% look respectable, but at a 12.38 P/B I am being asked to pay for past performance, not present reality. Debt-to-equity of 0.52 is manageable, though I always prefer less leverage. The Piotroski F-score of 4 out of 9 reinforces my unease about financial health. More troubling is promoter holding of just 4.62%. I want owner-operators with significant skin in the game; this is far too little for my comfort. The 52-week range shows Mr. Market was far more enthusiastic at ₹575.55, but at ₹363.50 with a 44.88 P/E and zero dividend yield, I am not being paid to wait. All my returns would depend on a meaningful earnings recovery. Benjamin Graham taught me to focus on margin of safety. I do not see it here. This is a good-looking sales story with broken near-term earnings power. I will watch from the sidelines until profitability and ownership alignment improve.
Data from BSE/NSE filings. AI analysis is for educational purposes only — not investment advice. Scoring methodology · Disclaimer