QMS Medical (QMSMEDI)

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

Key Financials

Strengths

• Reasonable headline valuation at P/E 14.06 with market cap ₹166 Cr
• ROCE of 16.60% suggests decent capital efficiency despite the downturn
• Strong promoter holding of 68.11% aligns management with minority shareholders
• Latest quarter remains profitable: ₹3 Cr net profit on ₹37 Cr sales

Concerns

• Sales are contracting sharply at -15.07% and profits at -17.81%
• Piotroski F-Score of 3/9 indicates weak financial health and poor fundamentals
• Book value, P/B and debt/equity are unavailable, so asset protection cannot be assessed
• Dividend yield is only 0.58%, offering little income while waiting for a turnaround

AI Analysis

When I look at QMS Medical, I see a small medical equipment player with a market cap of just ₹166 Cr. At ₹85, it trades at 14.06 times earnings. That is not an expensive price, but a low P/E only matters if the business is sound. Here, the recent evidence is troubling. Sales have shrunk by 15.07% and profits by 17.81%. The latest quarter shows ₹37 Cr in sales and ₹3 Cr in net profit, so I don't yet see a clear revival. ROCE of 16.60% is respectable, and promoter holding of 68.11% does align interests. But the Piotroski F-Score of just 3/9 tells me the underlying financial health has weakened. I cannot assess book value or debt-equity because those figures are not available, so I lack that traditional margin-of-safety cushion. The dividend yield of 0.58% is negligible, so I'm not being paid to wait for a recovery. The 52-week range of ₹68.95 to ₹136.60 shows the stock has already lost a lot of ground. As Graham said, price is what you pay, value is what you get. A P/E of 14 in a declining business can be a value trap, not a bargain. I would need evidence of stabilisation and better financial quality before committing capital.

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