Radiant Cash (RADIANTCMS)

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

Key Financials

AI Analysis

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

At ₹42.08, Radiant Cash trades at under 10 times earnings and offers a 6.81% dividend yield. That looks like a Graham bargain at first glance, but I must look deeper. Return on equity is 15.64% and return on capital employed is 26.25%, which are respectable. Debt-to-equity at 0.57 is manageable. Yet the last year tells a less pleasant story: sales fell 2.74% and profits fell nearly 18%. In the latest quarter, sales were ₹103 crore and net profit was just ₹10 crore. The Piotroski F-score of 3 out of 9 is a red flag. This is not a financially strengthening business. When quality is questionable, a low P/E can become a value trap. Book value is ₹24.02 per share, so at 1.75 times book, I am paying a significant premium to a business whose earnings are contracting. Promoter holding of 56.92% gives some comfort, but it does not replace a durable competitive advantage. I need to know why profits are falling. Is it competition, input costs, or lost customers? This is a diversified commercial services business, but I do not see an obvious moat from these numbers. The dividend yield is attractive, but if earnings keep falling, that dividend could be at risk. For a value investor, a cheap stock is not enough; I want a good business at a fair price. Radiant Cash may become interesting, but today the evidence is mixed and the weak F-score tells me to wait.

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