Rajputana Indu. (RAJINDLTD)

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

Key Financials

Strengths

• Sales growth of 21.68% and profit growth of 33.33% show strong momentum
• PEG of 0.59 suggests the stock is reasonably priced relative to its growth rate
• ROCE of 18.08% indicates decent capital efficiency
• Piotroski F-Score of 7/9 points to a fundamentally sound recent financial profile
• Promoter holding of 66.08% aligns management interests with minority shareholders

Concerns

• Latest quarter shows a razor-thin net margin of roughly 1.7% (₹3 Cr net profit on ₹177 Cr sales)
• Zero dividend means no income cushion in a cyclical commodity-linked business
• Missing book value, debt/equity, and ROE data make a full Graham margin-of-safety check impossible
• Aluminium, copper, and zinc products are exposed to metal price and demand cycles

AI Analysis

At first glance, this business sits in an industry I normally approach with caution—aluminium, copper and zinc products are commodity-linked, and competitive advantages rarely come from a metal extrusion or fabrication shop. But the numbers make me look twice. Sales are growing at 21.68%, profit growth is even higher at 33.33%, and the PEG ratio is only 0.59. In Graham's arithmetic, that is not expensive if the growth is durable. ROCE of 18.08% is respectable, and the Piotroski F-Score of 7/9 suggests a healthy recent financial position. Promoter holding of 66.08% is another point in its favour—against any small-cap, I want the promoter invested alongside me. However, I must not let the bright headline numbers blind me. The latest quarterly sales were ₹177 Cr but the net profit was just ₹3 Cr—a net margin of about 1.7%. That is a razor-thin cushion. In a metal-price downturn or input-cost shock, profit could vanish quickly. The company pays no dividend, so I cannot earn a return while waiting. Worse, I do not have book value, debt/equity, or ROE figures. Without those, I cannot perform a classic Graham margin-of-safety check; I am buying on the promise of growth rather than on tangible backing. The 52-week range of ₹60 to ₹89.10 also tells me this is not a stable, widely followed stock. Would I call it a fast grower? Yes, based on the reported numbers, but a commodity-linked fast grower needs more proof. I would want several more quarters of steady margins, full balance-sheet visibility, and evidence that management can convert growth into cash. Until then, it is a small, interesting watchlist candidate—not a core holding. For a retail investor, size your position cautiously and monitor it like a hawk.

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