Ratnamani Metals (RATNAMANI)

FairStock Score: 30/100 — RISKY

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

Key Financials

AI Analysis

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

Wearing my Buffett-Graham lens, Ratnamani Metals looks like a cyclical industrial, not a steady compounder. At ₹2352 and ₹16,486 Cr market cap, the market is asking for a P/E of 38.17 and P/B of 4.01 on book value of ₹586.46. Those are not Graham bargain numbers, especially when the latest reported sales growth is -30.18% and profit growth is -62.71%. The latest quarter still shows ₹1,066 Cr sales and ₹135 Cr net profit, but the direction of travel is sharply negative. On quality, I like the balance sheet: debt/equity is only 0.08, ROE is 16.99%, ROCE is 21.51%, and free cash flow is ₹148 Cr. Promoter holding of 59.77% gives alignment, and the five-year revenue CAGR of 14.93% shows it has grown before. But an iron & steel products business is inherently cyclical, and I have no evidence here of a durable moat wide enough to protect margins through downturns. The Piotroski F-Score of 3/9 and FairStock Score of 30/100 (RISKY) confirm weak recent financial momentum. Dividend yield is only 0.43%, so shareholders are not being paid much to wait. The 52-week range of ₹1936.50–₹3345.00 shows volatility. At this price, I would demand a much larger margin of safety or clear evidence that sales and profits are recovering. Until then, this is not a Buffett-style buy; it is a cyclical watchlist candidate.

The full AI analysis, bull and bear case and key monitorables are in FairStock Pro.

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