JHS Svend.Retail (RETAIL)

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

Key Financials

Strengths

• Low debt/equity of 0.30 gives some balance sheet cushion
• Piotroski F-Score of 7/9 suggests improving financial health and quality
• Promoter holding of 44.52% indicates some owner alignment
• Reported profit growth of 54.17%, though off a very small base

Concerns

• Extremely expensive: P/E of 135.53, PEG of 3.30, and P/B of 2.58 vs ROE of only 2.37%
• Latest quarter net profit is ₹-0 Cr, showing no real earnings power
• Sales growth of just 1.98% with ROCE of 3.55% implies weak competitive position
• No dividend and tiny ₹20 Cr market cap add risk and illiquidity

AI Analysis

Let's look at JHS Svend.Retail. At ₹20.89 the market is asking ₹20 Cr for this business. Ben Graham taught me to start with the balance sheet and earnings; here the book value is ₹8.10 per share, so I'm paying 2.58 times book for a company earning just 2.37% on equity and 3.55% on capital employed. That is not a bargain; it is a low-return business that would fail most of my tests. The P/E of 135.53 and PEG of 3.30 mean the market is already paying for growth that has not shown up in sales—only 1.98% growth. Yes, net profit rose 54.17%, but from such a tiny base that it leaves the shares expensive. The latest quarter had sales of ₹5 Cr and net profit of ₹-0 Cr, essentially zero, so the improvement is not yet real and durable. On the positive side, the company has limited debt, with D/E of 0.30, and the F-score of 7/9 suggests no immediate accounting or operational distress. The promoter holding of 44.52% does align some owner interest, but alignment with minority shareholders cannot compensate for poor economics. This is not a wonderful business at a fair price; it is a marginal retail operation in a hyper-competitive industry. I would need a much lower price, or clear evidence of sustainably higher ROCE and positive quarterly profits, before I could be interested. For now, this is a show-me story, not an investment.

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