RPSG Ventures (RPSGVENT)

FairStock Score: 11/100 — RISKY

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

Key Financials

AI Analysis

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

At ₹870.80, RPSG Ventures seems to offer asset value at a price close to book—₹829.42—but I don't buy assets; I buy earning power. This BPO/KPO business is not earning. The latest quarter generated sales of ₹2,756 Cr but lost ₹136 Cr. A 15.57% sales growth looks pleasing at first glance, yet profit growth of -203.72% tells me the growth is consuming cash, not generating value. My preferred metric, return on equity, is only 5.31%, nowhere near the return I could get from owning a wonderful business. With a P/E of 0.00, there is no positive earnings number to support a Graham-style valuation. Debt-equity of 1.35 adds risk: a loss-making company with leverage has less room to survive adverse conditions. The Piotroski F-score of 4/9 is consistent with weak operational health. I also receive no dividend; waiting for a turnaround is not compensated. The one positive is promoter holding of 63.51%, which aligns owners with minority shareholders. ROCE of 11.33% suggests the operating assets can produce something, but leverage and loss-making leave the equity holder exposed. At 1.05 times book, you are paying full price for assets that are not earning their cost of capital. Benjamin Graham would insist on margin of safety; this business has no earnings margin, only hypothetical book value. I would put it on my watchlist, not in my portfolio. Evidence of a true turnaround—positive net profit, lower debt, and stable margins—is required before I can pay any price.

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