Sahaj Solar (SAHAJSOLAR)

FairStock Score: 46/100 — MIXED

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

Key Financials

Strengths

• P/E of 10.14 with profit growth of 14.48% gives a PEG of 0.90, suggesting the market price is not demanding.
• ROCE of 31.60% signals efficient use of capital and may indicate a competitive position.
• Promoter holding of 71.28% aligns management with shareholders, reducing agency risk.
• Piotroski F-score of 7/9 points to generally sound fundamentals; latest quarter sales of ₹102 Cr show operating scale.

Concerns

• Sales growth is only 7.94%, so the topline is not expanding fast; profit growth relies on margin gains.
• No book value, ROE, or debt/equity data is available, making balance-sheet risk and margin of safety impossible to assess.
• Latest quarter profit of ₹5 Cr annualises to only ₹20 Cr, implying a P/E of ~13.4 versus trailing 10.14, so quarterly earnings appear lumpy.
• Dividend yield is just 0.41%, and the 52-week range of ₹91-₹268 shows high price volatility.

AI Analysis

When I look at Sahaj Solar, the first thing that catches my eye is the price-to-earnings ratio of 10.14. For a business with a return on capital employed of 31.60%, that is not an expensive price. But cheapness is never enough; I need to know whether the business can compound. Sales grew only 7.94%, while profit grew 14.48%. That gap tells me margin improvements are doing the heavy lifting, not rapid topline expansion. The PEG of 0.90 sounds reasonable, but it is only as good as the durability of that 14.48% profit growth. The latest quarter had sales of ₹102 Cr and profit of ₹5 Cr; annualising that quarter gives a profit of ₹20 Cr, which would put the P/E closer to 13.4, not 10.14. So the trailing earnings may be lumpy, and I would need more quarters before trusting the number. The Piotroski F-score of 7/9 is encouraging, but it is not a clean bill of health. Promoter holding is high at 71.28%, which aligns with owners, but it also leaves little float for minority shareholders. The dividend yield of 0.41% is negligible. My biggest concern is the missing data: no book value, no ROE, no debt-to-equity ratio. Without those, I cannot calculate a margin of safety or judge leverage. The 52-week range of ₹91 to ₹268 reminds me that this stock can swing sharply; at ₹152 it sits near the middle. For a ₹268 Cr company, this is not a fast grower in sales terms. It is a decent, slow-growing business with high returns on capital and a market price that offers some value, but I would buy only after the balance sheet is visible and earnings consistency is proven.

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