Sattva Eng. (SATTVAENGG)

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

Key Financials

AI Analysis

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

At ₹71.95, Sattva Engineering is a tiny ₹84 crore player in water supply and management. The price-to-earnings ratio of 7.24 is cheap only if the recent explosion in earnings is durable. Sales up 105.23% and profit up 138.10% look extraordinary, and a PEG of 0.06 screams growth at a bargain price. But Graham taught me to treat such figures with suspicion until the balance sheet proves them. ROCE at 28.63% is excellent, promoter holding at 62.91% aligns interests, and a Piotroski score of 7 out of 9 signals solid financial health based on available numbers. Yet I cannot fully apply my circle of competence: book value, ROE, and debt-to-equity are unavailable, and no dividend means the only return is the business itself. The latest quarter—₹51 crore sales and ₹5 crore profit—implies a net margin of about 10%, respectable, but one quarter does not make a franchise. Water supply and management is a necessary, largely government-linked business, but at ₹84 crore market cap there is little evidence of a wide moat. High growth with low P/E can be a value trap if the growth fades or working capital swallows cash. I would need to see multi-year consistent numbers, order book visibility, and a clean balance sheet before taking a meaningful position. At this price, it is an interesting small-cap fast grower—not a Buffett bedrock.

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