Secmark Consult. (SECMARK)

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

Key Financials

Strengths

• Promoter holding of 75% aligns management with minority shareholders.
• ROCE of 22.26% indicates the business has historically generated solid returns on capital employed.
• ROE of 12.16% is positive, though modest, on a small book value base.
• Book value of ₹16.29 provides a tangible baseline even if the market price is far above it.

Concerns

• Latest quarter shows a net loss of ₹2 Cr on revenue of only ₹7 Cr, pointing to an unsustainable cost structure at current scale.
• Sales growth of -9.38% and profit growth of -18,700.00% show a rapidly deteriorating operating trajectory.
• Piotroski F-Score of 3/9 signals weak fundamental health.
• At ₹122.80, the stock trades at 7.54 times book value and 66.79 times trailing earnings that have already collapsed — no margin of safety.

AI Analysis

Look at Secmark and I see a small, unproven business trading at a price that assumes everything goes right. The market cap is ₹134 Cr, but the latest quarter tells a different story: revenue of only ₹7 Cr and a net loss of ₹2 Cr. Sales have fallen 9.38%, and profit growth is reported at -18,700% — effectively the bottom has dropped out. A 66.79 P/E means little when earnings have already turned negative; it is a trailing ghost. The P/B of 7.54 is the real red flag: you are paying ₹122.80 for ₹16.29 of book value. That is no margin of safety. Yes, the company earns a 22.26% ROCE on its capital and 12.16% ROE on book, and the promoter holding of 75% is a positive alignment. But those numbers are backward-looking. Today, with negative profit growth, a Piotroski score of 3/9, and zero dividend, the financial health is deteriorating. I cannot value a shrinking business on past efficiency alone; the moat is unproven. The 52-week range of ₹95.05 to ₹147.27 shows a volatile, sentiment-driven stock, not a stable compounding machine. If this is a turnaround, I need proof: a return to quarterly profit, stabilised sales, and cleaner balance sheet data. Debt/equity is N/A, so I don’t even know the full leverage picture. Ben Graham would say price is what you pay, value is what you get. Here, the value case is missing. I will watch from the sidelines until the numbers recover.

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