Shigan Quantum (SHIGAN)

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

Key Financials

Strengths

• Promoter holding at 69.74% aligns management interests with minority shareholders.
• ROCE of 13.63% shows acceptable capital efficiency at the operating level.
• Sales grew 2.80%, and latest quarter sales of ₹109 Cr indicate an active business.
• P/E of 18.27, while not cheap, is not extreme if earnings stabilize.

Concerns

• Profit growth fell 39.29%, and latest quarter net margin is only about 2.75%.
• Piotroski F-Score of 4/9 suggests weak financial health.
• PEG of 6.53 means valuation is not supported by growth.
• Missing book value, ROE, and debt/equity data prevents proper balance sheet analysis.

AI Analysis

Looking at Shigan Quantum, I see a small auto-components player with a market cap of only ₹124 crore. The numbers do not excite me. Sales growth is just 2.80%, and profit growth is a sharp minus 39.29%. In the latest quarter, sales were ₹109 crore but net profit was only ₹3 crore, implying a thin margin. This is not a business with obvious pricing power or a wide moat; it looks like an ordinary component supplier at the mercy of the auto cycle. ROCE of 13.63% is decent, but without book value, ROE, or debt-equity data, I cannot judge the balance sheet or true return on equity. That absence of data is itself a warning: Buffett does not invest in what he cannot measure. The Piotroski F-Score of 4/9 reinforces my caution, as it suggests weak fundamental health. On valuation, the P/E is 18.27, but with earnings falling 39%, the P/E is not as cheap as it looks. PEG of 6.53 is far above comfort and confirms the growth is too limited to justify the multiple. Dividend yield of 0.33% is negligible, so I am not being paid to wait. The 52-week range of ₹41.20 to ₹95.00 tells me the stock has been volatile; at ₹72.95, I am neither at the bottom nor getting a distressed bargain. Promoter holding of 69.74% does give me some comfort that management has skin in the game. But for a Graham value investor, the margin of safety is missing. I would wait for better margins, stronger balance sheet data, and a lower price before considering this.

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