Shyam Dhani Ind. (SHYAMDHANI)

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

Key Financials

Strengths

• ROCE of 24.36% suggests reasonably efficient capital deployment
• Promoter holding at 72% aligns management with minority shareholders
• Latest quarter is profitable with sales of ₹64 Cr and net profit of ₹4 Cr
• Operating margin of roughly 6.25% shows the business is not under immediate operational distress

Concerns

• Sales growth and profit growth are both 0.00%, leaving no growth engine
• Piotroski F-Score of 3/9 points to weak financial health
• P/E of 19.49 is expensive for a stagnant business, with no dividend compensation
• Missing book value and debt/equity data prevent a proper margin-of-safety assessment

AI Analysis

Let me start with what I can see. Shyam Dhani is a small food-products company with a market cap of ₹157 crore and a P/E of 19.49. For a business reporting zero sales growth and zero profit growth, that is not a Graham-style bargain. The latest quarter shows sales of ₹64 crore and net profit of ₹4 crore, so the basic operations are not loss-making; but a profit margin of roughly 6% in food products does not give me pricing power or a moat. ROCE of 24.36% is respectable, and promoter holding of 72% aligns owners with shareholders. Those are the positives. Now the problems: the Piotroski F-score is only 3 out of 9, which signals weak financial health and possible deterioration. I have no book value and no debt-equity ratio, so I cannot calculate the real downside. There is no dividend, so I get no cash while waiting. At ₹71.80, the stock is near the top of its 52-week range of ₹47 to ₹76.30. Paying 19.49 times earnings for a no-growth, low-F-score company offers no margin of safety. Ben Graham taught me to buy a dollar for fifty cents; here the market is asking a premium for stagnation. This looks like a show-me story. I need evidence of growth, better financial health, or a significantly lower price before I would consider investing.

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