Shivalic Power (SPCL)

FairStock Score: 26/100 — RISKY

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

Key Financials

Strengths

• Promoter holding of 71.34% aligns management interests with shareholders.
• ROCE of 19.39% indicates efficient use of capital employed.
• Latest quarter profitable with sales of ₹54 Cr and net profit of ₹5 Cr.
• Price is significantly below the 52-week high, offering a lower entry point than recent peaks.

Concerns

• Profit growth is down 20.12% while sales growth is only 1.33%.
• Zero dividend yield provides no income return to shareholders.
• Piotroski F-Score of 4/9 suggests weak fundamental health.
• PEG of 12.26 implies the stock is expensive relative to its very low growth.

AI Analysis

At ₹84.95, Shivalic Power carries a market cap of ₹181 crore and a P/E of 16.3. That looks simple, but Graham would ask: what am I getting for that price? The latest quarter shows sales of ₹54 crore and net profit of ₹5 crore, so the business is earning real money. Yet the broader picture is troubling. Sales growth over the year is a bare 1.33%, and profit has fallen 20.12%. A PEG of 12.26 tells me the market is paying a full multiple for almost no growth. That is the opposite of a margin of safety. ROCE at 19.39% is genuinely respectable; it suggests the company earns good returns on capital employed. But I cannot assess the balance sheet because book value and debt-equity are not given. The Piotroski score of 4/9 reinforces my caution: weak fundamentals, poor profitability trend, and likely deterioration in operating efficiency. Zero dividend means the small shareholder receives no income while waiting for growth that has not arrived. On the positive side, promoter holding of 71.34% aligns owners with management and reduces agency risk. The 52-week range of ₹59 to ₹123.40 shows the stock has fallen from its high, but a lower price is not automatically cheap. In Graham's terms, I want growth, stability and financial strength at a fair price. Here I see a small electrical equipment company with decent returns but stagnant sales, shrinking profits, and no dividend. It may become interesting if management re-ignites growth and stabilises margins, but today the figures do not justify my capital. I would place this in the 'too hard' pile until the profit decline reverses and I can see the balance sheet clearly.

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