Stanley Lifesty. (STANLEY)

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

Key Financials

Strengths

• Promoter holding at 56.70% indicates significant insider ownership and alignment.
• Book value of ₹70.72 provides a tangible asset cushion below the share price.
• ROCE of 10.13% suggests operating capital is not wholly unproductive.
• Debt/equity of 0.70 is not extreme by Indian corporate standards.
• At ₹143.07, the stock is closer to its 52-week low than its high, reducing speculative froth.

Concerns

• Profit growth -100.00% and latest quarter net profit of ~₹0 Cr means current earnings power is absent.
• ROE of 3.50% is very low; at P/B 2.02, investors pay more than twice book for weak returns.
• Piotroski F-Score of 3/9 and dividend yield of 0.00% indicate poor financial health and no income support.
• Sales growth -5.38% shows shrinking demand; with debt/equity 0.70, continued weakness could strain the balance sheet.

AI Analysis

I have no interest in a business simply because its price has fallen. Stanley Lifesty’s stock trades at ₹143.07, near its 52-week low, but the business itself is going the wrong direction. Sales are down 5.38% and profit growth is -100%; the latest quarter shows net profit of roughly zero. A P/E of 38.58 is meaningless when the E is evaporating. With ROE of only 3.50%, the company is earning a pittance on shareholders’ money. Book value is ₹70.72, so at ₹143.07 I am paying 2.02 times book for low-quality earnings. ROCE of 10.13% is moderate, but with debt/equity at 0.70, the balance sheet has no margin of error. No dividend compensates for waiting. Graham taught me to buy with a margin of safety; here, the safety is missing. The Piotroski F-score of 3/9 and FairStock score of 0/100 are red flags, not buy signals. Promoter holding at 56.70% is one positive, and the asset base gives some cushion, but a promoter stake does not create a moat. This may be a cyclical furniture business in a downturn, or a company needing genuine turnaround. Either way, I need proof: sales stabilizing, profits returning, ROE and ROCE improving, debt under control. The stock has already fallen from ₹320.45 to ₹143.07, and a falling price does not make it cheap. If the business is fundamentally impaired, a low P/B can become a value trap. I will wait on the sidelines until numbers show a durable recovery. In investing, the most important thing is not to lose money. Stanley Lifesty does not offer me that protection today.

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