Studio LSD (STUDIOLSD)

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

Key Financials

Strengths

• Promoter holding of 73.50% aligns owner-manager interests with minority shareholders.
• Reported ROCE of 72.75% suggests historically efficient use of capital, before the current profit collapse.
• The stock is well above its 52-week low of ₹7.15, indicating some market support despite weak fundamentals.

Concerns

• Sales growth is -37.20% and profit growth is -149.64%, with a latest-quarter net loss of ₹3 crore on sales of ₹39 crore.
• P/E of 44.73 is not meaningful and appears expensive when earnings are disappearing.
• Piotroski F-Score of 3/9 signals weak financial health and rising distress indicators.
• No dividend, book value, or debt/equity data are available, leaving no clear margin-of-safety anchor.

AI Analysis

At ₹12, Studio LSD carries a market cap of only ₹52 crore. In normal times a P/E of 44.73 would already demand exceptional growth, but this is not a normal time. Sales have fallen 37.20%, profit growth is -149.64%, and the latest quarter shows a net loss of ₹3 crore on revenue of ₹39 crore. The Piotroski F-Score of 3/9 reinforces the picture: deteriorating fundamentals, poor profitability, and weak financial health. The reported ROCE of 72.75% looks striking, but it is backward-looking; current losses tell me it is not translating into shareholder earnings. With no dividend, no book value, and no debt/equity data, I lack the margin of safety that Graham always insisted upon. A 73.50% promoter holding can be positive—it aligns owners with minority shareholders—but it cannot offset negative earnings and shrinking sales. Value investors do not pay 44 times earnings for a business in this condition. This is not a fast grower or stalwart; it is a small Indian media and entertainment player that may be in need of a turnaround. I would not deploy capital today. I would wait for evidence that quarterly losses narrow, that revenue growth stabilizes, and that the company can generate positive free cash flow. Without those proof points, the cheap-looking ₹12 price is not cheap; it simply reflects falling earnings. Benjamin Graham said price is what you pay, value is what you get. Here, the value is not visible from the data.

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