Tata Comm (TATACOMM)

FairStock Score: 49/100 — MIXED

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

Key Financials

AI Analysis

AI-generated, general educational analysis — not personal investment advice.

I wear Graham’s glasses and Buffett’s patience. Tata Comm at ₹1,718.10 and ₹48,969 Cr market cap is no bargain by my arithmetic. The Graham Number is ₹385.82, so I’m asked to pay a -314.05% margin of safety—meaning the price is far above conservative asset value. DCF intrinsic value is ₹1,385.29, also below the quote. P/B is 14.21 against book value of ₹120.95, and EV/EBITDA is 164.56, so the market is pricing in a lot. Business quality is mixed. ROE is excellent at 58.87%, but ROCE is only 14.79%, and debt/equity is 3.36; high returns are partly leverage-assisted. Sales growth is -1.70% and profit growth is -23.36%, while 5yr revenue CAGR is just 6.25%. That looks like a slow grower, not a compounding machine. Still, Piotroski F-Score 8/9 and positive FCF ₹738 Cr suggest accounting/operating improvement. Latest quarter sales ₹6,189 Cr and net profit ₹364 Cr, so it remains profitable. Promoter holding 58.86% aligns controlling owners, and 1.02% dividend yield offers little income. Altman Z-Score 2.64 sits in grey zone. The FairStock Score of 49/100, MIXED, mirrors my hesitation. P/E 51.81 and PEG 0.66 conflict: PEG may look cheap only if profit growth recovers, but current profit growth is negative, so I distrust it. I would wait for a wider margin of safety, lower leverage, and renewed revenue/profit growth before calling this a Buffett-style buy.

The full AI analysis, bull and bear case and key monitorables are in FairStock Pro.

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