TCI Express (TCIEXP)
Slow GrowerFairStock Score: 26/100 — RISKY
Score breakdown: P/E: 1/3 · ROCE: 1/2 · Growth: 1/2 · Dividend: 0/1
Key Financials
| Current Price | ₹559.85 |
| Market Cap | ₹2,150.89 Cr |
| P/E Ratio | 26.38 |
| ROCE | 15.79% |
| ROE | 11.98% |
| Dividend Yield | 2.14% |
| Profit Growth | 1.4% |
| Debt/Equity | 0.08 |
| Sales Growth | 9.3% |
| Promoter Holding | 69.46% |
| 52-Week Range | ₹447.55 — ₹780 |
| Sector | Transport Services |
| Book Value | ₹213.12 |
Strengths
- Low leverage with debt/equity of 0.02 and a healthy Piotroski F-Score of 7
- Decent profitability: ROE of 11.98% and ROCE of 15.79%
- High promoter holding of 69.46%, aligning interests with minority shareholders
- Consistent dividend yield of 1.47% offers some income support
- Profit growth of 10.64% is ahead of sales growth of 5.98%, showing some operating leverage
Concerns
- Expensive valuation: P/E of 23.37 and P/B of 2.65 relative to modest growth
- PEG ratio of 2.81 indicates the stock price is well ahead of its growth rate
- Sales growth of only 5.98% and price well below the 52-week high suggest weakening momentum
- FairStock Score of 24/100 flags the stock as risky
AI Analysis
At first glance TCI Express has the balance sheet I admire: debt-equity of 0.02 and a Piotroski F-Score of 7. It earns an ROE of 11.98% and ROCE of 15.79% — not spectacular, but respectable. The dividend yield of 1.47% gives some reward while waiting, and promoters holding 69.46% shows their interests are aligned with mine. But I cannot forget the price I pay. At ₹522.45, the stock trades at 23.37 times earnings and 2.65 times book value. For a business growing sales only 5.98% and profits 10.64%, that multiple is not cheap. The PEG ratio of 2.81 tells me I am paying more than twice the growth rate. Graham would ask for a margin of safety; at this price, I do not see one. The latest quarter shows net profit of ₹23 crore on sales of ₹314 crore, but one quarter does not make a trend. The 52-week range of ₹447.55 to ₹780.00 shows the market has already repriced this stock down from its highs. The FairStock Score of 24/100 flags risk, and I respect such warnings. This is not a terrible business; it is a decent, conservatively financed logistics player with modest growth. But buying a mediocre grower at a demanding price is not a smart investment. If I owned it, I would hold and watch quarterly execution. If I were buying, I would wait for a lower price or a clear acceleration in growth. Patience, not action, is the right move.
Data from BSE/NSE filings. AI analysis is for educational purposes only — not investment advice. Scoring methodology · Disclaimer