Techera Enginee. (TECHERA)

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

Key Financials

Strengths

• Sales growth of 38.30% shows strong demand in the aerospace and defense segment.
• Profit growth of 213.01% with a PEG ratio of 0.44 suggests attractive growth relative to valuation.
• Piotroski F-Score of 7/9 indicates improving financial health across profitability, leverage, or efficiency.
• ROCE of 12.97% is decent for a capital-intensive sector.
• Latest quarter remains profitable with sales of ₹24 Cr and net profit of ₹1 Cr.

Concerns

• P/E of 55.14 leaves very little margin of safety if growth decelerates.
• Latest quarter net margin is only around 4%, so reported earnings remain fragile.
• No dividend yield means investors receive no cash while waiting for the growth story to play out.
• Promoter holding at 36.89% is moderate; key balance-sheet inputs like D/E, book value, and ROE are unavailable.

AI Analysis

Looking at Techera Enginee, I see a small aerospace and defense player selling at a very rich price. The market cap is ₹315 Cr, yet the P/E is 55.14. That means I am paying fifty-five rupees for every one rupee of trailing earnings. Graham would call that speculation unless earnings growth is truly exceptional. Sales grew 38.30% and reported profit jumped 213.01%, giving a PEG of 0.44. Those are eye-catching numbers, but the latest quarter tells a humbler story: sales of ₹24 Cr and net profit of only ₹1 Cr, a margin near 4%. That is not a wide-moat business. ROCE is 12.97%, respectable, but not the kind of return on capital that makes me comfortable at this valuation. Piotroski F-score of 7/9 is a point in favor; it suggests the company's financial health has been improving. Yet I have no book value, no debt-to-equity, and no ROE data. I never invest based on insufficient information. Promoter holding at 36.89% is reasonable but not controlling enough; in a small-cap defense supplier, I want promoters to have more skin in the game. There is no dividend, so my only potential return comes from capital appreciation and reinvested growth. A zero dividend with a small profit base and a 55 P/E leaves little margin of safety. If the company can sustain high growth, time may cure the price. But for me, the numbers available do not support a durable economic moat. I would wait for more data, a stronger balance sheet, and better evidence of margin stability before considering it.

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