T T (TTL)

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

Key Financials

Strengths

• Promoter holding of 50.30% aligns ownership with minority shareholders.
• Debt-to-equity of 0.58 is moderate, so leverage is not extreme.
• ROCE is positive at 1.49%, indicating some capital-employed return despite weak profitability.
• Book value of ₹3.13 per share provides a tangible asset base, though the market prices it at a premium.

Concerns

• Negative ROE of -5.70% and profit growth of -199.01% indicate severe value destruction.
• Sales declined 28.26%, and the latest quarter still reports a net loss of ₹1 Cr.
• P/B of 2.69 is expensive for a company with negative earnings; there is no margin of safety.
• Piotroski F-Score of 3/9 reflects poor financial health and weak fundamentals.

AI Analysis

Let me start with the obvious: T T is not a business I would rush into. A P/E of 0.00 is not a sign of value; it is the market telling me that earnings have disappeared. Net profit growth is -199.01% and the latest quarter shows a loss of ₹1 Cr on sales of ₹41 Cr. The top line is also shrinking, with sales down 28.26%. In my world, a business with falling revenue, negative ROE of -5.70%, and ROCE of just 1.49% is destroying capital, not compounding it. You are paying ₹8.43 per share for book value of ₹3.13, so the price-to-book ratio of 2.69 is far too rich for a company earning negative returns. Graham would insist on a margin of safety, and here the safety is absent. The Piotroski F-Score of 3/9 reinforces my worry about financial quality. On the positive side, debt-to-equity is 0.58, so leverage is not extreme, and promoters own 50.30%, which at least ties management to shareholders. But a 0.52% dividend yield does not compensate for the erosion in earnings. Textiles can be cyclical, and T T may someday recover, but I do not speculate on 'someday.' I need a track record of improving margins and returns before I put money to work. Until I see sales stabilize, losses narrow, and ROE turn positive, I will watch from the sidelines. A ₹249 Cr market cap with negative earnings offers no Graham-style bargain today. My discipline is to buy a good business at a fair price, not a struggling business at an expensive book multiple. For now, T T fails that test.

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