V-Marc India (VMARCIND)

FairStock Score: 52/100 — MIXED

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

Key Financials

Strengths

• Sales growth of 100.32% and profit growth of 220.49% show exceptional recent momentum
• ROCE of 26.43% indicates strong capital efficiency and competitive economics
• Promoter holding of 64.87% aligns management interests with minority shareholders
• Piotroski F-Score of 7/9 suggests solid financial health and operational improvement
• PEG of 0.17 implies valuation may be reasonable if high growth continues

Concerns

• P/E of 28.04 offers little margin of safety if growth decelerates
• Zero dividend yield means investors rely entirely on price appreciation
• 52-week range of ₹248 to ₹1680 reflects extreme volatility and speculative trading
• Book value, debt/equity, and ROE are unavailable, so balance sheet risk cannot be fully assessed

AI Analysis

When I look at V-Marc India, I first ask what kind of business I am buying. Cables are essential, but the electricals industry is competitive and often lacks pricing power. Yet the numbers here are striking. Sales growth of 100.32% and profit growth of 220.49% show a company executing at a very high level. ROCE of 26.43% tells me it is earning a strong return on the capital it employs, which is far above what most commodity-like businesses achieve. Promoter holding of 64.87% also aligns owners with minority shareholders, something I always value. The Piotroski F-Score of 7 out of 9 adds further confidence that profitability, margins, and leverage are moving in the right direction. But I must be careful. At ₹927.65, the company trades at a P/E of 28.04, which is not cheap for a cables business. The PEG of 0.17 suggests the market is pricing in continued rapid growth, but that leaves little room for disappointment. The 52-week range of ₹248 to ₹1680 shows extreme price volatility, and with zero dividend yield, the investor is entirely dependent on share price appreciation. The latest quarter shows sales of ₹692 Cr and net profit of ₹36 Cr, which is encouraging momentum, but one quarter does not make a durable franchise. I do not have book value, debt/equity, or ROE data, so I cannot fully verify the strength of the balance sheet. That is a serious gap in my analysis. The FairStock score of 52 out of 100, calling it mixed, feels appropriate. This is a fast grower with excellent current fundamentals, but Graham would demand a margin of safety. At 28 times earnings, I would wait for a better price or more proof of sustainability.

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