ZF Commercial (ZFCVINDIA)

FairStock Score: 59/100 — STEADY

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 look at ZF Commercial as a high-quality auto-components business with a fortress-like balance sheet. Debt/equity is just 0.02, ROCE 20.15% and ROE 15.28%, while Piotroski F-Score is 8/9 and Altman Z-Score 7.02—suggesting solvency and operating discipline. Sales grew 32.70% and profit 46.10%, with a 5-year revenue CAGR of 16.82%, so the business is compounding. Promoter holding of 60% aligns owners. But the price asks for perfection. At ₹15,200, market cap ₹30,007 Cr, P/B is 8.98, dividend yield is only 0.15%, and free cash flow is just ₹59 Cr. Graham Number is ₹3,136.40 and DCF intrinsic value is ₹917.50, giving a negative margin of safety of -383.48%. PEG 11.16 is not a bargain. The low P/E of 2.93 stands out, but it conflicts with the high P/B and other valuation signals; I would need to see whether it reflects sustainable earnings or a one-off. EV/EBITDA of -155.99 is also unusual and not a comfort signal. The 52-week range of ₹2,077.15–₹16,665.00 shows wild market emotion, and the current price near the high leaves little room for error. The moat may come from its auto-components positioning, but I cannot see pricing power from these numbers alone. So: excellent financial health and growth, but no margin of safety. I would watch, not buy, unless the price falls sharply or earnings quality clarifies. I prefer a wider gap between price and value.

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