TBO Tek Ltd.
ISIN: INE673O01025 • Market Cap: ₹18,032 Cr
The 5-Pillar Quality Audit for TBO Tek Ltd.
Evaluated across Profitability, Financial Health, Historical Compounding, Valuation Safety, and Ownership Governance:
1. Profitability & Capital Efficiency
Weight: 25%Measures operating margins (14.0%), Return on Capital Employed (15.4%), and equity compounding (15.8%).
2. Financial Health & Solvency
Weight: 25%Debt-to-Equity is 0.43 with comfortable interest coverage and clean working capital.
3. Growth & Compounding Track Record
Weight: 20%Historical 3Y Sales CAGR (30.4%) and 3Y PAT CAGR (9.4%).
4. Valuation Multiple & Margin of Safety
Weight: 15%Trades at P/E of 68.12 vs PEG of 2.37 and Dividend Yield of —.
5. Ownership Quality & Governance
Weight: 15%Promoter holding stands at 44.4%, backed by 50.0% institutional ownership.
Key Fundamental Strengths
Strong Topline Expansion (3Y Sales CAGR: 30.4%)
Revenue has expanded at 30.4% CAGR over 3 years, signaling industry market-share gains.
Deep Institutional Sponsorship (50.0%)
Mutual funds, domestic DIIs, and foreign FIIs hold 50.0%, providing strong governance scrutiny.
Areas to Watch & Potential Risks
Priced for Perfection (P/E: 68.12)
A steep valuation multiple of 68.12 leaves little margin for safety against quarterly earnings misses.
Sectoral & Macro Headwinds (Consumer Services)
Subject to broader cyclical demand, raw material price shifts, and regulatory frameworks governing the Consumer Services space.
Quantitative Strategy Eligibility
Checking TBOTEK against established Indian wealth creation frameworks:
Coffee Can Investing Framework
Passes Saurabh Mukherjea's Coffee Can rule: 10%+ sustained revenue growth and 15%+ ROCE/ROE.
Quality Factor Screener (High RoIC + Low Debt)
Qualifies for Indian Quality Indices with overall score of 72/100 and clean gearing.
GARP / Value-Growth Blend
Valuation multiple or return metrics require further cyclical pullback.
Consumer Services Sector Peer Comparison
Compare TBOTEK directly against top industry peers by market capitalization:
| Company | 5-Pillar Score | Market Cap | P/E | ROCE | D/E | Scorecard |
|---|---|---|---|---|---|---|
| TBO Tek Ltd. (TBOTEK)Current | 72/100 | ₹18,032 Cr | 68.12 | 15.4% | 0.43 | — |
| Eternal Ltd. (ETERNAL) | 61/100 | ₹3.09 Lakh Cr | 713.64 | 2.9% | 0.00 | View |
| Avenue Supermarts Ltd. (DMART) | 66/100 | ₹2.60 Lakh Cr | 84.88 | 16.4% | 0.04 | View |
| Trent Ltd. (TRENT) | 74/100 | ₹1.57 Lakh Cr | 86.78 | 29.6% | 0.07 | View |
| Lenskart Solutions Ltd. (LENSKART) | 63/100 | ₹1.11 Lakh Cr | 169.67 | 8.4% | 0.03 | View |
| Indian Hotels Co. Ltd. (INDHOTEL) | 75/100 | ₹1.03 Lakh Cr | 48.02 | 16.0% | 0.00 | View |
Frequently Asked Questions: TBO Tek Ltd.
Q:What is the 5-Pillar Fundamental Score for TBO Tek Ltd. (TBOTEK)?
TBO Tek Ltd. has a RupeeTools Fundamental Score of 72/100, placing it in the 'Solid & Healthy' category. Its pillar scores are: Profitability (71/100), Financial Health (78/100), Growth (78/100), Valuation (45/100), and Ownership Quality (82/100).
Q:Is TBOTEK fundamentally strong for long-term investment?
Yes, TBOTEK exhibits solid fundamental strength with a 72/100 score, driven by a return on equity of 15.8% and a debt-to-equity ratio of 0.43.
Q:Does TBOTEK pass the Coffee Can Investing filter?
Yes! TBOTEK satisfies both core pillars of Coffee Can Investing: achieving consistently high capital returns (ROCE/ROE >= 15%) alongside double-digit multi-year revenue growth.
Q:How does TBOTEK compare against other Consumer Services peers?
Within India's Consumer Services sector, TBOTEK trades at a P/E of 68.12 and generates an ROCE of 15.4%. Compare its 5-Pillar score of 72/100 against top sector peers like Eternal Ltd. (61/100), Avenue Supermarts Ltd. (66/100).
Regulatory & SEBI Research Analyst Compliance Disclaimer:
This 5-pillar fundamental score is an automated quantitative health check generated purely from historical public financial statements, corporate filings, and exchange disclosures for educational and informational purposes only. It does NOT constitute investment advice, a stock recommendation, or a solicitation to buy or sell securities. RupeeTools is not a SEBI-registered Research Analyst. Please consult a SEBI-registered financial advisor before making investment decisions.